Strong Spring Housing Market Doesn’t Mean Sellers Can Overprice

Tight inventory continued to push home prices up in March 2016, and sales remained strong.

In March 2016, the median sales price of all single-family homes in Ada County, as tracked by the Intermountain MLS, was at $234,950, up 5.4% compared to March 2015. The median sales price of existing single-family homes was $215,000, up 2.4% year-over-year; the new construction median sales price was $296,000, up 4.8% year-over-year. There were 788 closed sales in Ada County in March 2016, up 13.5% from March 2015.

In Canyon County, the median sales price of all single-family homes was $156,150, up 16.1% from March 2015. The median sales price of existing single-family homes was $149,900, up 15.3% year-over-year; and the new construction median sales price was $197,800, up 13.0% year-over-year. There were and 356 closed sales in Canyon County, up 21.5%, over the same month last year.

For sellers, it’s easy to want to list higher when there is so much buyer demand “just to see” what they could get. Sellers who want to test the market with a higher price may tell their agent they will “let the buyer talk them down on price” or that they’re hoping for multiple offers over asking price like “their friend had, just one day after listing.”

There were a few spots in the region where this was the case last month. In Northeast Boise (IMLS Area 0200), on average, existing homes sold for 102.0% over asking, and in Southeast Meridian (IMLS Area 0100), existing homes sold for 103.7% over asking, on average. In both Ada and Canyon Counties, most newly constructed homes sold at or above asking price in March 2016, often because of upgrades.

While it may feel like every house sells over asking price in just one day, that’s not the case overall.

Existing homes in Ada County neighborhoods sold, on average, between 93.6% (Meridian SW 1010) and 98.8% (Boise N 0100) under asking price. Existing homes in Canyon County neighborhoods sold, on average, between 81.3% (Wilder 1293) and 99.8% (Nampa S 1260) under asking price.

Carey Farmer 2016 President

These numbers are still very positive for sellers, but serve as a benchmark for the research provided by their REALTOR®. Carey Farmer, 2016 President of Boise Regional REALTORS® and Broker Associate with Group One Sotheby’s International Realty, explains: “Our job is to present an accurate, current, and realistic view of the market to our sellers to attract the most buyers, and to work to ensure their selected offer will appraise.”

Even with high demand, buyers can sense when a home is not reasonably priced because they’ve toured a lot of homes and are doing their research online. But should a seller accept an offer that’s above market, there may not be recent, comparable sales to support the appraisal. In this case, the deal is on hold the seller and buyer can agree to a reduced price, or the buyer may cancel and move on.

This news may give some relief to buyers, but it does not mean offers can go too low. Just as they’ll do for sellers, REALTORS® will research comparable homes to help buyers determine a strong offer price that’s reasonable based on the market and (hopefully) acceptable to the sellers. While not every house may be in a multiple offer situation, if an offer is weak, the seller may decline. “If we have offer but more showings are scheduled in the next few days or hours, some sellers may wait, hoping for a better price or more favorable terms,” said Farmer. (“Terms” refer to earnest money, closing date, seller contributions, inspection contingencies, and other aspects of the offer.)

Both buyers and sellers must work closely with their REALTOR® to stay on top of market trends, to make sure offers and listings are the best they can be from the get-go.

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March 2016 Market Summary

Activity from Intermountain MLS, a wholly-owned subsidiary of Boise Regional REALTORS®, as of April 11, 2016 for single-family homes, with existing and new properties, and all neighborhoods combined.

Metrics Ada County Canyon County
Mar 2016 YOY % Chg Mar 2016 YOY % Chg
Closed Sales 788 13.5% 356 21.5%
Median Sales Price $234,950 5.4% $156,150 16.1%
Days on Market 56 -13.8% 55 -19.1%
Pending Sales 1,590 24.2% 622 7.8%
Inventory 1.796 -17.4% 772 -28.0%
Months Supply 2.6 -27.8% 2.7 -35.7%

Additional information about trends within each county, and by price point, by existing vs. new construction, and by neighborhood, are now available in the March 2016 Market Report. This report includes an explanation of the metrics and notes on data sources and methodology.

