Q1 2022 Idaho Real Estate Market Update

The following analysis of select counties of the Idaho real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.

 

Regional Economic Overview

Employment in Idaho rose 3.2% over the past 12 months and the latest data shows the number of jobs is 38,300 higher than the pre-pandemic peak. This is particularly notable as there are only nine other states that have exceeded their pre-Covid employment levels. The state unemployment rate was only 2.7%, down from 3.1% at the end of 2021, and lower than the March 2021 rate of 3.9%. There was a very modest decline in total employment between February and March of this year, but I do not see this as being an issue. The labor force continues to grow, and my current forecast calls for employment to rise 3% in 2022.

Idaho Home Sales

In the first quarter of 2022, 5,183 homes sold, representing an increase of 4.2% compared to a year ago but 24.7% lower than in the fourth quarter of 2021.

Quarter over quarter, sales fell in every county covered by this report.

Sales fell in all the northern counties contained in this report compared to a year ago, but this was offset by rising sales in more than half of the counties in Southern Idaho.

Pending sales were 2.7% lower than in the fourth quarter of 2021, but this is more than likely a function of inventory levels, which were down 28.4% from the last quarter. Supply is still very tight.

Idaho Home Prices

The average home price in the region rose 18.6% year over year to $612,558 and was 3.1% higher than in the fourth quarter of 2021.

Compared to the final quarter of 2021, prices were higher in Kootenai and Shoshone counties in the north. All counties in the southern part of the state saw sale prices increase from the prior quarter.

Prices rose by double digits in all the northern counties contained in this report, and all but Boise County saw similar robust price appreciation in the southern part of the state. In total, prices rose 17.2% in the Northern Idaho counties and 19.5% in the southern counties.

The market appears to have either shrugged off the significant increase in mortgage rates in the first quarter, or the impact has yet to be felt.

A map showing the year-over-year real estate market percentage changes in various counties in Idaho for Q1 2022.

A bar graph showing the annual change in home sale prices for various counties in Idaho from Q1 2021 to Q1 2022.

Mortgage Rates

Average rates for a 30-year conforming mortgage were 3.11% at the end of 2021, but since then have jumped over 1.5%—the largest increase since 1987. The surge in rates is because the market is anticipating a seven- to eight-point increase from the Federal Reserve later this year.

Because the mortgage market has priced this into the rates they are offering today, my forecast suggests that we are getting close to a ceiling in rates, and it is my belief that they will rise modestly in the second quarter before stabilizing for the balance of the year.

A bar graph showing the average rates for a 30-year conforming mortgage, plus Matthew Gardner's mortgage rate forecasts for Q2 2022 through Q1 2023.

Idaho Days on Market

It took an average of 80 days to sell a home in Northern Idaho, and 53 days in the southern part of the state covered by this report.

The average number of days it took to sell a home in the region dropped ten days compared to a year ago but rose eight days compared to the fourth quarter of 2021.

In Northern Idaho, days-on-market dropped in all counties from a year ago, and market time dropped or remained static in every county other than Bonner compared to the previous quarter. In Southern Idaho, average market time fell in all counties other than Canyon, Gem, and Ada compared to a year ago but rose across the board compared to the prior quarter.

Homes sold the fastest in Ada County in the southern part of the state, and in Shoshone County in Northern Idaho.

A bar graph showing the average days on market for homes in various counties in Idaho during Q1 2022.

Conclusions

This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.

The strong Idaho economy has helped the housing market continue its upward trajectory. We should see more homes come on the market as we move into the spring selling season, but this is unlikely to be sufficient to meet demand. The question remains whether rising mortgage rates will impact the pace of appreciation that home prices have experienced in recent years. The data suggests that it has yet to be a factor, but we will have to wait and see what the spring market shows us.

A speedometer graph indicating a seller's market in Idaho during Q1 2022.

