Price Ranges Feeling the Inventory Shortage
You’ve heard the expression, “A picture is worth a 1000 words”. How true! The graphic above was shared recently at the National Association of Realtor’s Residential Economic Issues and Trends Forum at the trade group’s midyear conference, the Realtors Legislative Meetings, which has attracted some 15,000 attendees.
The homes in the price range from $0-$100,00 and $100,000-$250,000 were hit the hardest seeing a 30%-40% drop in inventory compared to 2020. First-time homebuyers have felt this shortage dramatically as they slug through the bidding wars for a smaller amount of homes available and prices escalate.
Homes in the $750-Over $1 Million range were not impacted nearly as much.
Home Sales by Price Points
As a percentage of change from last year, homes under $250K don’t even break above the zero line. There’s been a significant rise in homes in the $500-$750 range and a sharp increase in the sales of $1 Million dollar plus homes which were up 80% from last year.
What Does the Future Look Like?
Another interesting item discussed: The 2021 NAR Survey on Conversion of Hotels/Motels for Multifamily Housing highlighted some examples of repurposing properties to accommodate multifamily housing.
What’s Happening in the St. Louis Real Estate Market?
The video report below highlights the most recent housing report from the St. Louis Association of Realtors comparing April 2021 to April 2020. How is the market doing compared to a year ago?