Download and share the snapshot graphics for Ada County and Canyon County:

ADA Snapshot - March 2016 CANYON Snapshot - March 2016

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This report is provided by the Ada County Association of REALTORS®, which began doing business as Boise Regional REALTORS® (BRR) in 2016. BRR is the largest local REALTOR® association in Idaho, with over 3,600 members and two wholly-owned subsidiaries — the Intermountain Multiple Listing Service, Inc. (IMLS) and the REALTORS® Community Foundation. This report is based primarily on the public statistics provided by the IMLS, available at: intermountainmls.com/Statistics/Static.aspx. These statistics are based upon information secured by the agent from the owner or their representative. The accuracy of this information, while deemed reliable, has not been verified and is not guaranteed. These statistics are not intended to represent the total number of properties sold in the counties or cities during the specified time period. The IMLS and BRR provide these statistics for purposes of general market analysis but make no representations as to past or future performance.  || The term “single-family homes” includes detached single-family homes with or without acreage, as classified in the IMLS. These numbers do not include activity for mobile homes, condominiums, townhomes, land, commercial, or multi-family properties (like apartment buildings). If you are a consumer, please contact a REALTOR® to get the most current and accurate information specific to your situation.

Distributed to the media on April 12, 2016.

New Market Reports Show Strong Start for Housing in 2016

Boise Regional REALTORS® (BRR) is kicking off the year with new market reports that provide a more detailed view of the region’s housing market. Starting with January 2016 data, we will dig deeper into trends happening within price points, between existing homes and new construction, and highlight sales and price trends by city, while continuing to report county-level trends.

The new reports for Ada County and for Canyon County are now available here.

Carey Farmer, President of Boise Regional REALTORS® and Associate Broker at Group One Real Estate: “This new level of detail helps consumers understand the trends behind the trends, while also giving our REALTOR® members another tool to explain these market variations to their buyers and sellers.”

For example, looking at the Months Supply of Inventory metric for homes priced between $200,000-$249,999, as of January 2016, the demand for existing homes in Ada County far outpaced the supply, putting sellers in a great position to list. That said, buyers have a variety of options to choose from in new construction both in Ada and Canyon Counties.

“2016 started off much stronger compared to last year, both in price and the number of sales in most segments,” said Farmer. “I’ve encouraged many homeowners who are thinking of waiting until spring to list their homes, to talk to a REALTOR® now. As the January 2016 market report shows, there are huge opportunities for sellers in nearly every price point in Ada County, and especially for homes priced under $300,000 in Canyon County.”

Key metrics show increases in closed sales, pending sales, and median sales compared to a year ago for all single-family homes with all price points combined:

Ada County

Canyon County

Jan 2016

% Chg Jan 2016

% Chg

Closed Sales

459

7.7% 225

11.9%

Median Sales Price

$237,638

5.9% $146,000

15.0%

Days on Market

67

-4.3% 58

-22.7%

Pending Sales

1,109

27.9% 439

9.7%

Inventory

1,695

-11.5% 795

-23.2%

Months Supply of Inventory

2.7

-27.0% 3.1

-34.0%

 

Additional information about trends within each county, by price point, by existing and new construction, and by city, are now available at boirealtors.com/category/market-info. And download the monthly snapshot graphics for Ada County and Canyon County.

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This report is provided by the Ada County Association of REALTORS® (ACAR), which began doing business as Boise Regional REALTORS® (BRR) in 2016. BRR is the largest local REALTOR® association in Idaho, with over 3,600 members and two wholly-owned subsidiaries — the Intermountain Multiple Listing Service, Inc. (IMLS) and the REALTORS® Community Foundation. This report is based primarily on the public statistics provided by the IMLS, available at: intermountainmls.com/Statistics/Static.aspx. These statistics are based upon information secured by the agent from the owner or their representative. The accuracy of this information, while deemed reliable, has not been verified and is not guaranteed. These statistics are not intended to represent the total number of properties sold in the counties or cities during the specified time period. The IMLS and BRR provide these statistics for purposes of general market analysis but makes no representations as to the past or future appreciation or depreciation of property values. The term “single-family homes” includes detached single-family homes with or without acreage, as classified in the IMLS. These numbers do not include activity for condominiums, townhomes, land, commercial, or multi-family properties (like apartment buildings). If you are a consumer, please contact a REALTOR® to get the most current and accurate information specific to your situation.

 

Distributed to the media on February 12, 2016.