Given all these factors, I have decided to leave the needle in the same position as the previous quarter. It remains a strong seller’s market, but listing prices are softening somewhat in certain areas, which may be a pre-cursor to a slowdown in price appreciation.

About Matthew Gardner

Matthew Gardner - Chief Economist for Windermere Real Estate

As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.

In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.

The post Q1 2022 Idaho Real Estate Market Update appeared first on Windermere Real Estate.

Q4 2021 Idaho Real Estate Market Update

The following analysis of select counties of the Idaho real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.

 

Regional Economic Overview

The Idaho economy continues to impress with employment growing by 2.1% over the past year. Comparatively, the country as a whole has grown by 4.2% during the same period; however, the U.S. still needs to recover more than 3.7 million jobs that were lost due to COVID-19, while Idaho has already fully recovered. Moreover, state employment levels are 14,500 jobs higher than the pre-pandemic peak. Given the robust employment growth, it’s not surprising that the unemployment rate was a very impressive 2.8% in November (the most recent data available). New COVID-19 cases started rising again at the start of 2022, but it’s still unclear whether that will have an impact on the economy. Instinctively, I do not see it as a significant impediment, as the latest data suggests that infection rates may have already peaked.

idaho Home Sales

❱ In the final quarter of 2021, 6,887 homes sold. This was 5.7% lower than a year ago, and down 6.4% compared to the third quarter of last year.

❱ Quarter-over-quarter, sales rose in Bonner and Payette counties, but fell in the rest of the market areas covered by this report.

❱ Year-over-year, sales improved in Boundary and Bonner counties in the northern part of the state. Sales rose in Gem, Canyon, and Payette counties in Southern Idaho.

❱ Pending sales were 14% lower than in the third quarter, which suggests a slowing market, but this can be attributed to seasonality. Listing activity was up 41% compared to a year ago but fell 25.5% from the third quarter. The market remains very tight on the supply side.

idaho Home Prices

A map showing the real estate market percentage changes in various counties in North and South Idaho during the fourth quarter of 2021.

❱ The average home price in the region rose 19.6% year-over-year to $593,868 but fell 1.5% compared to the third quarter.

❱ When compared to the third quarter of 2021, prices were higher in Bonner and Boundary counties in the north, and in Payette, Canyon, and Gem counties in Southern Idaho.

❱ Prices rose by double digits in all of the northern counties in this report, while in the southern counties, all but Blaine County saw sale prices rise by more than ten percent. In aggregate, prices rose 29.1% in the Northern Idaho counties and were up 20.1% in the southern counties.

❱ Such aggressive price appreciation is impressive given that mortgage rates rose .3% during the quarter. It’s clear the housing market is still out of balance, even as sales growth slowed. This pace of appreciation can’t go on indefinitely, and it seems we’ve reached that end. I expect price growth will trend lower as we move through 2022 due to affordability constraints and rising mortgage rates.

A bar graph showing the annual change in home sale prices for various counties in North and South Idaho during the fourth quarter of 2021.

Days on Market

❱ It took an average of 82 days to sell a home in Northern Idaho and 42 days in the southern part of the state.

❱ The average number of days it took to sell a home in the region dropped 9 days compared a year ago but rose 11 days compared to the third quarter of 2021.

❱ In Northern Idaho, days on market dropped in all counties compared to a year ago but rose in all counties compared to the third quarter of 2021. In Southern Idaho, market time also dropped in Valley, Payette, and Blaine counties but rose in the other markets covered by this report.

❱ Homes sold the fastest in Payette County in the southern part of the state, and in Shoshone County in Northern Idaho.

A bar graph showing the average days on market for homes in various counties in North and South Idaho during the fourth quarter of 2021.

Conclusions

A speedometer graph indicating a seller's market in Idaho during the fourth quarter of 2021.

This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.

Idaho’s economy continues to fire on all cylinders. Such robust growth has caused the housing market to perform extremely well—as demonstrated by the rapid pace of home price appreciation.

