2021 BOISE IDAHO REAL ESTATE BLOG
Boise, Idaho Real Estate Market By the Numbers Main Treasure Valley Life

As they say on Marketplace, NPR’s economics update segment, “Let’s do the numbers.” This market report will show how much Boise, Idaho and Idaho, in general, have grown since the beginning of 2020 and how our local real estate market has exceeded expectations in the face of the Coronavirus.

Here is what we have gathered from a few of the most trusted real estate reporting sources on the internet. One thing to note (although it is a bit pretty): Many of the national reports refer to Boise as “Boise City, ID”. Boise is just “Boise”. Boise City is in Oklahoma.

Home values in the Treasure Valley have been rising in the last few years, and 2020 saw further growth on top of that. As of this article being published on 3/22/2021, here are the latest home median values around the Boise area (unless noted for the most recent available data).

  • Ada County median home prices: $452,400
    • North Boise: $605,000
    • Eagle: $668,500
    • North Meridan $420,000
    • Star: $432,925
  • Canyon County median home prices: $300,000 (Q4 2020)
    • North Nampa: $360,000
    • South Nampa: $328,732
    • South Caldwell: $310,000
    • Middleton: $415,000

Compare these numbers to what Boise Regional Realtors (BRR) reported in October 2020 to see what 6 months during the pandemic did for the market. Hint: They haven't stopped going up.

Boise new construction permits

  Total Building Permits 2020 Total Building Permits 2019 Total Building Permits 2018 Total Building Permits 2017 Total Building Permits 2016 Total Building Permits 2015
Ada County 4,758 4,340 3,964 3,859 3,593 2,980
% Change from Previous Year +9.6% +9.49% +2.7% +7.4% +20.6% +31.1%
Canyon County 2,303 2,055 1,700 1,444 1,282 1,028
% Change from Previous Year +12.0% 20.88% +17.8% +12.6% +24.7% +18.9%

 

Tying into this, Zillow reported that Idaho leads the nation in terms of housing-stock growth. Since 2011, housing stock has increased by 149%. Idaho is followed by Nevada (146.3%), Utah (126.2%), Arizona (116.5%), Colorado (111.6%) and Washington (108%). However, this nearly 150% housing build growth has not been enough to stem the tide of COVID-19-induced buyer frenzy, as housing stock is down to 83% compared to this time last year.

  • Homes sold in the Boise metro area in 2020: 19,856 at a median price of $433,906

 

Boise home value appreciation

  • The median price of a home increased $129.33 daily in 2020, so those that bought one year earlier saved $47,207 in payments and transferred that directly into the home's equity just for living in the home. 
  • Homebuyers who purchased a home in 2010 have seen an average appreciation of $285,000 on their home’s value!
  • Idaho homeowners saw an average equity gain of $48,000 from February 2020 to February 2021. (CoreLogic)
    • This was the second-most in the country after California ($55,000)
  • Compared to the national average home equity gain of $26,300, Idaho is leading the charge in home equity gain year-over-year.

FreddieMac recently released a detailed report about the migration patterns around the country and the fastest-growing cities in the nation. Here are some of the relevant takeaways for our market.

  • Meridian, Idaho is one of the 10 fastest-growing cities in the country. Around it on the list are cities like Frisco TX and South Jordan, UT.
  • Boise and Provo, UT are two places in the country of similar sizes that are experiencing faster suburb growth than urban city growth, highlighting the large number of people moving to the area. (See Exhibit 9 in the report)
    • Bend, OR, Midland, TX, and Cape Coral, FL are cities in the same category as Boise in terms of size and are often used as comparison cities. These cities are experiencing larger and faster urban growth than suburban growth in 2020. (See Exhibit 9 in the report)

 

What do rising home values and city growth mean for the Boise area?

Whew, we made it through all of the numbers. It wasn’t too boring, was it? We don't think so, because this means more exciting times are ahead for Boise and the rest of the Treasure Valley. Even as mortgage rates ticked up to 3% for the first time since summer 2020 (which isn’t very high, all things considered), buyers are undeterred. Our agents are still seeing plenty of qualified and motivated buyers that are excited to move to the area in spite of the housing shortage. This reflects the national real estate picture painted by CoreLogic Deputy Chief Economist, Selma, Hepp:

“With mortgage rates steadily falling through the end of the year and buyers realizing that the pandemic is still far from over, robust demand was not fazed by the traditional seasonal slowdown. And given that we are unsure of when social interaction will be safe again, homebuyers will continue to compete for fewer and fewer homes available for sale, which will drive home prices higher.”

As more people get vaccinated against COVID-19 and social interaction returns closer to normalcy, sellers will likely be more open to listing their house. As more homes come on the market and new construction continues to pick up, we are hoping to see more homes come on the market and alleviate buyer stress.

Whether you are ready to buy or sell this year, Build Idaho real estate agents are ready to help you get started on your real estate journey. Give your agent a call today to get the ball rolling.

 
Posted by AndrewS at 3/23/2021 2:12:00 AM
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