Low Unemployment, Interest Rates Keep Homes Affordable Event as Prices Rise

In November 2015, the median sales price of single family home prices in Ada County, as tracked through the Intermountain MLS, was at $240,300 up 11.5% compared to November 2014. Breaking that down by sales type, the median sales price of existing single family homes was $213,000, up 7.2% year-over-year, while the new construction median sales price was $356,209, up 11.9% year-over-year.

According to a survey from the National Association of REALTORS®, the median price in Idaho is expected to increase by 3-4% over the next 12 months (looking ahead to October 2016), for existing and new homes combined. While the survey doesn’t break those numbers down to other geographies, in Ada County, we’ve seen prices increase over the past 12 months (from October 31, 2014 to November 30, 2015) by 8.7% for all homes—the median sales price for existing homes was up 8.8% year-to-date, and by 3.9% year-to-date for new construction homes.

There are a variety of factors that will determine where prices end up a year from now, especially local unemployment rates. The latest numbers from the Idaho Department of Labor show a 2.9% unemployment rate for Ada County, as of October 2015. Boise City had the lowest rate across the state at 2.4%, and Meridian came in at 3.6%. These were all well under the 5% rate nationwide.

“There is always a concern that when prices rise, homes will become unaffordable for some people,” said Brenda Kolsen, 2015 President of the Ada County Association of REALTORS®. “We’ll certainly continue to watch affordability in our region, but with the positive jobs numbers, recent wins by BVEP which is bringing new companies to the Valley, and continued interest from people wanting to move to our area, we feel that our local real estate market is in a great position for buyers and sellers alike—and we expect it to be that way for some time.”

Additionally, low down payment programs and the continuation of historically low mortgage rates have allowed people to purchase homes even as prices have risen. In November 2015, HSH.com reported mortgage rates at 3.988%.

In addition to price, here is how the rest of the market performed in November 2015, looking at all single-family home activity in Ada County, as reported to the Intermountain MLS, a subsidiary of the Ada County Association of REALTORS®:

  • Closed Sales were at 621, up 13.1% year-over-year, and up 18.4% YTD
  • Median Sales Price was at $240,300, up 11.5% year-over-year, and up 8.7% YTD
  • Days on Market was at 50 days, down 10.9% year-over-year, and down 9.1% YTD
  • Pending Sales were at 1,152, up 39.3% year-over-year (not tracked YTD)
  • Inventory was at 1,919, down 15.2% year-over-year (not tracked YTD)
  • Months of Inventory was at 2.7 months, down 28.9% year-over-year (not tracked YTD)

Download the November 2015 Snapshot

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The information in this market report is based on a variety of sources, but primarily on the public statistics provided by the Intermountain MLS (IMLS), a subsidiary of ACAR, available here: http://publicstats.intermountainmls.com/static/Reports/Ada/2015/November-2015-Ada.pdf. These statistics are based upon information secured by the agent from the owner or their representative. The accuracy of this information, while deemed reliable, has not been verified and is not guaranteed. These statistics are not intended to represent the total number of properties sold in Ada County during the specified time period. The IMLS provides these statistics for purposes of general market analysis but makes no representations as to the past or future appreciation or depreciation of property values. (To reduce the error, only data falling within 3 standard deviations from the mean has been included in the report. Existing and new construction statistics are calculated independently and may not sum to the total number of homes sold.) Changes to methodology: Effective 3/1/2007, ‘days on market’ refers to the number of days that transpire between the listing date and the date the property goes into pending status. Effective 4/1/2011, standard deviation is modified to reflect the difference between the asking and sold prices as a percentage of the asking price.

July 2015 Market Report: Higher home prices despite seasonal sales dip?

Compared to June 2015, single-family home prices in Ada County for July 2015 were up, while pending and closed sales were down. To some these sales counts prompted questions of a slowdown—but a seasonal slowdown is quite different than a market slowdown. Based on the recent trends and comparing them to historical performance, we’re not seeing a market slowdown at this time. Let’s take a look…

Seasonal Trends          Month-To-Month June 2015 July 2015 MTM % Chg
Pending Sales 1,359 1,319 -2.9%
Closed Sales 1,035* 1,007 -2.7%
Median Sales Price $230,000 $232,500 1.1%

 

* Adjusted for sales reported to IMLS after previous month’s market report was distributed.