In-migration to Idaho has been impressive. Much of this has been driven by the ability for employees to continue working remotely. For many workers leaving more expensive markets, price points in Idaho are a major draw. Although mortgage rates will continue to climb higher in 2022, my forecast calls for home prices in Idaho’s southern counties to see low double-digit percentage gains while the northern part of the state can expect increases in the high teens. Good news for sellers, but buyers will likely not be so happy.

Even with the prospect of more homes coming to market in the spring, Idaho remains staunchly a seller’s market and I am moving the needle a little more in their favor.

About Matthew Gardner

Matthew Gardner - Chief Economist for Windermere Real Estate

As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.

In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.

The post Q4 2021 Idaho Real Estate Market Update appeared first on Windermere Real Estate.

Q3 2021 Idaho Real Estate Market Update

The following analysis of select counties of the Idaho real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.

 

Regional Economic Overview

On top of having recovered all the jobs lost to COVID-19 by the end of 2020—a remarkable feat in itself—the Idaho economy continues to strengthen. Current employment levels are up by 15,400 jobs from the pre-pandemic peak. With the labor market continuing to expand, the unemployment rate was 2.9% in August (the most recent data available). Equally impressive was that the rate dropped even as the labor force grew—no easy task. New COVID-19 cases remain higher than I would like, but this does not appear to have impacted the state’s economy to any significant degree given the robust employment picture. As we move, hopefully, toward a time when the impacts of the pandemic wane further, I see nothing but an upward trajectory for the state’s economy.

idaho Home Sales

❱ In the third quarter, 7,354 existing homes sold, representing a drop of 19.9% from a year ago. However, given that the country was experiencing a massive housing rebound following the outbreak of COVID-19, any comparison with data from 12 months ago is not very informative. More useful is that sales rose 22.1% compared to the second quarter of 2021.

❱ As mentioned, comparing current data to a year ago does not provide an accurate picture, but comparing it with the second quarter data shows sales higher across the board. Sales were up by double digits in every county covered by this report.

❱ Year-over-year sales improved in Shoshone County in Northern Idaho. Sales also rose in Gem County in the southern part of the state.

❱ Pending sales rose 16.5% from the second quarter of 2021, suggesting that closed sales in the final quarter of the year are also likely to show improvement from current levels. This is also supported by the fact that listing inventory has risen almost 36%. I predict more listings will lead to more sales.

idaho Home Prices

A map showing the real estate market percentage changes in various counties in Idaho during the third quarter of 2021.

❱ The average home price in the region rose 30.9% year over year to $603,066. Prices were also up 8% compared to the second quarter of this year.

❱ Compared to the previous quarter, home prices were up 8.9% in both the northern and southern counties in this report. Sizable gains were seen in Shoshone County (+33.7%) and Bonner County (+22.7%) in the north, and Valley County (+22.6%) and Blaine County (+17.2%) in the south.

❱ Prices rose by double-digits across the board. Sale prices were up 37% in the North Idaho counties covered by this report, and up 27.7% in the southern counties.

❱ With far more buyers than sellers, home prices continue their upward march. As prices are rising at a far faster pace than wages, this cannot continue indefinitely. I expect to see the pace of appreciation start to slow, but probably not until next year.

A bar graph showing the annual change in home sale prices for various counties in North and South Idaho during the third quarter of 2021.

Days on Market

❱ It took an average of 72 days to sell a home in Northern Idaho, and 31 days in the southern part of the state.

❱ The average number of days it took to sell a home in the region dropped 23 days compared to the third quarter of 2020 but rose 2 days compared to the second quarter of this year.

❱ In Northern Idaho, days on market dropped in all counties versus a year ago but rose in all counties compared to the second quarter of this year. Market time in Southern Idaho was also lower than a year ago, but it was up from the prior quarter in Valley, Gem, and Blaine counties.

