Strength in area home sales keeps rising

Trepidation in the housing market has declined in Missouri over the years. Home sales have been increasing steadily throughout the state, and with it, home prices have increased as well.

This means fewer options for potential homebuyers.

“Our inventory is low this year compared to last year,” said Elizabeth Gray, broker and owner of Realty One Associates. “Things just aren’t staying on the market as long.”

When comparing Southeast Missouri home sales with the state, the numbers vary, but the trend remains the same: Sales are up.

According to the most recent statistics from Missouri Realtors, between January and April 2013, 19,388 homes were sold in Missouri. During the same period this year, 21,803 homes were sold — a 12.5 percent increase. The number of days on the market for this period have dropped by 11.5 percent since 2014.

According to information from the Cape Girardeau County Multiple Listing Service representing Cape Girardeau, Perry, Bollinger and Stoddard counties from Jan. 1 through May 31, home sales have increased 4 percent compared to the same period in 2015.

Certain areas have seen more activity than others. Cape Girardeau has seen a 12 percent increase in home sales, while Jackson’s pre-owned home sales dropped by 3 percent when compared to the first five months of 2015.

Homes in greater Perry County have seen a 283 percent increase in sales — 23 homes have been sold between January and May 2016, as opposed to six in the same period of 2015, while home sales in the city of Perryville have dropped by 17 percent.

Throughout the state, the median selling price in April 2014 was $128,000. In April 2015, it increased to $142,000. By April 2016, the median price was $148,825, according to statistics from Missouri Realtors.

Turning to regional numbers, however, a different tale is told.

Last year between January and May, the median sale price in Cape Girardeau was $125,500, according to the MLS data. In 2016, it’s $125,000.

Jackson saw a 3 percent increase in median sale price, from $158,000 to $162,900.

Other counties and cities in the region saw differing fluctuations as well, though overall for the Cape Girardeau MLS service, median sale prices increased 4 percent between January and May 2015 and the same period in 2016.

“Cape has never been in a market where prices spike,” said Dave Soto, owner of Soto Property Solutions and president of the Missouri Realtor Association.

Year-to-date sales are up by 11 percent this year throughout the state, according to Missouri Realtors, and there are many reasons for this.

Soto considers market confidence and low unemployment levels as driving factors.

Bill Cole, executive broker and owner of Realty Executives of Cape County, said low mortgage interest rates and slight easing of credit on the part of lenders as the reason for the increased sales.

Cole said people also are choosing homeownership over property rental as a tactic to save money.

“Rent has certainly not gotten less expensive,” Cole said. “Some people see they can reduce their monthly payment and think, ‘Why not?’”

bbrown@semissourian.com

(573) 388-3630