Housing Market Trends

Posted by: admin  :  Category: Boise Market Trends, Idaho Real Estate Price Trends, Market Trends, Market Updates, Real Estate

A Strong Start to 2014

Boise’s local market real estate trends took a turn for the better, when December’s numbers flipped a two-month trend of unimpressive data.

I’m pleased to also report that 2013 started my tenth year in real estate, and it doubled my predictions and became my best year yet. I’ve heard similar reports from my associates. This makes for a strong start in 2014 when it comes to real estate and home sales in Boise. It sure helped with the community contributions we revealed in our last blog post.

You may recall that December was predicted to be unpredictable. Typically sales are lower than in November. December sales were up from the month and year before, making for a strong finish to 2013 and serving as an optimistic springboard into the New Year.

Homes are up in price across the board, however new homes realized a bigger jump (19%) than existing homes (13%) compared to 2012. For new homes, the median price is 280,500 compared to existing homes 183,000.

The median home price is predicted to stay strong throughout the year.

Median prices have now sat above 200,000 for five consecutive months. New homes are up in price by 10%, putting their median at $274,171. Existing homes were up 15% compared to last year at this time, bringing their median to $185,000.

When compared to the median family income of $67,519, our median home pricing is considered affordable. The same cannot be said for the rental market pricing, as we examined in our recent rental market blog.

Source: Ada County Association of Realtors

 

2016 homes on the market was an inventory decrease from November, across all price points. It tends to decrease between August and December. That said, inventory is up 21% since last year.

Our supply averages at 3.6 months, but is low in homes priced under $100,000. The most popular price point in December was 160,000- 200,000.

Here’s our monthly up and down update, depicting Boise’s real estate market trends:

Up

  • Median prices. In 2013, our overall YTD increase was up 16% to 198,000.
  • Year-to-date sales are 7,957; up 14% over 2012 YTD sales of 6,979.
  • Dollar volume for December was up 26% to $136 million and YTD we are just over $1.8 billion in sales.
  • Days on market averaged 59 in December, up nearly a week from November. Our year-to-date average is 52 days. Boise – count your blessings. In Helena, Montana days on market average at four months, some recent research revealed.
  • New homes sold in December totaled 134; up 16% from December 2012 and up 4% from November.

 Down

  • Pending sales, at 686, were down 13% from December 2012.
  • Distressed sales, at 12%, were down from December 2012’s 24%, but up 1% from November 2013.
  • Short sales. Of the distressed properties, there were more REO/bank owned sales than short sales for the second month in a row.
  • Inventory decreased in December from November, but is up 21% since last year.

Static

  • The most popular price points continue to be $160,000 – 200,000 and homes under $160,000.
  • Interest is still hovering around 4.5%.

Please keep me in mind as a resource for your real estate questions, valuation needs, or referrals. I’m always happy to consult about the relation of the current market with your specific real estate goals.

Sincerely,
Providing you real estate market trends
ShanaFosterMoore@gmail.com
Your Local Boise Real Estate Professional

2 Responses to “Housing Market Trends”

  1. Mr. H Says:

    Shana,

    My family is considering a move to Boise. When we visited in June we saw a large amount of new home construction. I am a bit baffled on what is driving this demand. From a macroeconomic view, I don’t see the demand drivers. Can you help me understand what you think the driver of this demand is, and alleviate that the trend isn’t heading into a small bubble?

    Mr. H

  2. admin Says:

    Thank you for your comment/question Mr. H.

    I would speculate that some demand is driven simply because Boise is a desirable place to live.
    http://fosterboise.com/listomania-boise-tops-the-charts-again

    Additional drive likely is due to overall population growth.
    http://fosterboise.com/renters-vs-owners-whos-really-better-off article includes population growth information via the Census.

    Census data link:

    http://factfinder2.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ACS_12_1YR_CP03&prodType=table

    After having recently been through a bubble, I don’t interpret the market trending as comparable (no drastic spikes in growth). It could be argued that we are still amidst our recovery, since new home building was below average and somewhat dormant for several years.

    If you would like to speak further about the Boise market, in preparation for your move, I’d be happy to speak with you. You may give me a call or email me a time that you would like me to call you.

    Best of luck moving to Boise!
    Shana Foster Moore
    Your Local Boise Real Estate Resource

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