2008 August | St Louis Real Estate Voice

Archive for August, 2008

St. Louis Real Estate-Market Watch August 30th, 2008

Saint Louis Real Estate Market Watch by Art Wagner @ Keller Williams Realty Southwest, Sunset Hills, Mo.
August 30th, 2008
The Anatomy of St. Louis Real Estate

The St. Louis Home for Sale Team provides a weekly St. Louis County and Bi-weekly St. Charles County Market and Jefferson County Market Watch Report to review and plug into your home buying or selling scenario. Your questions and comments are welcome!

ARE YOU thinking of buying or selling a home? Contact Doug Aegerter or Art Wagner for more information and a FREE Comparative Market Analysis (CMA) of your home or your neighborhood.

The St. Louis Real Estate Market this weeks shows a few more active listings coming on the market and still fewer homes accepting contracts. Thus, our pending ratio has fallen again to 12.37 percent. This past February was the last time we saw a pending ratio under 13 percent. We are starting to move into our fall statistics now, instead of waiting until mid September and into October.

What does all this mean?? Sellers are beginning to understand the market, as our list pricing has inched up slightly, however, our average sales prices have held steady. Sellers are becoming more aware that in this local St. Louis market, homes are selling at an average of 95 percent of list price, AS LONG AS they are priced within market value to begin with.

Buyers, looking for that multitudes of inventory aren’t finding it this summer. Our average inventory one year ago was at 9.5 months and this year we are showing only 8.1 months of inventory. Buyers may soon start to find that the offer they put in on a home is now one of two or three offers being contemplated. Even on sales of foreclosures and short sales, we are seeing multiple offers being looked at.

There is even some good news from the mortgage industry, as interest rates have dropped again for the second week in a row, with a conforming 30 year fixed rate at 6.6 percent. The average 15 year fixed rate, which is popular for refinancing, has dropped to 6.14 percent. Adjustable rate mortgages however, inched up this past week, with the average one year ARM at 6.28 percent and the 5/1 ARM rising to 6.27 percent.

HAVE A HAPPY LABOR DAY HOLIDAY!!

St. Louis Real Estate St. Louis County Market Watch August 30, 2008

St. Louis Real Estate Jefferson County Market Watch August 23rd, 2008

St. Louis Real Estate St. Charles County Market Watch August 30, 2008

St. Louis Real Estate Benchmark Report July 2008

The report begins by breaking the market into 17 distinct price ranges. Then we show current listings and current pending listings which creates a pending ratio, which is helpful on a week to week basis to see if activity is increasing or decreasing in a price category.

The report also shows the last 6 months of results and compares the data to the same 6 months of the previous year.

The Market Analysis includes data on:

Number of Active Listings (Current)
Pending Sales (Going to closing)
Pending Ratio (Active vs.Pending)
Sold (Closed transactions last 6 months)
Expired (Last 6 months)
Average List Price
Average Sale Price
Average List to Sales Price %
Days on Market (DOM)
Months worth of Inventory (Based on current pending rate)
Buyers Market: > 7 months of listing inventory

Transitional Market: 5 - 7 months of listing inventory (sometimes called a “balanced” market)

Seller Market: < 5 months of listing inventory

Average % Sale Price/List Price (0-30), (31-60), (61-90), (91-120), (120+)DOM

Notice that you’re paying a penalty for over pricing. . .hey. .it’s a fact!!

The Benchmark Report is produced monthly for:

Single Family Residence
Ranch Style
1300 - 2000 sq.ft.
3 Bedrooms
1.5 Bathrooms

Art Wagner can be reached at art@stlouisrealestatevoice.com

Posted by Art Wagner | Read More | 1 Comment » | 08.31.2008

St. Louis Real Estate-Market Watch August 23rd, 2008

Filed under: St. Louis Market Reports

Saint Louis Real Estate Market Watch by Art Wagner @ Keller Williams Realty Southwest, Sunset Hills, Mo.
August 23rd, 2008
The Anatomy of St. Louis Real Estate

The St. Louis Home for Sale Team provides a weekly St. Louis County and Bi-weekly St. Charles County Market and Jefferson County Market Watch Report to review and plug into your home buying or selling scenario. Your questions and comments are welcome!

