St. Louis area house prices appeared to get a boost from last year’s falling interest rates. A 5.35% rise in a government price index during 2019 was the second-biggest since the housing recovery began in 2012.
The St. Louis figure, for a seasonally adjusted purchase-only index from the Federal Housing Finance Agency, was slightly above the 5.1% price rise nationwide. In the fourth quarter of 2019, prices rose 1.9% in metro St. Louis and 1.3% nationwide.
Annual change in housing prices
The FHFA said Boise, Idaho, had the hottest housing market among the 100 largest U.S. metro areas. Prices there rose 12.7%. Albany, New York, brought up the rear with a decline of 1.8%.
St. Louis area housing prices have now risen for eight straight years. Area home values are up 43% since they hit bottom in 2012, and 17% above the pre-recession peak in early 2007.
If the index is adjusted for inflation, however, St. Louis area housing prices remain 7% below their 2007 peak.