Market Wide Trends     Year-Over-Year July 2014 July 2015 YOY % Chg
Pending Sales 988 1,319 33.5%
Closed Sales 837 1,007 20.3%
Median Sales Price $214,503 $232,500 8.4%

We’ve highlighted pending sales, since that metric is an indicator of future sales, as the homes under contract will likely close within the next 30-60 days. So while there may be a seasonal dip in pending sales of 2.9% from June to July, looking year-over-year, pending sales were 33.5% higher than the same time last year.

Market Snapshot_July1Yet after last month’s market report, showing peaks in prices and closed sales for Ada County, it’s easy to wonder whether we’re at the top of the market, or leaning towards a downturn. Brenda Kolsen, President of the Ada County Association of REALTORS®, responds: “As noted in our mid-year market report, our area typically sees a slight drop in activity each year in July or August, after the rush of the spring market, and as people take summer vacations and get ready for the new school year. Then we usually have another pop of activity in the fall. I expect we’ll see the same this year if economic conditions persist, and based on the number of inquiries our REALTOR® members are fielding every day, from people looking to buy and sell.”

The question of a market peak—or even another housing bubble—is also being asked nationally. Based on the economic trends tracked by the National Association of REALTORS® (NAR), that’s not likely. At an industry event held in Chicago on Monday, NAR’s Chief Economist Lawrence Yun explained that the national market is very different today than it was at the “bottom” in 2008 or 2009. Most notably because of the changes in credit/lending standards and housing inventory levels over the past few years.

Mortgage lenders now follow strict rules to qualify potential homebuyers, and many of the creative loan programs that were available back then are no longer in use. This has helped to diminish the risk of buyers getting into loans beyond their financial means. Paired with improving jobs numbers, we’re in a much better situation today, both financially and economically.

Additionally, the supply of homes nationwide is well below consumer demand, which is fueling the rise in prices. Locally, we’re definitely seeing the same thing, with supply at 2.5 months in July 2015 for all single-family inventory throughout Ada County. (A balanced market—not favoring buyers or sellers—is typically between 4.0-6.0 months of supply.)

“We will continue to watch local trends, especially pending sales and prices, to identify any irregularities that may emerge outside of our usual, seasonal peaks and valleys,” said Kolsen, “But in the meantime, I encourage any consumer who has questions or concerns about the market, to reach out to a REALTOR® to get the facts specific to their real estate situation.”

Here’s how the rest of July 2015 shaped up for single-family homes in Ada County:

  • Closed Sales were at 1,007, up 20.3% year-over-year, and up 19.2% year-to-date
  • Median Sales Price was at $232,500, up 8.4% year-over-year, and up 7.8% year-to-date
  • Days on Market was at 42 days, down 8.7% year-over-year, and down 5.5% year-to-date
  • Months of Inventory was at 2.5 months, down 30.6% year-over-year (number not tracked YTD)

 

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The Ada County Association of REALTORS® represents nearly 3,500 real estate professionals throughout the Boise region. For more information about the benefits of working with a REALTOR® and to search for a REALTOR® by name, language, or professional designation, visit http://myacar.com/find-a-realtor.

NOTE: The information in this market report is based on a variety of sources, but primarily on the public statistics provided by the Intermountain MLS (IMLS), a subsidiary of the Ada County Association of REALTORS®, available here: http://publicstats.intermountainmls.com/static/Reports/Ada/2015/July-2015-Ada.pdf. These statistics are based upon information secured by the agent from the owner or their representative. The accuracy of this information, while deemed reliable, has not been verified and is not guaranteed. These statistics are not intended to represent the total number of properties sold in Ada County during the specified time period. The IMLS provides these statistics for purposes of general market analysis, but makes no representations as to the past or future appreciation or depreciation of property values. (To reduce the error, only data falling within 3 standard deviations from the mean has been included in the report. Existing and new construction statistics are calculated independently and may not sum to the total number of homes sold.) Changes to methodology: Effective 3/1/2007, ‘days on market’ refers to the number of days that transpire between the listing date and the date the property goes into pending status. Effective 4/1/2011, standard deviation is modified to reflect the difference between the asking and sold prices as a percentage of the asking price.

June 2015 Market Report: Highest Number of Homes Sold in One Month Since 2006

Market Snapshot_JuneJune 2015 marked the highest number of homes sold and the highest sales volume in one month for single-family homes in Ada County, since June 2006.