The St. Louis Real Estate Market this week shows more signs of inventory shrinking with fewer active listings and our pending ratio dropping to 13.54 percent. This same week in August 2007 we saw 11.5 percent more active listings with 16.7 percent more homes accepting contracts. The pending ratio the week of August 25^th, 2007 was 14.16 percent. Comparing average list pricing and average selling prices shows very little up or down movement from one year ago in most price ranges. Our averages show a 1 percent increase in average list prices and a 1.5 percent drop in sales prices from one year ago.

This year, our six month average of number of sold homes (closed transactions) is on an uphill climb. Here’s further evidence that our local market here is stable with homes selling at an average of 95.2 percent of list price.

You can check this out for yourself by looking at the August 25^th, 2007 Market Watch report in the archives. We have also added a line to our current Market Watch showing the total averages from one year ago this week.

The message continues to be clear to us; now is a great time to buy, especially with interest rates still historically low and new FHA financing programs. Since the price ranges that move our St. Louis market are in the $275,000 range and down, FHA could be the loan program of choice for a majority of home buyers in St. Louis, with FHA limits set up to $281,000 now.

St. Louis Real Estate St. Louis County Market Watch August 23rd, 2008

St. Louis Real Estate Jefferson County Market Watch August 23rd, 2008

St. Louis Real Estate St. Charles County Market Watch August 16th, 2008

St. Louis Real Estate Benchmark Report July 2008

The report also shows the last 6 months of results and compares the data to the same 6 months of the previous year.

The Market Analysis includes data on:

Transitional Market: 5 - 7 months of listing inventory (sometimes called a “balanced” market)

Seller Market: < 5 months of listing inventory

Average % Sale Price/List Price (0-30), (31-60), (61-90), (91-120), (120+)DOM

Notice that you’re paying a penalty for over pricing. . .hey. .it’s a fact!!

The Benchmark Report is produced monthly for:

Single Family Residence
Ranch Style
1300 - 2000 sq.ft.
3 Bedrooms
1.5 Bathrooms

Art Wagner can be reached at art@stlouisrealestatevoice.com

Posted by Art Wagner | Read More | Your Comments Are Welcome! | 08.24.2008

St. Louis Real Estate-Market Watch August 16th, 2008

Filed under: St. Louis Market Reports

Saint Louis Real Estate Market Watch by Art Wagner @ Keller Williams Realty Southwest, Sunset Hills, Mo.
August 16th, 2008
The Anatomy of St. Louis Real Estate

The St. Louis Real Estate Market this week continues our summer of 2008 trends as we see fewer homes coming on the market again. However, we are seeing a few more homes selling this week as our pending ratio inches up to 14.18 percent. Our list prices and sales prices are holding steady, as well, evidenced by the List to Sales Price average of 95.4%.

In some price ranges, that average may be a bit higher, or lower, but a 95.4% average IS something to shout about, especially when you consider that all transactions in the St. Louis County area make up that average INCLUDING Foreclosures and Short Sales. Other parts of the country, such as Las Vegas, parts of Florida and areas in California where almost 70% of their business is foreclosures and short sales, would have a tough time matching our local statistics. Our local statistics show that foreclosures and short sales make up only about 8–10 percent of our total transaction volume.

Interest rates are still at historically low levels, inventory is below 2005 levels and in the first quarter of 2008 we have seen pricing / appreciation increases of about 1.7 percent. We should be thankful we live in St. Louis. You don’t hear much, if at all, from the news media about these statistics; I guess they’re not doom and gloom enough to report.

BUYERS AND SELLERS– Go to RISMedia.com and check out the article from John Benson, who compiled information from a White Paper he authored entitled, “60% of the U.S. Can Stop Worrying about Housing Market”. He claims that a lot of the negative thinking and talk of recession is more of a “mental recession” than anything.

