More than a few Boise home sellers are wondering why their homes aren’t selling.
The simple truth is that our market has changed ~ dramatically.
We had a big party in 2013 with low listing inventory, eager buyers, and multiple offers.
At the end of May 2013, we had 1,802 homes for sale in MLS.
As of this morning, we have 2,985 homes for sale in MLS.
That’s a stunning 65.7% increase in available listings.
At the end of May 2013, we had 1,434 pending sales (sales in escrow; awaiting closing).
As of this morning, we have 917 pending sales.
That’s a 36.1% decline in pending sales.
Further, our pending sales have declined over each of the past four months ~ during our busy summer selling season.
Our pending sales, at the end of August, were equal to those of last February.
Is this the end of the world?
Is the Boise real estate market crashing?
Our market is simply leveling off after going on a tear since bottoming out in the Spring of 2011.
Our overall market has about four months’ supply of listing inventory, which is a healthy market.
Our distress sales are mostly behind us and homes are still selling; albeit at a more moderate and rational pace.
Most areas of the country would love to have a market like ours with four months’ supply of listings and 917 pending sales.
Our market isn’t “bad”; it’s simply returning to normal.
You can’t continue to have 16% annual price appreciation without pricing everyone out of the market.
If you’re a seller, the reality is that this isn’t 2013 anymore.
It’s 2014 and you have competition ~ lots of competition.
That competition means buyers have choices ~ lots of choices.
It’s not reasonable to expect your home to have 10 showings a week and sell in 30 days.
Selling a home in the Boise real estate market requires putting your home in top condition, pricing it realistically, and allowing adequate time for the right buyer to come along.
Data pertains to Ada County single-family homes on lot or acreage. Data does not include condo or townhome properties.