Boise Real Estate Blog

Boise Real Estate Statistics Explained – Part I

I see a lot of statistics about the Boise real estate market.

In fact, I write about a lot of Boise real estate statistics on this blog.

Along the way, I notice a lot of confusing, and sometimes, flawed data about the Boise real estate market.

Here are some points to ponder about those statistics.

Time Periods

Are the times periods used in a comparison relevant?

For example, yesterday’s post reminded me that comparing the number of pending/closed sales for last June vs. this past December is largely irrelevant due to normal seasonal fluctuations.

Type of Property

Many statistics include all properties ~ single-family homes on lots, single-family homes on acreage, mobile homes, condominiums, townhomes, lots, acreage, farms, etc.

Other statistics (like mine) include only single-family homes on lot/acreage because that is the mainstream of the Boise real estate market.

Others limit their comparisons to only single-family homes on standard-sized lots.

There’s little value in comparing sales data for a farm to a subdivision home.

Geographic Area

Some statistics include “Boise City”, which is the U.S. Census Bureau’s designation for a broad area of Southern Idaho that encompasses far more than the Treasure Valley.

“Boise City” data is much more than data for the City of Boise and may not accurately reflect what is going on in Ada County.

My statistics usually include Ada County (which I call the Boise real estate market), Eagle, and Meridian because those areas are of greatest interest to my readers.

There’s little value in comparing sales data for Burley, Idaho to sales data for Meridian, Idaho.

Please check back tomorrow for Part II

January 18th, 2012 Posted in Boise Market Stats |

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Boise Real Estate: Now vs. Six Months Ago

Most real estate statistics, including those I post here, compare current data to one year prior.

I thought it would be interesting to compare our current (now) Boise real estate market to the middle of last year (then).

Here’s what I found:

Available Listings

Then: 2,586
Now: 2047
% Change: -20.8%

Average Asking Price

Then: $238,544
Now: $243,555
% Change: +2.1%

Median Asking Price

Then: $179,000
Now: $179,000
% Change: None

Pending Sales

Then: 934
Now: 713
% Change: -23.7% (normal seasonal fluctuation)

Closed Sales

Then: 640
Now: 487
% Change: -23.9% (normal seasonal fluctuation)

Average Selling Price

Then: $184,635
Now: 178,934
% Change: -3.1%

Median Selling Price

Then: $150,000
Now: $145,500
% Change: -3.0%

My Analysis

The Boise real estate market has mostly stabilized, but isn’t rebounding.
Listing inventory has trended down and is extremely low.
Average asking prices are up slightly.
Median asking prices are flat.
Current pending sales are strong considering the normal seasonal fluctuation.
Closed sales prices are slightly down.
The number of current closed sales is strong given our current Winter market.

Remember: Real estate statistics can vary significantly depending upon the “mix” of data during any given time period.

Data pertains to Ada County single-family homes on lot/acreage and does not include condo/townhome properties.

Data for Now = December 2011 data.

Data for Then = June 2011 data.

January 17th, 2012 Posted in Boise Market Stats |

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Foreign Buyers Love U.S. Real Estate

It’s interesting that foreign homebuyers see U.S. real estate as a safe haven during our current challenging national housing market.

It seems that foreign homebuyers see homeownership in the U.S. as a good investment as they deal with financial crises abroad.

In other words, they’re happy to see U.S. real estate “on sale”

Nearly 80% of foreign-born U.S. residents own their own home vs. the 66.3% overall national homeownership rate.

The hottest states for foreign home buyers are California, Florida, and Arizona.

Foreign buyers represented $82 BILLION of the U.S. real estate market in 2010 vs. $66 BILLION in 2009.

Source: MSNBC.com article

January 16th, 2012 Posted in Inside Real Estate |

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Solar Panels A Hot Issue In Tuscany

Tuscany is a respected Meridian subdivision, and like most subdivisions, it has CCRs (Conditions, Covenants, and Restrictions).

The subdivision’s ACC (Architectural Control Committee) is responsible for ensuring that homeowners comply with those CCRs.

The latest hot-button issue in the Tuscany subdivision arose when a homeowner installed solar panels without (omigod!) the permission of the ACC.

That resulted in a threatening letter from the ACC to the homeowner.

Now, the issue has escalated to the local media, including a news report on KTVB.

This boils down to a clash of property rights vs. energy rights.

Or, beauty vs. practicality?

My guess is that this will end up with a state law that attempts to balance the two, as has already happened in nearly half of the states in the country.

This one will be interesting, but don’t expect a speedy resolution.

After all, we’re talking government trying to solve a local issue.

Source: KTVB.com article

January 15th, 2012 Posted in About Meridian, ID |

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Bank of America Could Sell Branches

It’s no secret that B of A is troubled, largely due to its mortgage lending division.

The bank bought Countrywide Home Loans in 2008, and has since been burdened with Countrywide’s bad loans, foreclosures, and litigation tied to soured mortgage-backed securities.

The Federal Reserve Board (Fed) has put the bank on notice that it needs to raise additional capital (money!).

Now, in a proposal to the Fed, B of A has said that it could sell branches around the country in an emergency.

B of A has about 5,700 branches and already has announced plans to shutter about 750 locations as part of a cost-cutting initiative.

B of A got a bailout from the federal government in the aftermath of the 2008 financial crisis, but remains weakened.

B of A’s stock closed at $6.61 Friday and is down 87% over the past five years (click on the 5-year chart in the CNNMoney.com stock quote link).

Am I the only one who thinks B of A is likely to get another bailout?

Source: Reuters.com article

January 14th, 2012 Posted in Inside Real Estate |

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