In the Wednesday, October 10, issue of the South Suburban Journals, there were articles by two leaders in the St Louis real estate market. These were great articles, and I just wanted to share the main points.
The first article was written by Dennis Norman, 2007 President of the St. Louis Association of Realtors. His main point of the article was that all real estate is local, and there are a number of local factors that affect home prices.
He pointed out that Detroit is suffering with the major layoffs from the big three auto makers, and their real estate market is not in good shape. Seattle, on the other hand, has a surplus of jobs and is still in a real estate boom. He continued that here in St Louis, we are not faring that bad.
Mr Norman talked about the recent news that Centene has announced that it going to build its new headquarters in the new Ball Park Village, located in the heart of St. Louis City. This will bring 1,200 jobs to the area and will result in more home buyers.
He continued: "The number of homes selling this year in St. Louis has decreased from the number sold in 2006 (about 8% through August). However, we have to remember that2006 was the third best year ever in terms of the nimber of homes sold. Our home prices today appear to be steady and seem to have found their 'bottom' in most areas. Currently, we should end the year with median prices either being flat or increasing just slightly. This is good news in comparison to those markets that have been facing major declines. It also shows that our home prices held steadier during the boom and did not outpace the market, like many other areas. --What we have here in St Louis is a stable market, with some prices representing very good value, making it a great time to buy."
He finished by stating that real estate is a long term investment. You're not being realistic if you want to buy now and sell quickly for a profit. But, if you want to buy now, live in and enjoy the home for a few years and then sell, you will be rewarded. The same hold true for rental properties.
The next article was by Jan Thomas, 2007 President, Metropolitan St. Louis Chapter, Women's Council of Realtors. She stated that: "Despite the slowing in housing nationwide, I believe that the choice to buy a house is still yours. Reasons to buy now include your needs (which seem to be ignored by the pundits), low interest rates, a large selection of properties on the market, sellers who are dropping prices to reflect their desire to sell, and the likelihood that prices will begin to rise within the year."