Housing downturn in St. Louis has silver lining, economist says
St. Louis – The St. Louis region is again leading the Midwest for the biggest drop in home sales. But one analyst said that may indicate a relatively stable local economy.
The Associated Press-Re/Max Monthly Housing Report found sales in the metro area were down 58 percent compared with November 2007, while the median sales price declined 14.3 percent to $124,250.
However Washington University economics professor Glenn MacDonald said the region's economy is less volatile than other parts of the country.
He said that relative stability may explain why the housing market has dried up here.
MacDonald said stable businesses experience fewer layoffs, meaning fewer people are desperate to sell their homes.