2021 Mid Year Housing Report

by Chuck Roper 29. July 2021 10:39

I am delighted to furnish our 2021 Mid-Year Housing Report.  We are pleasantly surprised at the continued vigor of closings and sales prices in our St. Louis region.  The market shows no signs of slowing down.  Multiple offers and escalated prices have continued into mid-summer.  We are struggling to keep enough inventory to satisfy intense buyer demand.

Many people have asked me if I foresee a near term bubble or price correction like in 208-2012.  Here's why I think a housing crash is unlikely.

The housing market fundamentals of today are different than in 2008.  Remember in 2008, MLSs were overwrought with distressed properties, inventory was high and days on market was long.  I remember the luxury market had 3 to 4 years of inventory.  Today, we have 2 months of inventory.  (We consider equilibrium to be 6 months of inventory.)

We don't have subprime and 100% loans to the extent we saw leading up to 2008.  In 2008, buyers budgets were overstretched; mortgages exceeded the value of the home.  In those days, we were navigating short sales, in which our clients required loan forgiveness in order to sell their homes.  Today, more homes are purchased with cash.  For new mortgages, the loan-to-value ratio and debt-to-income ratio must meet more conservative federal guidelines.  Sellers have more equity in their homes.

Supply is vastly different today.  In the housing heyday, builders overbuilt.  National Association of Realtors calculated that America had a 2.1 million surplus of housing units by 2006.  When the market crashed, builders liquidated land, sub-contractors shuttered their doors and new construction nearly halted.  Today, it's estimated that we have a 4.8 million shortfall.  Even with home building on a rebound, inventory remains low.  For this reason, home prices are in no danger of falling sharply.  

We are working diligently to find the perfect home for anyone ready to make the move.  Please don't hesitate to reach out.  Be well and stay safe,

Janet

February Real Estate Round Up for St. Louis Central Corridor

by Chuck Roper 3. March 2021 04:48

February home sales

This was a February like no other.  Our temperatures were frigid.  And yet, the real estate market in St. Louis was HOT.  Our company sales were more than double last year.  Tight inventory, multiple offers, escalation clauses, fast closings and cash contracts are dominating the mid and lower price ranges.  Luxury home buyers are looking for more space, outdoor fireplaces, pools, top of the line finishes and all the creature comforts.  Since we’re spending more time at home, we want to make it count - rooms for work and rooms for workout

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Real Estate Market

Real Estate Success During Uncertain Times

by Chuck Roper 18. March 2020 06:19


From the Desk of Janet Horlacher:

In these challenging times where the health and well-being of our loved ones and colleagues is our top priority, I thought some positive news would be important to share. 

We’re changing the way we do business and still DOING plenty of business. Our sales are up +30% this year and we intend to maintain our success. Here’s a look at how we are selling plenty of homes, albeit doing things a little differently.

Work From Home
Our technology enables our Realtors to work remotely just as efficiently and effectively as in office. As other businesses scramble to adapt their “work at home” systems, our Realtors are already well equipped with web-based transaction management and digital signatures.

Virtual Showing
Your virtual showing has never been more important. It’s already the norm in real estate that the first showing is online. Gorgeous photography – twilight, aerial, video – are already tools we employ to showcase your home in it’s best light. More than ever, sellers should select Realtors who offer these options.

Flight to Safety
In uncertain times, buyers and sellers need reputable, “boots on the ground” brokerages to help navigate the complexities of this changing landscape. Just today, we discovered that municipalities may be delaying services we rely on to complete home sales. Our local expertise can help guide clients through alternative solutions.

Maximum Exposure Marketing
Rest assured that Janet McAfee promotes our listings through every media channel. We are the ONLY St. Louis brokerage to promise print advertising, direct mail, social media and digital promotion on every listing.  

Open Houses Re-imagined
We’ve asked our agents to replace the traditional Sunday Open House with Sunday BY APPOINTMENT Open Houses. Listing agents can schedule a private viewing between designated hours.  Social distancing open house strategies protect you.

Unwavering Trust
Clients have depended on Janet McAfee expertise, honesty and work ethic for 45 years. We have and always will be your most trusted advisor. Now, more than ever, select a Realtor who you trust with your most important asset.

Janet Horlacher, Principal
Janet McAfee Real Estate

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General | Luxury Real Estate

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