While there have been a steady increases month-over-month (looking at the numbers over the past four years, based on records available), June 2015 topped them all with 1,028 single family home sales throughout Ada County. That was a year-over-year increase of 26.1%, and year-to-date, sales were up 18.6%. The total volume of single-family home sales in June 2015 was $279.5 million, which was a whopping 36.1% increase over June 2014, and a healthy 17.9% increase over May 2015.

Brenda Kolsen, 2015 President of the Ada County Association of REALTORS®, commented on the increases: “We typically see a run up in sales starting in the spring, through June and July. Then consumers take a quick break for vacations, before another burst of activity in the fall. This year is on a similar track, except for the enormous amount of activity that REALTORS® are handling every day.”

So what’s driving this demand? While we can’t point to one specific reason, gains in population and job growth across the state may be factors.

According to the U.S. Census Bureau data, Ada County’s population increased 8.6% between April 2010 and July 2014. Statewide the population increased 4.3%. Three groups seemed to be leading that growth, including Hispanic immigrants, recent retirees, and “midcareer” individuals and families. These last two groups were highlighted in a recent Idaho Statesmen article, noting departures from high-priced states like California, Washington, and Oregon, in exchange for Idaho’s lower cost of living and lifestyle opportunities. Additionally, the Idaho Department of Labor reported another month of year-over-year growth in jobs, up 2.5% in May 2015. Pairing job growth with improving Consumer Confidence scores, not only are people more comfortable purchasing a home, they may also be willing to spend a little more.

Stepping away from demographic and economic figures, back to local market statistics, here’s how the rest of June 2015 looked for Ada County real estate:

· 1,028 single-family homes sold, up 26.1% year-over-year
· $230,000 was the median sales price, up 6.0% year-over-year
· 2.6 months of inventory was available for sale, which was even with last year—inventory of existing homes as at 2.1 months and new construction was at 4.9 months in June 2015
· 42 days was the average market time, down 5 days, for a decrease of 36.2% year-over-year

2015 Mid-Year Market Update  (pdf)

NOTE: The information in this market report is based primarily on the public statistics provided by the Intermountain MLS (IMLS): http://publicstats.intermountainmls.com/static/Reports/Ada/2015/June-2015-Ada.pdf. These statistics are based upon information secured by the agent from the owner or their representative. The accuracy of this information, while deemed reliable, has not been verified and is not guaranteed. These statistics are not intended to represent the total number of properties sold in Ada County during the specified time period. The IMLS provides these statistics for purposes of general market analysis, but makes no representations as to the past or future appreciation or depreciation of property values. (To reduce the error, only data falling within 3 standard deviations from the mean has been included in the report. Existing and new construction statistics are calculated independently and may not sum to the total number of homes sold.) Changes to methodology: Effective 3/1/2007, ‘days on market’ refers to the number of days that transpire between the listing date and the date the property goes into pending status. Effective 4/1/2011, standard deviation is modified to reflect the difference between the asking and sold prices as a percentage of the asking price.

May Market Report: Opportunity for Move Up Buyers

Market Snapshot_MayLast month, we reported on trends that were driving housing demand across the country, as reported in the Economic and Housing Market Outlook from the National Association of REALTORS® and Chief Economist, Dr. Lawrence Yun. While many of these national trends are also present in Ada County, there is one area in which we differ—new construction.

Dr. Yun reported that housing starts nationally were well below the historical normal rate of 1.5 million per year, due primarily to the increasing costs of materials and labor. In many markets, this has contributed to the overall lack of inventory available for sale.

But according to the Building Contractors Association of Southwestern Idaho, residential new construction permits were up 10% in April 2015. They did note a slight 2% decrease in the Median Sales Price for May 2015. Looking at new construction data from the Intermountain MLS (IMLS), for May 2015 specifically in Ada County, we did see similar trends in price—the Median Sale Price of newly constructed homes in May 2015 was $296,900, compared to $301,038 in May of 2014, representing a 1.4% decrease year-over-year.

Additionally, the months of available inventory for newly constructed homes was at 5.9 months in May 2015. While this was a decrease compared to last year, it was considerably higher than the months of available inventory for existing homes, which was at 2.2 months in May 2015.

