Real World Question: How Much Have Home Prices Dropped In Boise?

By
Real Estate Agent with Silvercreek Realty

 

Boise Market QuestionsJust last week, someone asked the question, “How much have housing prices dropped in the [Boise] area?”  The context of the question was mostly with regard to the housing boom time frame which began in or around 2004.

I thought I would share my answer since it took me some time to dig up the Multiple Listing Service (MLS)  Data.

Annual Boise, ID Median Housing Prices Since 2005

2005: Median Home Price in Boise–$226,820
2006: Median Home Price in Boise–$226,986
2007: Median Home Price in Boise–$230,290
2008: Median Home Price in Boise–$215,495
2009: YTD –$215,499

Basically, I took the yearly MLS Ada County (Boise, Meridian, Eagle, Kuna and Star) Stats and extracted the Boise Stats out; that’s the total.

I work for John L. Scott; one of the larger marketing companies in the Boise Area who has represented a very large number of new construction and resale homes through out Canyon and Ada County.  We keep a very good set of numbers and we try to help determine total annual transactions by following the trends we see on an annual basis.  If you’d like to see a very comprehensive spreadsheet of these stats, please feel free to let me know.

Boise, ID Real Estate Market Stats Worth Noting

Just an FYI (disclaimer: stats not final) as of July 2nd, the reported MLS numbers for Sold single-family homes in Ada County for the month of June is 443 (re-sale) units compared to June 08′ which was 397 for a 12% gain.

This is now 6 straight months of positive increase over 2008. While we haven’t seen significant price increasing, in fact in certain areas, quite the opposite, we are seeing more homes being sold than are coming onto the market.

This means nothing in and of itself, but if the trend continues, it will decrease the inventory and lead into a shortage of homes in the area. I’ll give you one guess what will happen then. Yep, price inflation.

A key factor to watch though is interest rates. Rates have been so low for so long, that we are bound to see some sort of inflation. If that happens, the only way the banks are going to respond is by increasing interest rates.

Boise Real Estate VS. Dow Jones Industrial Average

As an interesting cereal box tidbit, over the same time period (2005-Present)  the total loss in median real estate value in Boise was 5%…the Dow lost 25%.  Interesting perspective eh?

For more real estate stats for your favorite areas, shoot me an email!

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