SELLERS– While you’re visiting RISMedia.com, check out this article, by Kathleen Lynn, which gives one frustrated seller’s insight into his experiences with his home selling process. “8 Reasons Your Home Hasn’t Sold Yet-Advice for Frustrated Clients”, is the title of the article. It mimicks what we have been telling our clients and prospective clients during our discussions about their home selling process.

St. Louis Real Estate St. Louis CountyMarket Watch August 16th, 2008

St. Louis Real Estate Jefferson County Market Watch August 9th, 2008

St. Louis Real Estate St. Charles County Market Watch August 16th, 2008

St. Louis Real Estate Benchmark Report July 2008

The report also shows the last 6 months of results and compares the data to the same 6 months of the previous year.

The Market Analysis includes data on:

Number of Active Listings (Current)
Pending Sales (Going to closing)
Pending Ratio (Active vs.Pending)
Sold (Last 6 months)
Expired (Last 6 months)1
Average List Price
Average Sale Price
Average List to Sales Price %
Days on Market (DOM)
Months worth of Inventory (Based on current pending rate)
Buyers Market: > 7 months of listing inventory

Transitional Market: 5 - 7 months of listing inventory (sometimes called a “balanced” market)

Seller Market: < 5 months of listing inventory

Average % Sale Price/List Price (0-30), (31-60), (61-90), (91-120), (120+)DOM

Notice that you’re paying a penalty for over pricing. . .hey. .it’s a fact!!

The Benchmark Report is produced monthly for:

Single Family Residence
Ranch Style
1300 - 2000 sq.ft.
3 Bedrooms
1.5 Bathrooms

Art Wagner can be reached at art@stlouisrealestatevoice.com

Posted by Art Wagner | Read More | Your Comments Are Welcome! | 08.17.2008

St. Louis Real Estate - Building Inspection - Termites

Filed under: Building Inspection News, First Time Home Buyer, For Buyers

Termite2 TERMITE INSPECTIONS FOR REAL ESTATE TRANSACTIONS by Harry Morrell, Allied Building Inspections LLC

A full building inspection for a house involved in a Real Estate transaction does not necessarily mean that a termite inspection is included. Inspectors must have a special license in the state of Missouri to inspect for termites. It is true that inspectors will call out wood structural components that have been damaged by termites, whether the damage is significant or just minor. However, observing and reporting termite presence will not generally occur if a full termite inspection is not included with the building inspection. Keep mind that when a buyer orders and schedules an inspection for a house they bought, their inspector will deliver them a report describing the conditions of the major structural and mechanical components of the house only. Read the rest of this entry »

Posted by Doug Aegerter | Read More | Your Comments Are Welcome! | 08.11.2008

St. Louis Real Estate-Market Watch August 9th, 2008

Filed under: St. Louis Market Reports

Saint Louis Real Estate Market Watch by Art Wagner @ Keller Williams Realty Southwest, Sunset Hills, Mo.
August 9th, 2008
The Anatomy of St. Louis Real Estate

The St. Louis Real Estate Market this week is showing a bit of an increase in active listings. We are also seeing fewer homes accepting contracts in the last 30–40 days (pending) and our pending ratio has dropped below 14 percent. However, the number of homes sold (contracts closed) in the last six months is still increasing, with fewer expired listings. We are still behind last year’s six month figures of homes sold by 1387.

Our inventory is getting close to the top end of the transitional zone ( 5–7 month), which means we are still trending towards a buyer’s market somewhat.

Thinking of buying or selling a home? Contact Us for a FREE Comparative Market Analysis and additional information tailored to your specific needs.

St. Louis Real Estate St. Louis County Market Watch August 9th, 2008

St. Louis Real Estate Jefferson County Market Watch August 9th, 2008

St. Louis Real Estate St. Charles County Market Watch August 2nd, 2008

St. Louis Real Estate Benchmark Report July 2008

The report also shows the last 6 months of results and compares the data to the same 6 months of the previous year.

