ST. LOUIS, MO/March 17, 2017 (STLRealEstate.News) All signs pointed towards another seller’s market year in St. Louis for 2017, but local realtors are still surprised at just how seller-centric the market is shaping up to be. The downtown St. Louis city condo market “took off like a rocket ship” by doubling the sales volume for the first two months of 2017 compared to the same time period in 2016. That’s a pretty staggering increase, noted Barry Upchurch, president of St. Louis Realtors.
“Not only did the dollar per square foot of condos increase – from $124 per square foot to $130 per square foot for the first two months – but also the median sale prices held at $216,000, as consumers sought slightly smaller condo units averaging around 1,500 square feet compared to last year’s 1,610 square feet,” said Upchurch.
Though, for certain portions of the city, the story is not the same. Upchurch confirmed that the Central West End (CWE) area, another key anchor of the central corridor, had the dollar per square foot dropped from $205 to $194 so far this month. “Most significantly, the average square footage of condos dropped from 1,833 to1,471, again showing the consumers want smaller living spaces for a slightly lesser sale price as interest rates start to move upward,” he said.
Another trend to notice is that the sale of single-family residential home sales was cut in half the first two months of 2017 when compared to 2016, with the median sale price dropping significantly. Though, Upchurch noted, this is the slowest real estate time of the year, and with spring approaching, the median prices are sure to spike upward again.
From an overall perspective, Upchurch noted that the central corridor had nearly 400 single-family homes and condos that were absorbed by the market over the last year, ending in the month of February 2017.