ST. LOUIS (KMOX) – While other housing markets are seeing a big spike in home prices, they’re holding nearly steady in St. Louis despite a very tight supply.
That’s according to Coldwell Banker Gundaker President Jim Dohr, who says that while the number of homes on the market is at an eleven year low, prices are up only two and half percent over last year.
Dohr says that’s because we’re not seeing the population and job growth here that are spurring big price increases elsewhere.
“In the markets where prices are shooting up very high across the country, you have pretty large population growth, which translates to a large job growth in many cases and when that’s happening that demand and low inventory translates to a big escalation in prices,” he says.
Dohr says the low supply has contributed to a five and a half percent increase in closings. Homes are selling ten percent faster than they were at this time last year.
“That’s really a function of the tight supply of listing inventory that we have in the market. That has been a trend we’ve seen for about a year and a half,” he says.