ST. LOUIS — Are you in the market to buy a new home in St. Louis? If so, you may want to push up your budget.
That's because new data released Thursday by real estate giant Zillow shows that nearly a third of St. Louis homes sold above their list price in September, with those properties on average going for $14,583 above their advertised price.
The rising prices reflect a nationwide trend of an increase in the number of properties selling above their sticker price, but the growth in the cost of a home is more pronounced in St. Louis. The percentage of homes nationwide selling above list price in September was 22.4%, compared with St. Louis’ 32.3%. In September 2019, just 17.4% of homes sold in St. Louis were sold for above their asking price.
“A persistent interest in buying and moving is creating an imbalance that is driving prices higher than we typically see at this time of year. In many cases, buyers in this market should be realistic about the chance of bidding wars and leave themselves financial flexibility by looking at homes listed for less than their maximum price point. With tight inventory, low interest rates, and robust demand from households re-evaluating their housing needs, a strong, competitive market with many transactions is likely here to stay into 2021,” said Zillow Senior Economist Chris Glynn.
The rising prices come as St. Louis continues to grapple with drastically low inventory of existing homes for sale. In September, the total inventory of single-family homes available for sale was down 32.8% from September 2019, according to data published by the St. Louis Realtors trade group. St. Louis’ housing inventory totaled 3,412 single-family homes, down from 5,077 in September a year ago and 6,208 in September 2018. The median sales price for single-family homes in September this year was $245,000, up 19.5% year over year.
Click here for the full story.
