If you’re interested in living or relocating to Idaho and need some help understanding the real estate market, neighborhoods, and interest rates, look no further, we are here to help you!
Buying a home can be a daunting task; moving across the country is exhausting; navigating a new city, landscape, and marketplace is overwhelming. The housing market can be confusing.
But don’t worry, that’s where we come in. At First Service Group, we put you and your interests first. We’re a family owned business that knows the Boise area inside and out. Unlike many larger property management/real estate companies in Boise who cannot afford the quality time to do so, our family owned and operated company allows us to directly focus on our clients and their needs.
Breaking Down The Market
The market changes all the time; each month is packed with different data. In dissecting the month of February, some key facts arose.
New Construction Sales
The Ada County housing market has been shifting to a new norm with new construction sales gaining more and more of the total market share. In February 2019, new construction sales made up 38.7% of all sales, a 10.0% increase from a year ago.
While sales of new construction homes have been up year-over-year for the last 21 consecutive months, sales of existing homes have now been down for the last nine consecutive months; however; however, this doesn’t mean that there still isn’t abundant demand for existing houses. If you’ve been thinking about listing your home, now would be a great time to talk to your REALTOR® at First Service Group about your options as we head into the spring selling season.
Loans for new construction projects have been even more conservative than other areas of the market, diminishing the future pipeline. Together with rising labor and materials costs, these factors should restrain the construction pipeline of apartment, self-storage and industrial properties, which have all reached cyclical highs.
Supply and Demand
More and more people are looking to buy homes, build homes, and invest in property. Because there’s more buyers than sellers, things in the market get scooped up quickly. If you’re looking to buy a single family home, or invest in a property, things move quickly and you’ll want someone in your corner fighting for you. Let us help you navigate this! Our real estate agents have lived and worked in the Boise area for years and know it extremely well.
Location, Location, Location
Each county and neighborhood in and around Boise is different and homes get gobbled up at different price points. In the most recent data from February the following was determined:
Median Home Sale Price $365,142
Year to Date $369,286
Median Home Sale Price $217,000
Year to Date $215,000
Most expensive neighborhoods: The highest median sales prices in January were in Northeast Boise, at $532,000, followed by Eagle at $513,500 and North Boise at $498,262.
Least expensive Ada neighborhoods: The lowest median prices were in Garden City, at $222,000, followed by West Boise at $228,250 and the Boise Bench at $241,000.
Interest rates are falling. Mortgage buyer Freddie Mac reported the average rate on a 30-year fixed-rate mortgage decreased to 4.41 percent. It had been as high as 4.94 percent in November. A drop in interest rates is invigorating investors as it reopens opportunities. Borrowing costs have fallen, and buyers are revisiting previous opportunities.
If you’re an investor, we can help you! At First Service Group Property Management, our goal is to optimize your property investments, and to maximize your rental income and occupancy rates. Our staff has over 15 years of combined outstanding property management experience in Boise. We specialize in single-family homes, condominiums, commercial spaces, homeowner associations and multi-family complexes.
We’re On Your Side
In giving you that snapshot of the market, we want you to know just how fast things move and change! If you’re interested in buying or selling, let us know, as interest rates can change daily. With low inventory, buyers are snapping up houses and investments quickly.
Choosing a company you trust is pivotal. Our family owned and operated business is here for you.