Housing prices in the St. Louis area continue to accelerate, with a new government report showing a 9.1% increase in the latest 12 months.#
The increase, calculated between March 2020 and March 2021, is the largest in the 30-year history of the Federal Housing Finance Agency's purchase-only index for metro St. Louis. In the first quarter of this year alone, prices rose 1.7%.
A revision also boosted the metro-area price increase for calendar 2020 to 9.1%. That increase was originally estimated at 8.9%, which was the previous record.
Real-estate agents report that St. Louis has become an "extreme" seller's market, with houses routinely selling for more than the asking price.
Nationally, house prices rose 3.5% during the first quarter and 12.6% during the latest 12 months. The largest increases were in western states such as Idaho and Utah, where prices rose 23.7% and 19.2%, respectively.
When the price index is adjusted for inflation, the latest numbers show that the St. Louis market has climbed back slightly above where it was in early 2007, before a deep recession caused housing prices to crater. The general price level has risen 28.9% in 14 years, while St. Louis house prices have risen 29.6%.
This post has been updated to correct the inflation calculation.
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