2022 Boise Idaho Real Estate Blog

Idaho Real Estate Market Report

Main Idaho Real Estate Insights
This is a very interesting time to be in the business. We are past the worst of the housing downturn in the Boise area from all our market numbers we are seeing. The recovery will be fascinating to watch. Buyers, sellers, agents, appraisers, lenders, developers, vendors, and the trades will be challenged as the market heads back North. We have become so entrenched in a declining market that many people are having and will have trouble adjusting to the ?NEW MARKET?. Mike Pennington

Boise Idaho Real Estate Report

Boise Resale Homes

We see a slight cooling trend in closing starting in September. Not to be alarmed as I see this as a seasonal adjustment in the market. That being said Ada Co. had 443 closings in October which is 14% higher than our number in October of 2010. Canyon Co.’s numbers are holding steady at 225 closings which is an 18% increase over October 2010.
The average home prices for both Counties have been tracking at the same level for about a year now. This obviously must be the bottom as our averages have not dipped significantly the last 12 months.
One of the greatest dynamics of the market is the incredible shrinking inventory. Ada County is down to 1570 units and Canyon County has dropped to 671 units. That is a 3.46 month’s supply of homes in Ada County and 2.44 month’s supply in Canyon Co. Ada Co. has had a 35% decrease and Canyon Co. a 42% decrease from Oct. 2010.
Pending’s are down slightly but once again this seems to be a seasonal adjustment. That being said we are still have a 12% increase over October 2010.
The percentage of distressed properties one the resale side are holding about the same.
New and Resale Homes closed for October 2011 is up by 14% from last October.

New Homes in Boise Idaho

Closings for new homes are down slightly; once again indicative of the fall season.
The average home price in Ada County is up $27k over the year to date average of 2010. Canyon Co. is only up a modest $5k for the same time period.
Inventories continue to remain very steady with about 375 units in Ada Co. and 78 units in Canyon Co.
Pending sale for new homes are off slightly. We are still slightly behind last year’s monthly average.

Real Estate Narrative

Spring of 2012 will be extremely interesting to watch. It appears we will have very little resale inventory to choose from. It is a safe bet that builders will not or cannot flood the market with their inventory. We have a steadily increasing population as we continue to see a fairly strong immigration of new residents. Many of these are baby-boomers moving to be near family and others as job transferees. Our employment picture in Idaho and the Treasure Valley is slowly recovering. We see a fair amount of commercial building activity adding to job opportunities and new monies being spent in the area.
Consumers have a new attitude! Many folks are electing to get rid of the big box home and seem content with less square footage without really surrendering quality. Many people have been busy retiring debt wherever possible and rebuilding saving accounts. The new buyer will be far more cautious and conservative. Many will be in a far less risky situation financially than they were 5 or 6 years ago. People that short sold homes 3 or 4 years ago are coming back into the marketplace as their credit scores heal. What will 2012 really hold? No one person may have the answer to that question. However there is a huge pent up demand for homes and at some point and time buyers will regain their footing and their confidence. This period of time will become the source of teaching points for Educators for many years to come. We are living it and it is fascinating to watch. All we can do is push forward and stoke the fires of commerce whenever possible!

Mike Pennington – MIRM, CSP, CGA
www.johnlscott.com/mikepe
www.thepenningtonteam.com
Mobile: (208) 631-6969
 

 
Posted by tlangford at 11/11/2011 12:51:00 PM

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