While slight price decreases and a higher supply of new homes may seem like cause for concern, it’s actually a great opportunity for move-up buyers.

Brenda Kolsen, 2015 President of the Ada County Association of REALTORS®, explains: “Throughout the spring market, we saw some buyers getting frustrated with the lack of inventory available, especially in the lower price points. But many owners weren’t ready to list because they didn’t want to be competing for homes, once theirs sold. But the message we’re sharing with prospective sellers, is that there are homes available, especially at higher price points and in new construction. And with rates still at historically low levels, we’re encouraging homeowners who have been thinking about selling, to meet with a REALTOR® now and review what’s possible in their situation.”

County-wide, here’s how the rest of May 2015 shaped up:

  • 901 single-family homes sold, up 14.5% year-over-year
  • Distressed properties (REOs and short sales) only accounted for 3% of the homes sold, down 50% compared to last year at this time
  • The Median Sales Price was $229,000, up 9.6% year-over-year
  • Available inventory was at 2.8 months, a decrease of 9.7% year-over-year (again, new construction supply was at 5.9 months, while the supply of existing homes was at 2.2 months)
  • Days on market was at 49, which was 2 days longer than last year, due to an increase in new construction market time, at 92 days in May 2015 compared to 76 days in May 2014

 

Notes: Based on information provided by the Intermountain MLS (IMLS). These statistics are based upon information secured by the agent fromthe owner or their representative. The accuracy of this information, while deemed reliable, has not been verified and is not guaranteed. These statistics are not intended to represent the total number of properties sold in Ada County during the specified time period. The IMLS provides these statistics for purposes of general market analysis, but makes no representations as to the past or future appreciation or depreciation of property values. (To reduce the error, only data falling within 3 standard deviations from the mean has been included in the report. Existing and new construction statistics are calculated independently and may not sum to the total number of homes sold.) * Effective 3/1/2007, ‘days on market’ refers to the number of days that transpire between the listing date and the date the property goes into pending status. Effective 4/1/2011, standard deviation is modified to reflect the difference between the asking and sold prices as a percentage of the asking price.

March Market Report- Starts off Strong

Market Snapshot_MarchMarch 2015 is the strongest March we’ve had since 2007. Single-family home sales in March 2015 were 694 in Ada County. YTD total sales are up 14% compared to this time last year; 1,630 homes sold compared to $1,425.

Days on Market for March were 65. That’s slightly down from February and we see it continue to hover around the same number the past few months.

New homes sold in March totaled 134; Existing home sales were 560.

March median home price was $222,000. Our YTD Median Price is $222,700.

New Homes Median Price for March was $282,402. Existing Home Median Price for March was $210,000.

Pending sales at the end of March were 1,208.

In Ada County we now have 3.6 months of inventory on hand, a very slight increase from February, but we can use it as we go into the Spring selling season.

March was strong in both sales and median home price, this should continue into the summer.

On the National level Existing-Home Sales spike in March. NAR Study: Boomerang Buyers Expected to Boost Housing Demand

Looks like we are gearing up for an interesting summer.

January Market Report-Say Hello to 2015

Market Snapshot_JanuarySingle-family sales in January 2015 were 425 in Ada County, an increase of 1.67% compared to January 2014.

Dollar volume for January was up 9% to $107 million.

If you feel a slight deja vu that’s because Days on Market are at 70, same as January 2014. In December we were at 66.

New Homes Sold in January totaled 104; up 3% from last year. Existing Home Sales were 321; up from 1% from last year.

Pending sales at the end of January 867; up from January 2014.

January median home price was $223,900 up 8% from January 2014.

New Homes median home price for January was $313,773; up 13% from January 2014.

For Existing homes the increase is 4% to $198,000.

In Ada County we now have 3.7 months of inventory on hand. Up just a little from the end of December.

A look at National shows despite low inventory conditions, existing-home sales bounced back in December and climbed above an annual pace of 5 million sales for the sixth time in seven months.

December Market Report-That Was Fun

Single family home sales in December 2014 were 597 in Ada County, an increase of 3.5% compared to December 2013.  YTD total sales are down 2.5% compared to this time last year; 7,764 homes sold compared to 7,7,964.

Total dollar volume for December was $154M (up 8% over December 2013). Year-to-date dollar volume is $1.91B compared to $1.85B in 2013.