The Market Analysis includes data on:

Transitional Market: 5 - 7 months of listing inventory (sometimes called a “balanced” market)

Seller Market: < 5 months of listing inventory

Average % Sale Price/List Price (0-30), (31-60), (61-90), (91-120), (120+)DOM

Notice that you’re paying a penalty for over pricing. . .hey. .it’s a fact!!

The Benchmark Report is produced monthly for:

Single Family Residence
Ranch Style
1300 - 2000 sq.ft.
3 Bedrooms
1.5 Bathrooms

Art Wagner can be reached at art@stlouisrealestatevoice.com

Posted by Art Wagner | Read More | Your Comments Are Welcome! | 08.10.2008

St. Louis Real Estate - Home Staging - To Stage or NOT

Filed under: For Sellers, Home Staging

Clutter, YEWH To Stage…Or Not to Stage…That is the Question, for Home Sellers and Listing Agents by Sue Rector, HomeStaging Innovations, LLC

Clutter…
Too Much Furniture…
Personalized Wall Colors and Patterns…
Those Collectibles…

In this market, anything and everything needs to be done to give your house the edge, whether you are the Seller or the Listing Agent.

There is so much inventory out there, Buyers need not rush into anything until they find that special house….the one where they can visualize themselves living there, with their things. The house that emits those warm fuzzies! The house that makes them feel like they are at home!

How does your house become that home that they love? Make sure it is staged! Whether it is a Staging Consultation Service for ideas and solutions, or Occupied Staging Services where the staging is completed for you with your belongings and budget, or Vacant Home Staging Services, with added furniture and accessories to define and accentuate….Houses that are Staged sell faster than Non-Staged houses, that is a fact!

Staging puts your house in its best possible apperance! The MLS pictures will look great, attracting Buyers and their Realtors to make that Staged Houses Sell Faster2 appointment for a personal visit.

Then when they get there…WOW!

Our staging team, We Stage St. Louis, has helped to sell over $7.6 Million in Homes within the Greater St. Louis Metropolitan Area, since January, 2007. Our Staged properties sell in an average of 40 days, and we are helping to get our Sellers 98.1% of the LP at closing. 90% of our Staged properties have SOLD!

Staging make a difference, especially in a more challenging housing market!

Reduce your nice clutter and your not-so-nice clutter, neutralize your walls and other areas, and accentuate your house’s special features through staging…..Get your house Sold!

Accredited Staging Professionals (ASP Stagers) are available to help you get your house sold with ideas and solutions based on professional guidelines that have proven to be successful.

If you are planning to place your house on the market in the near future or if your house has been on the market for awhile, decide to have your house staged! It is never too early or too late!

Make the decision TO STAGE….

Sue Rector, We Stage St. Louis

Sue can be contacted at suerector@stlouisrealestatevoice.com

Tags: St.+Louis+Real+Estate, Home+Staging, ASP+Stagers

Posted by Doug Aegerter | Read More | Your Comments Are Welcome! | 08.10.2008

St. Louis Mortgage News - Housing Assistance Tax Act of 2008 pt 2

Filed under: First Time Home Buyer, For Buyers, Mortgage News, Relocation Buyer

Credit for First-Time Home-buyers by Chris Scheer, Cornerstone Mortgage, O’Fallon, MO

The single largest provision in the Housing Act is a measure allowing taxpayers buying their first home to take a tax credit of up to $7,500 of the purchase price. Qualified home-buyers can subtract the credit amount from their federal income tax when they buy a home and even get a refund if the credit exceeds their tax. However, they are then required to pay the credit back over fifteen years. The result is that the credit resembles an interest-free loan that must be repaid to the government.