❱ Homes sold the fastest in Ada and Canyon counties in the southern part of the state. Sales were again fastest in Shoshone County in the northern part of the state.

A bar graph showing the average days on market for homes in various counties in North and South Idaho during the third quarter of 2021.

Conclusions

A speedometer graph indicating a seller's market in Idaho during the third quarter of 2021.

This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.

Idaho’s economy appears to be powering forward and job recovery is well ahead of almost every other state. The result is clearly an increasing number of buyers who feel comfortable buying a new home, even given the dramatic price growth of late.

That said, the only factors favoring buyers right now are that there are significantly more homes to choose from and mortgage rates remain very low by historic standards. All other factors support sellers more than buyers. As such, I am moving the needle a little more in their favor, even as affordability concerns continue to rise.

About Matthew Gardner

Matthew Gardner - Chief Economist for Windermere Real Estate

As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.

In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.

The post Q3 2021 Idaho Real Estate Market Update appeared first on Windermere Real Estate.

Q2 2021 Idaho Real Estate Market Update

The following analysis of select counties of the Idaho real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.

 

Regional Economic Overview

The post-COVID job recovery continues at an impressive rate. As discussed in last quarter’s Gardner Report, the state has not only recovered all of the 79,600 jobs that were shed during the pandemic but has added 16,300 new positions. Utah remains the only other state that can make this claim. With such a strong recovery, and additional new hiring, it is no surprise to see the unemployment rate continuing to trend lower. It currently stands at only 3%—almost half the national rate of 5.9%. New COVID-19 cases have risen in recent weeks, but not to a level that is likely to slow down the state’s robust rate of economic growth. That said, if there are significant increases in infections, it may take some of the momentum away. I remain hopeful this will not be the case.

idaho Home Sales

❱ In the second quarter, 6,023 existing homes sold, representing a drop of 4.7% year over year. However, because the pandemic was in full swing a year ago, I think it’s more meaningful to consider the second quarter sales increase of 21.7% relative to the first quarter of this year.

❱ Due to the pandemic, comparing the current quarter to a year ago does not give an accurate picture, but compared to first-quarter data, home sales showed solid growth in all counties. Bonner and Kootenai led the way in the north, and Boise and Blaine in the south.

❱ Year-over-year sales showed significant growth in all of the Northern Idaho counties contained in this report. In the southern part of the state, sales soared in Blaine County, were modestly higher in Boise and Gem counties, but were lower in all other markets.

❱ Pending sales rose 3.4% from the first quarter of this year, suggesting that the third quarter will be positive. This may also be aided by higher levels of inventory, which were up almost 55% compared to the first quarter.

idaho Home Prices

A map showing the real estate market percentage changes for various counties in Idaho.

❱ Compared to a year ago, the average home price in the region rose 44.4% to $558,161. Prices were also up 8% compared to the prior quarter.

❱ Southern Idaho also saw significant year-over-year gains. Boise County jumped almost 67%. Of additional note was that prices were only .6% higher in Southern Idaho compared to the prior quarter.

❱ Prices rose year over year by at least 47% in all Northern Idaho counties covered by this report, and they were 9% higher than in the first quarter of this year. Some suspect that prices are being driven up by an increase in buyers from nearby Spokane, Washington moving to Northern Idaho where prices and supply are better, and it’s close enough to commute to Spokane for work.

❱ Buyers still outnumber sellers, which resulted in steep price increases. This may also be a function of mortgage rates rising in the first quarter, which nudged more buyers off the fence even as inventory levels remained very weak.

A bar graph showing the annual change in home sale prices for various counties in North and South Idaho.

Days on Market

❱ It took an average of 68 days to sell a home in Northern Idaho, and 36 days in the southern part of the state covered by this report.

❱ The average number of days it took to sell a home in the region dropped 29 days compared to the second quarter of 2020 and was down 27 days compared to the first quarter of this year.

