Unusual Fall 2020 Real Estate Activity

St. Louis and St. Charles County area real estate in fall 2020 has been as unusual as, well most of 2020. Real estate this autumn has been unusually active. In fact some real estate agents are referring to this fall as second spring. Herein we’ll discuss some of the reasons why real estate this fall has been so unusual.

The Pandemic

The Covid-19 virus has kept many people closer to home for longer and more often than previously. Folks are now working from home, going to school at home and moving many in-person events online. This has created more time to look closely at one’s living situation and decide if it is the best fit. Also, some people are moving from more concentrated, populous cities to our area. 

 

Demand Versus Inventory

After a slow spring of quarantines, the busy summer market barely slowed down for fall. With so many buyers wanting to move to better home situations and some sellers unsure about making any changes at all, there has been a higher demand for homes for sale than there have been homeowners listing their homes. This is causing a lower inventory of homes for sale along with rising home values as multiple offers are being made on well-maintained, market-value homes. This doesn’t mean there aren’t homes for sale, it just means that homebuyers may have to look a little longer or at different options to buy a home.  It also means that buyers need to be prepared and ready to move quickly if the perfect home comes on the market.

 

Low Mortgage Rates

At time of writing this, the 30 year conventional mortgage rate sits around 2.5% and the 15 year conventional mortgage rate sits around 2%. These low rates mean that you can get a lot more home for you money than you could a few years ago. And for those who aren’t moving, it’s a great time to refinance.  These rates are historically low and when they are gone it is hard to imagine when they will return.  

 

Increased New Construction Activity is Helping

We help several quality local home builders market their homes and we know the new construction home market very well. We’ve been able to find solutions in the new construction market for many homebuyers. While builders have been doing a great job constructing quality new homes, they are feeling the pressure to keep up with the demand.  New construction should always be considered when searching for a new home.  It affords buyers to be the first owner, select finishes specific to their tastes, select options specific to their needs and to enjoy the benefits of an environmentally friendly and energy efficient home.

- Options for Buying New Construction -

Despite the unusual fall 2020 real estate market we continue to assist homebuyers and sellers to face, understand and prepare for these unusual times every single day.  Despite the challenges, business for The Boehmer Team is up 28% from 2019 and going strong.  If you are thinking of buying a home, building a home, or selling your current home, contact The Boehmer Team. Let us implement decades of combined experience to answer your questions, find solutions for your needs and provide full service as we do to all of our dedicated clients.

 

St. Charles County Real Estate 2020 Mid-Year Review

We’re half way into 2020 and boy, has it been a roller coaster ride! A pandemic, a recession, an election year and more have made it a VERY memorable and life changing year. But despite our ever-changing external environment, one thing has stayed constant – the need for a home. The pandemic has caused us to spend more time at home than ever and made housing that meets our needs more important than ever. So despite everything, the housing market has remained strong and a good investment in 2020.

Signs of a strong real estate market are backed up with hard data. Take a look at the below charts showing how the 2020 St. Charles County, Missouri real estate market is performing so far. We hope this information will be valuable for you to make the best real estate decisions for you and your family.

Number of Homes for Sale

This first chart showing active real estate listings by month over the past three years ends on a down trajectory. This means that there are not as many homes available for sale as there have been mid-year in the past three years. The low availability of listings and continued demand from homebuyers point to a continued sellers market.

Median Sales Price

This chart shows that home prices are still growing. If you’ve been thinking about listing a residential property for sale, now is a great time to get a lot of value from the sale. If you’re thinking of buying a home, now is also a great time to take advantage of still low historic rates and purchase a home before housing prices increase even more.

Original Listing Price Versus Sales Price

While sellers like to get the most money they can for their property, buyers want to pay the least they can for a home. Through the negotiation process the final price received for a home is often a little less than the original price the property was listed. The first half of 2020 shows that buyers are negotiating better deals for themselves than the previous three years as the gap of list price to sale price has widened a little.

Days On Market

This chart shows that the number of days a home is on the market tend to be shorter in the warm months than in the cold months. Currently we are seeing shorter days on the market that are similar to the same time last year. A smaller number of days on market is another indicator of a sellers market.

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In summary, this data points to continued gains in home prices and continued competition among homebuyers for the real estate listings that are available. Our friends in the home building industry say they are ramping up home building to help offer more new home options for buyers. If you have a home to sell, now is a great time. If you are buying a home, be prepared to act quickly when you find “the one” as you may face a lot of competition.

Working with a great buyers agent, like the buyers agents on The Boehmer Team, will also increase homebuyers’ chances of procuring the perfect home. Contact The Boehmer Team for expert home selling and buying assistance. We know the St. Charles County, Missouri real estate market and even have information on homes that are not yet listed for sale.