Ada County February Housing Snapshot

 



Single-family home sales in February 2015 were 507 in Ada County, an increase of 10.41% compared to February 2014.

Days on Market were 67, that is slightly down from 70 days last month.

New homes sold in February totaled 109; up 8.12% from last year.

Existing home sales were 398; up 11.11% from 2014.

February median home price was $224,900 with a 9.86% increase over 2014.

With continued increase over last year, Existing home price was $196,750 with 11.25% change.New home median price was $305,000 with a slight decrease of -1.45% from last year.

We had a very slight increase with months of inventory available 3.8 months of inventory. As we head toward spring and summer, we could use an increase in inventory.

February is typically our weakest month for median home price. February 2015 was pretty strong.  This should continue into the Summer.

Bottom line…it’s going to be a complicated first quarter for real estate.

 

Location, Location, Location

 

A recent Demand Institute reportrevealed “nearly half of all American households plan to move at some point in the future.” Seventy-five percent of those surveyed in the report cited one or more ‘location-related reasons’ for their eagerness to move. Here are the top 5 reasons:

1. Safer Neighborhood – 30%


2. Closer to Family – 27%


3. Change of Climate – 26%


4. Closer to Work – 25%


5. For a New Job – 23%

While the majority of Americans (74%) will move within their home state, for the 26% planning to call a new state home, it is important to know that prices in each state are appreciating at different rates and waiting to buy or sell your home could cost you more in the long run. The map below was created using the FHFA’s latest Home Price Index and shows year-over-year price gains in each state. 

Bottom Line

If your plan for 2015 includes relocating to a new state, meet with a local real estate professional in that area who can help you find the best fit for you and your family’s needs.

 

Is Another Bubble Forming?

After the housing market bust we experienced across the country in 2008, many experts have been quick to warn that a new bubble may be forming in some areas. One particular example of this is a recent article pointing toward the California Bay Area’s price gains over the last 18 months. The quickest and easiest way to show how far we’ve come and how far we still need to go in regards to the ‘Peak’ is to share CoreLogic’s Price & Time Since Peak figures, used to create the map below.

 



Even with the high performance of prices in the Bay Area, the state of California as a whole is still -14.4% below their Peak, experienced in May of 2006. The biggest challenge facing the housing market’s recovery right now is the lack of inventory available for sale. Prices are determined by supply and demand. Right now buyer demand is out-pacing seller supply, across many price ranges, driving prices up.

Bottom Line

Traditionally the Spring months have been the most popular dates sellers choose to list their homes. With additional inventory coming to market soon, meet with a professional in your local market to evaluate your best course of action.

Kuna Area Farm-Nice Home on 40 Acres+

Just listed in the Kuna Area, just over the Canyon County line. Custom 2834 square foot, single level home with 3 bedrooms and 3 baths. The current owner has been leasing the farm ground which covers both the property taxes and irrigation costs. There is also an administrative split available from the county if this is too much ground for you. (Subject to confirmation from Canyon County.) Priced at $720,000, contact me for more information or a showing.

Home Price Index - National Overview

New Listing in Nampa's Dallan Woods

I have always liked the feel of the Dallan Woods subdivision in Nampa. With it's custom homes, center park with pool and the entry and bordering landscaping. I have a new listing that will be coming on very soon, just waiting for some landscaping and a key issue to be resolved.

This home features custom upgrades through-out, solid hickory wood floors, hickory custom cabinets, tile showers (no inserts), stone fireplace, oil rubbed bronze fixtures, 3 cm solid granite in kitchen AND the baths and utility!

Priced at $190,000, with 3 bedrooms, 2 baths and 1675 square feet, beat the rush and call me today!

Homeownership is the "American Dream" for a Reason

There have been some who have voiced doubt as to whether or not the younger generations still consider buying a home as being part of the “American Dream”. A recent study by Merrill Lynch puts that doubt to rest. According to their research, every living generation still maintains that owning a home is in fact important. Here are the numbers: This should not surprise us as many studies have revealed the benefits enjoyed by the families who own their own home. One such study was done by the Joint Center of Housing Studies at Harvard University that addressed a major financial benefit to owning your own home: forced savings. The report explains:

“Since many people have trouble saving and have to make a housing payment one way or the other, owning a home can overcome people’s tendency to defer savings to another day.”

The Merrill Lynch study proves this point with the following data on home equity (a form of savings):

Bottom Line

There are many reasons that owning a home makes sense. The financial reasons are powerful. As one participant in the Merrill Lynch study put it:

“When I was younger, I always worried about that monthly mortgage payment. Now that I am retired, I have the peace of mind of knowing I own my home free and clear.”

 

Housing Market to Spring Forward

 



Just like our clocks this weekend in the majority of the country, the housing market will soon “spring forward”! Similar to tension in a spring, the lack of inventory available for sale in the market right now is what is holding back the market. Many potential sellers believe that waiting until Spring is in their best interest, and traditionally they would have been right. Buyer demand has seasonality to it, which usually falls off in the winter months, especially in areas of the country impacted by arctic temperatures and conditions.

That hasn’t happened this year.

Demand for housing has remained strong and is currently three times stronger than last year at this time. The National Association of REALTORS (NAR) recently reported that the top 10 dates sellers listed their homes in 2014 all fell in April, May or June. Those who act quickly and list now could benefit greatly from additional exposure to buyers prior to a flood of more competition coming to market in the next few months.

Bottom Line

If you are planning on selling your home in 2015,  call me to evaluate the opportunities in your market.