❱ In Northern Idaho, days-on-market dropped in all counties compared to a year ago, and market time was also lower than in the previous quarter. In Southern Idaho, market time dropped in all counties other than Valley, where it took five more days to sell a home than in the second quarter of 2020. Market time was down across the state compared to the first quarter of this year.

❱ Homes sold fastest in Boise and Ada counties in the southern part of the state, and in Shoshone County in the northern part of the state.

A bar graph showing the average days on market for homes in various counties in North and South Idaho.

Conclusions

A speedometer graph indicating a seller's market in Idaho.

This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.

The economy continues to perform very admirably, and this is allowing buyers to become even more confident in their decision to buy a home. Mortgage rates have pulled back, and while I expect them to tick higher as we move through the year, they will still be remarkably low from a historic standpoint. Inventory levels have risen, but demand is still outpacing supply. Therefore, I have moved the needle more in favor of home sellers.

About Matthew Gardner

Matthew Gardner - Chief Economist for Windermere Real Estate

As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.

In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.

The post Q2 2021 Idaho Real Estate Market Update appeared first on Windermere Real Estate.

Q1 2021 Idaho Real Estate Market Update

The following analysis of select counties of the Idaho real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere Real Estate agent.

 

Regional Economic Overview

I am pleased to report that Idaho has not only recovered all the jobs that were lost following the onset of the pandemic, but total employment is now 10,400 jobs higher than the previous peak we saw in February of last year. Utah is the only other state in the U.S. that can make this claim. Having recovered all the jobs lost, and with new positions being added, the unemployment rate continues to trend lower and now stands at a very solid 3.2%—almost half the national rate of 6%. New COVID-19 cases did rise in the first quarter, but not to such an extent that is likely to negatively impact the economy. In all, Idaho is positioned very well to continue to grow.

idaho Home Sales

❱ In the first quarter of 2021, 4,949 homes sold, representing a drop of 4.5% year over year. Total home sales were down 32% from the final quarter of 2020.

❱ Interestingly, sales did rise in all the northern markets compared to the same time a year ago, with impressive increases across the board. However, sales were down 32% compared to the fourth quarter of 2020.

❱ Year-over-year sales growth was positive in three of the seven Southern Idaho counties, but the areas that saw growth are all relatively small.

❱ Pending sales rose 1.4% compared to the final quarter of last year, suggesting that the second quarter is likely to show improvement. The biggest issue, however, is the lack of homes for sale: inventory levels are 48.6% lower than a year ago, and 8.7% lower than in the fourth quarter.

idaho Home Prices

A map showing the real estate market percentage changes in various Idaho counties.

❱ The average home price in the region rose by a remarkable 35.4% year over year to $516,725. Sale prices were also up 4% compared to the prior quarter.

❱ Southern Idaho saw significant gains, with Boise County jumping more than 70%. That said, this is a very small area and subject to extreme swings. Prices in Southern Idaho were 10.7% higher than in the prior quarter.

❱ Prices rose in all Northern Idaho counties covered by this report, with significant gains across the board. Prices were 6.6% higher than in the final quarter of 2020.

❱ Buyers significantly outnumber sellers, which is causing prices to rise at a frenetic pace. I would like to see inventory rise to meet demand, but I doubt this will be the case in the near term.

A bar graph showing the annual change in home sale prices for various Idaho counties.

Days on Market

❱ It took an average of 98 days to sell a home in Northern Idaho and 61 days in the southern part of the state covered by this report.

❱ The average number of days it took to sell a home in the region rose nine days compared to the first quarter of last year.

❱ In Northern Idaho, days-on-market dropped in all counties other than Boundary, where market time rose by 2 days. In Southern Idaho, market time dropped in all counties other than Boise, where it took 26 more days to sell a home than in the first quarter of 2020.

❱ Homes sold the fastest in Canyon and Ada counties in the southern part of the state and in Shoshone County in the northern part of the state.

