Looking for insight into the St. Louis real estate market? Whether you’re flipping houses, building a BRRRR portfolio, or searching for the best hard money lenders in Missouri, this Q3 market update is packed with investor insights you don’t want to miss.
Matt Becker, Broker at Magnolia Real Estate, is back to walk us through the latest data, policy changes, and what it means for investors like you in this next quarter.
What Markets Are Hot Right Now?
Matt shared that the Northeast is currently the fastest-growing real estate market in the country, with some New York zip codes showing over 6% YoY price increases. Redfin confirms that multiple East Coast markets are surging despite national slowdowns.
The Midwest, especially markets like St. Louis and Kansas City, remains a strong second.
In contrast, Florida—especially along the Gulf Coast—is cooling fast. Rising insurance premiums, as reported by Insurance Journal, are making some areas less attractive for new investors.
This could mean long-term buying opportunities for cash-heavy investors who are patient.
St. Louis Real Estate Trends: What You Need to Know
Matt broke down June 2025 data for the St. Louis real estate market:
- 48% of homes sold over asking
- 46% sold under asking
- Only 6% sold at list price
- Average DOM (days on market): 6–7, but buyer urgency is slowing
According to Realtor.com, buyers nationwide are becoming more selective and price-sensitive. And that’s exactly what we’re seeing here in STL.
If you’re working with hard money lenders in St. Louis like FasterFunds, or managing a flip with private capital, that extra 10–20 days on market can make or break your profits.
Pricing Strategy for Fix and Flip Loans
Matt emphasized that investors using fix and flip loans or short-term real estate loans need to dial in their pricing:
- List on Thursdays to attract weekend buyers
- Use current comps only, ignore 2021–2022 data
- Be willing to drop price within 3–4 weeks if interest is low
A good rule: If you’re not under contract in 14–21 days, the market is sending a message.
For rehabbers using hard money financing, this means baking holding costs into your deal analysis more aggressively.
Need help calculating holding costs and ARV?
Here’s how FasterFunds calculates ARV
What Appraisers Want from Flippers
If you’re using a house rehab loan, here’s what to give the appraiser at the time of sale:
- A list of upgrades (just the features, not prices)
- A few key comps that support your ARV
- A brief summary of buyer interest (like “3 offers in first 48 hours”)
According to the Appraisal Institute, presenting clear, professional information can absolutely influence how an appraiser views your property’s value.
Big News: Missouri Law Changes That Benefit Investors
Two new laws were passed in Missouri that directly help real estate investors:
Missouri Eliminates State Capital Gains Tax
Under HB 594, investors no longer pay state-level capital gains tax on property sales. This could mean thousands in savings for those using hard money rehab loans or commercial real estate lending.
Stronger Protections for Landlords
HB 595 blocks cities from forcing landlords to accept Section 8 or limiting tenant screening based on income source or criminal history.
This ensures freedom of choice when building a rental property portfolio or using BRRRR loans to grow long-term cash flow.
Local Investor Hotspots in the St. Louis Area
Matt highlighted areas where real estate investment loans still perform well:
- St. Charles County homes under $300K
- High-end flips ($600K+) in West County with luxury finishes
- Investor-friendly properties in North City and South City STL
Looking for a hard money lender in Missouri who knows these areas inside and out?
Work with FasterFunds Lending
Learn More & Stay Plugged In
Want to stay up to speed with Missouri real estate and hard money lending for real estate investors? Here’s where to start:
- Fix and Flip Loans – FasterFunds
- Rental & BRRRR Loans
- Join Buyers Club – Weekly calls + monthly meetups
- National Association of Realtors – Market data & trends
- HUD.gov – Investment property guidelines
Final Thoughts
If you’re navigating today’s market, you’re not alone. The right lender, comps, and strategy can make the difference between a profitable flip or a holding-cost headache.
Whether you’re looking for a private lender in Missouri, hard money mortgage lenders near St. Louis, or funding for your next BRRRR deal, FasterFunds is here to help.
Call us at 636-223-4262 or Apply Online
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