Consistent with the rest of 2014, sales of homes in December priced above $160,000 showed increases in every price category.

Average Days on Market in December were 66; nine more days than last month. In December 2013, Days on Market was 59.

New homes sold in December totaled 129; down 5% from last year.

Existing home sales were 468; up 6% from December 2013.

Historically December sales decrease from November levels by an average of 2%.   This year there was an increase of 11%.

Pending sales at the end of December were 712; up 4% compared to December 2013. Pending sales are our best “forward looking” indicator. December 2014 is the first month all year to have an increase in year-over-year “Pending Sales”….talk about a home run in the bottom of the ninth inning!

December median home price was $214,000; up 8% from December 2013. Our YTD median price is $210,000; up 6% over last year.

New Homes median price for December was $301,850; up 8% from December 2013. For Existing homes the increase is 6% to $194,600.

The number of houses available for sale at the end of December decreased 25% from November 2014 to 1,947. This is down slightly to last year.

As is typical this time of year, inventory contracted in all price categories for December.

Consistent what we’ve been observing regarding inventory, homes in the $120,000 – $160,000 shrank more than any other price point.

In Ada County we now have 3.5 months of inventory on hand, essentially unchanged from the end of July.

The price categories in shortest supply are $100,000 to $119,000 which has 1.3 months; and $120,000 – $159,000 which has 1.8 months.

From $200,000 to $400,000 we have 4 months available.

Of sales in December, the two strongest price points were $120,000 to $160,000; up 17% from November and $160,000 to $200,000; up 12%.

In the end, sales fell a little short of what we expected. We’re seeing the same picture nationwide. Because of the solid median price appreciation, dollar volume will be well ahead of last year.

November Market Report- Hoping for a Nice Christmas Present!

Market Snapshot_November2Single family home sales in November 2014 were 528 in Ada County, an decrease of 5% compared to November 2013.  YTD total sales are down 3% compared to this time last year; 7,155 homes sold compared to 7,387. Reluctantly, I’m going to have to recognize that total homes sold in 2014 will not exceed the number of homes sold in 2013.

On the other hand, total dollar volume for November was $139M (up 4% over November 2013). Year-to-date dollar volume is $1.75B compared to $1.72B in 2013.

Consistent with the rest of 2014, sales of homes in November priced above $160,000 showed increases in nearly every price category.

Average Days on Market in November were 57; two fewer days than last month. In November 2013, Days on Market was 52.

New homes sold in November totaled 103; down 3% from last year.

Existing home sales were 425; down 6% from November 2013.

Historically November sales decrease from October levels by an average of 9%.   This year there was an decrease of 19%; which is more consistent with the last three years.

Pending sales at the end of November were 827; even to November 2013. Pending sales are our best “forward looking” indicator. The last three months have shown a stronger “Pending Sales” picture.

November median home price was $215,319; up 5% from November 2013. Our YTD median price is $209,990; up 6% over last year.

New Homes median price for September was $295,095; up 7% from November 2013. For Existing homes the increase is 7% to $197,000.

The number of houses available for sale at the end of November decreased 13% from October 2014 to 2,591. This is even to last year.

As is typical this time of year, inventory contracted in all price categories for November.

Consistent what we’ve been observing regarding inventory, homes in the $120,000 – $160,000 shrank more than any other price point.

In Ada County we now have 3.8 months of inventory on hand, essentially unchanged from the end of July.

The price categories in shortest supply are $100,000 to $119,000 which has 1.4 months; and $120,000 – $159,000 which has 1.9 months.

From $200,000 to $400,000 we have 2 – 4 months available.

Of sales in November, the price point that held on to it’s summer pace was $300,000 – $400,000..downs 11%.

As it looks now, in Boise and the nation, sales in 2014 will not exceed 2013 in number of homes sold. Because of the solid median price appreciation, dollar volume will be well ahead of last year.

You will start to hear the media asking: “Is the recovery over?”

The answer to that is a resounding “No.”

Maybe you were at the Real Estate Summit yesterday to hear Dr. Lawrence Yun, Chief Economist for NAR give his reason for why 2015 will be another very solid year for real estate in Ada County.

One reason for his optimism was released in a report yesterday: “NAR Identifies Top Metro areas Poised for Uptick in Baby Boomer Sales”.

There we are…#2!