A bar graph showing the average days on market for homes in various counties in Idaho.

Conclusions

A speedometer graph indicating a seller's market in Idaho.

This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.

With employment levels now higher than before the pandemic, buyers are clearly comfortable and, perhaps motivated by modestly rising mortgage rates, they are out in force. Unfortunately, the choice of available homes is very limited, which continues to cause prices to rise at well-above-average rates. As such, sellers still have a significant advantage. Since I do not expect to see listings rise enough to meet this demand, I am moving the needle more in favor of sellers.

 

About Matthew Gardner

Matthew Gardner - Chief Economist for Windermere Real Estate

As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.

In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.

The post Q1 2021 Idaho Real Estate Market Update appeared first on Windermere Real Estate.

Q4 2020 Idaho Real Estate Market Update

The following analysis of select counties of the Idaho real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. We hope that this information may assist you with making better-informed real estate decisions. For further information about the housing market in your area, please don’t hesitate to contact your Windermere agent.

 

Regional Economic Overview

Along with the rest of the country, the Idaho economy and its employment levels were significantly impacted by COVID-19. Though 83,100 jobs were lost, the recovery continues, with all but 3,400 of the jobs lost having returned. With this recovery in employment, the unemployment rate, which peaked at 11.8% in April, now stands at a respectable 4.8%. Although the direction is very positive, I am continuing to temper my enthusiasm because Idaho saw new COVID-19 cases rise in December. If this continues, the pace of the job recovery may slow.

idaho Home Sales

❱ During the final quarter of 2020, 7,282 homes were sold. This represents a very significant year-over-year increase of 19.4%.

❱ In the southern markets, sales also rose in all counties. Blaine County saw a remarkable increase: the number of transactions there was up 88%. Double-digit growth was seen in all counties other than Payette.

❱ Year-over-year sales growth was positive in all the Northern Idaho counties contained in this report. Boundary County saw significant growth. Overall, the region saw double-digit growth.

❱ Pending sales slowed compared to the third quarter, but I attribute this to seasonality. Listing activity was 50% lower than in the fourth quarter of 2019, which certainly frustrated would-be buyers.

idaho Home Prices

❱ The average home price in the region rose a very significant 29% year-over-year to $496,679.

❱ In Northern Idaho, prices rose significantly in Kootenai County, but all counties saw double-digit gains. Southern Idaho price growth was equally impressive, with Blaine County standing out with an average home sale price over $1.2 million.

❱ Prices rose in all Northern and Southern Idaho counties covered by this report.

❱ As mentioned above, inventory levels remain an issue. As much as I would like to say they will increase early in the spring, I am afraid that may not be the case.

Days on Market

❱ It took an average of 100 days to sell a home in Northern Idaho, and 45 days in the southern part of the state covered by this report.

❱ The average number of days it took to sell a home in the region dropped ten days compared to the fourth quarter of 2019.

❱ In Northern Idaho, days on market dropped in all counties other than Shoshone, where market time rose by 19 days. In Southern Idaho, market time dropped in all counties other than Blaine, where it took 25 more days to sell a home than in the final quarter of 2019.

❱ Homes sold fastest in Canyon and Ada counties in the southern part of the State. Sales were fastest in Boundary County in the northern part of the state.

Conclusions

This speedometer reflects the state of the region’s real estate market using housing inventory, price gains, home sales, interest rates, and larger economic factors.

Demand for housing remains strong, and sales are only being limited by the lack of homes on the market. The economy continues to improve, and buyers are still very active. The only thing missing are more homes to buy, which has led prices to rise very significantly. With buyer demand continuing to far exceed supply, I am moving the needle more in favor of sellers.

 

About Matthew Gardner

As Chief Economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Matthew has over 30 years of professional experience both in the U.S. and U.K.

In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics.

The post Q4 2020 Idaho Real Estate Market Update appeared first on Windermere Real Estate.