BARGAINS FOR BUYERS: PLENTY OF HOMES ON CAPE AREA MARKET

Yes, there are more real estate "for sale" signs in Cape Girardeau's front yards.

But the reason is the season, those in the business say.

"That's typical for this time of year," said Howard Alexander of Century 21, Ashland Realty, and president of the Cape County Board of Realtors. "Many Realtors are just ending their big listing season."

His peers agree that the season has an impact, but the number of homes for sale is slightly higher than usual.

"A lot of people wait until school is out before they list property," said Martha Hamilton, owner-broker of Coldwell Banker Hamilton Realty. "We have seen a lot more homes come on the market recently, and more than in past years."

She said the trend means good bargains for buyers.

There are about 200 more homes for sale than a year ago, according to the Cape Girardeau County Multi-List Service Inc., which keeps up with statistics in Cape Girardeau County and parts of Scott, Perry and Bollinger counties.

A year ago, 1,159 pieces of property were listed for sale in the Cape Girardeau, Jackson and Scott City area. As of June 13, listings totaled 1,357, not unheard of for this time of year.

Growing supply

In several cities across the United States this year, real estate salespeople are reporting a growing supply of available homes. But, by historical standards, residential sales continue to remain high overall, and many economists are optimistic since the housing market continues to hold its own.

Local Realtors cite good mortgage interest rates as a reason the local market will remain solid.

"The count of individual properties sold may be down a bit, but the monetary amount is more in Cape Girardeau," said Ivan Irvin of Century 21, Key Realty.

He said home sales breed more home sales. When someone sees a property sold, they more seriously consider selling their own.

Selection is key

Dave Dormeyer of Prudential Bridgeport Inc. Realtors said the more listings, the merrier. "We see a lot of signs, but this gives people a wide range of selections."

A total of 203 people have bought homes throughout the Cape Girardeau, Jackson and Scott City areas the first five months of 2001, paying about $42.5 million. This compares to 261 pieces of residential property sold at a cost of $45.7 million during the first 5 1/2 months of 2000.

In Cape Girardeau, sales volume is at $27.8 million, up from about $19 million a year ago. Jackson's sales volume for 2001 is at $13.7 million and Scott City area sales are at about $2.1 million.

Homebuilding in Cape Girardeau is maintaining about the same pace as a year ago. A total of 26 single-family home permits have been issued in the amount of about $3.6 million, an average of $140,000 per home. One of the permits issued this month, however, was for $350,000.

Ownership trend

Fifty-six percent of the families living in the more than 16,000 residential units in Cape Girardeau own their homes. The home ownership rate increases when county property is counted the rate is 63 percent ownership of the more than 25,000 residential units.

Nationally, the home ownership rate has increased over the past two years to 67 percent, and Missouri, with a 68.6 home ownership rate, is ranked as the 10th highest home ownership state in the nation.

Meanwhile, National Association of Realtors executives expect home sales to remain at an exceptionally strong pace in the months ahead.

Dr. David Lereah, NAR's chief economist, projects existing home sales to rise about 1 percent this year, with new-home sales to increase about 3.1 percent.