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St. Louis Real Estate: Sales Decline, Prices Rise

  //house-home.news-articles.net/content/2026/01/1 .. louis-real-estate-sales-decline-prices-rise.html
  Published in House and Home on Sunday, January 11th 2026 at 2:23 GMT by St. Louis Post-Dispatch

St. Louis, MO - January 11th, 2026 - The St. Louis real estate market is exhibiting a nuanced picture as 2023 draws to a close, with home sales experiencing a decline while prices continue to inch upwards. New data released by the St. Louis Association of Realtors reveals a slowdown in transaction volume compared to the hyperactive market of 2022, but also highlights the surprising resilience of home values in the face of economic headwinds.

Sales Decline Amidst Rising Prices

November 2023 witnessed 1,674 home sales in the St. Louis metropolitan area, a significant 21.3% decrease from the 2,122 sales recorded in November 2022. This represents a considerable shift from the frenzied buying activity that characterized the previous year, reflecting the broader impact of ongoing economic factors. However, the story isn't solely one of decline. Despite fewer homes changing hands, prices have steadily climbed.

The median home price reached $313,000 in November, marking a 6.1% increase year-over-year. The average home price also saw a rise, settling at $358,668 - a 4.4% gain compared to November 2022. These figures suggest that, even with reduced sales volume, demand remains relatively robust, keeping upward pressure on pricing.

Inventory and Market Dynamics Shift

Adding another layer to the evolving market conditions, inventory levels have seen a modest increase. At the end of November, there were 2,675 homes available for sale, representing a 4.1% rise from the same period last year. While this increase offers a slight reprieve for potential buyers, inventory remains relatively tight compared to historical averages. This limited supply continues to play a role in supporting price appreciation.

The 'months of supply,' a key indicator of market balance, now stands at 1.6 months. This is up from 1.3 months in November 2022, indicating a slightly more balanced market, but still generally considered a seller's market. The average number of days a property spends on the market also reflects the shift in dynamics. Homes are now staying on the market for an average of 47 days, a noticeable increase from the 39 days observed in November 2022. This signifies a slowing of the sales pace, contrasting with the rapid-fire sales seen in prior periods. Notably, this longer time on the market also suggests a decrease in the intensity of bidding wars, a common occurrence in the exceptionally competitive market of 2022.

Expert Commentary and Contributing Factors

Linda Hayes, President of the St. Louis Association of Realtors, characterized the current market as displaying "continued price appreciation, but at a more sustainable pace." This highlights a shift from the unsustainable boom seen previously. She, and other market analysts, attribute the slowdown in sales primarily to the persistent elevation of mortgage rates.

Mortgage rates, which significantly impact home affordability, have remained stubbornly high, deterring some potential buyers and cooling demand. However, the tight inventory situation - despite the slight increase - continues to act as a counterbalancing force, preventing prices from significantly decreasing. The lack of available housing keeps competition present, and the fundamental desire for homeownership strong.

Looking Ahead

The St. Louis real estate market appears to be transitioning into a period of stabilization, offering a more balanced environment for both buyers and sellers. While the days of intense bidding wars may be fading, the ongoing inventory shortage suggests that price appreciation is likely to persist, albeit at a more moderate rate. Future market performance will largely depend on the trajectory of mortgage rates and any significant shifts in housing supply. The Association will continue to monitor these factors and provide updates as the market evolves.