Here are the details of the new credit:

• The home must be located in the United States and must be the taxpayer’s principal residence. The taxpayer (and the taxpayer’s spouse if married) must not have owned another principal residence in the United States in the three-year period before purchasing the new home. Accordingly, the home does not literally have to be the taxpayer’s first home ever purchased in the United States.
• The home must be purchased between April 9, 2008 and June 30, 2009. Purchases from certain related persons and acquisitions by gift or inheritance do not qualify. A home constructed by the taxpayer does qualify if the taxpayer moves in between April 9, 2008 and June 30, 2009.
• There is also a special rule that allows taxpayers who purchase a qualifying principal residence in the first six months of 2009 to treat the purchase as if made on December 31, 2008. This allows the credit to be claimed on the taxpayer’s 2008 taxes rather than waiting to claim it on the taxpayer’s 2009 taxes.
• The credit is equal to ten percent of the price paid for the home, up to a maximum of $7,500. The $7,500 maximum credit applies both to individuals and married couples filing a joint return. A married individual filing separately can only claim a maximum credit of $3,750.
• The credit is phased out for individual taxpayers with modified adjusted gross income (AGI) between $75,000 and $95,000 ($150,000 and $170,000 for joint filers) for the year of purchase. Taxpayers with modified AGI over $95,000 ($170,000 for joint filers) can’t claim the credit at all.
• The credit is refundable, which means that households with incomes too low to owe any income tax can still benefit as the excess credit available after applying to any income taxes will be refunded to the taxpayer.
• In the second year after purchase (note that the payback doesn’t immediately start in the subsequent tax year), taxpayers who took the credit must start paying back the credit in equal interest-free installments over fifteen years. For example, suppose a first-time home-buyer purchases a home for $100,000 in December 2008 and claims the maximum credit of $7,500 on his 2008 tax return. He would then be required to pay back $500 (one-fifteenth of the credit) on his tax return for 2010 and for each subsequent return for the following fourteen years, finishing in 2024.
• If the taxpayer sells the home (or the home ceases to be the principal residence of the taxpayer or the taxpayer’s spouse) before the complete repayment of the credit, any remaining credit is due on the tax return for the year in which the home is sold (or ceases to be the principal residence). If the home was sold at a loss to an unrelated person, repayment of the remaining credit is forgiven to the extent of the loss.
• No credit is allowed if certain conditions exist: the taxpayer was ever entitled to a District of Columbia homebuyer credit, the home purchase was financed through tax-exempt mortgage revenue bonds, the taxpayer is a nonresident alien, or the taxpayer disposes of the residence (or it ceases to be a principal residence) in the same year as it was purchased.

For a chart of the tax credit information, click here

For Questions or Comments, please contact Chris Scheer chrisscheer@stlouisrealestatevoice.com

Posted by Doug Aegerter | Read More | Your Comments Are Welcome! | 08.05.2008

St. Louis Mortgage News - Housing Assistance Tax Act of 2008

Filed under: First Time Home Buyer, For Buyers, Mortgage News, Relocation Buyer

On July 30, 2008, President Bush signed into law the “Housing Assistance Tax Act of 2008” (the Housing Act). It includes a $15.1 billion package of housing tax incentives.

Here are the highlights of the bill for homeowners and first time home buyers.by Chris Scheer, Cornerstone Mortgage, O’Fallon, MO

Part One

Property Tax Deductions for Non-Itemizers

The Housing Act created a new, temporary property tax deduction for non-itemizers (i.e., for taxpayers who claim the standard deduction rather than itemizing their deductions).

Highlights include:

• The provision creates a new standard deduction for state and local real property taxes paid by non-itemizers. Since most homeowners who are paying on a mortgage have enough deductions (e.g., mortgage interest and property taxes) to justify itemizing them on their return, this new provision chiefly benefits homeowners who have paid off their homes.

• The deduction is currently only available for tax years that begin in 2008.

• The amount of deduction will be as much as $500 for single filers and $1,000 for joint filers. Since this is a deduction and not a credit (i.e., a dollar-for-dollar reduction in tax liability) the actual tax benefit will not be all that substantial. For example, it only proves a maximum of $100 to a couple in the ten percent tax bracket and $150 to a couple in the fifteen percent bracket (and only $50 and $75, respectively, to singles in those brackets). Granted, in this economy every little bit helps.

Part Two

Credit for First-Time Homebuyers (to be continued)

Chris Scheer can be reached at chrisscheer@stlouisrealestatevoice.com