Statistics and market data on how well the market is or is not doing vary wildly in todays market. Therefore, I went back to the Intermountain MLS records to try to help quantify the market from a historical perspective for homes in the Treasure Valley and specifically for Ada County Real Estate.
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# sales
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Ave. Price
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Median Price
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Nov 05
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1335
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234973
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207000
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Nov 06
|
626
|
266170
|
230000
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Nov 07
|
409
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251848
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213000
|
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Nov 08
|
290
|
223024
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185000
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Nov 09
|
567
|
187872
|
157900
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The decrease in sales prices is due to several factors:
- The tax credits are accelerating the purchases of low to moderate priced homes;
- Upper end homes typically sell via reselling existing homes and many sellers have reduced equity positions to make that happen;
- Tighter lending on upper end homes make those purchases more difficult for many buyers;
- Lot prices have decreased substantially ($100,000 in some areas) allowing for the building of more moderate priced homes.
- New construction has gone back to the basics and Granite counter tops and jetted tubs and 3 car garages are once again options and upgrades, not standard features.
Now is the perfect time to be buying a home in the Boise area since the pendulum has over corrected in some price ranges so prices are below replacement costs. Here are the reasons to buy now!
- Some builders are paying less for the cost of the lot than the cost of the development fees alone, so when this limited supply of lots runs out, they WILL be higher.
- If a builder buys the lot at below replacement cost, they can effectively out compete the short sales and the foreclosures and you get a brand new home with no psychological trauma or excess baggage.
- You need to buy before the end of April 2010 to take advantage of the tax credits. You don't have to close by then, just be under contract.
- Interest rates are still incredibly low and projected to increase in 2010 (already started going up).
If you are looking to buy or sell a home in the Boise Idaho area, feel free to contact me and I will run custom analytics specifically based on the price and location of the types of properties you are considering. I have been doing this for 18 years and have about another 10 to go before my third boy graduates from college, so I will be here and be ready when you are convinced the time is right!
Jim Paulson, CRS, GRI, EPRO, EcoBroker
Owner/Broker - Progressive Realty Corporation
www.IdahoMLStours.com
www.Progressive-Realty.info
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