Boise Homes: Closed Sales Trends

Here’s a breakdown of 2014 year-to-date closed sales for Boise homes.

  • January: 411
    % Change: (baseline number)
  • February: 419
    % Change: +2.0%
  • March: 541
    % Change: +29.1%
  • April: 669
    % Change: +23.7%
  • May: 800
    % Change: +19.6%
  • June: 810
    % Change: +1.3%
  • July: 846
    % Change: +4.4%
  • August: 752
    % Change: -11.1%
  • September: 656
    % Change: -12.8%

Takeaways

  • After a strong Spring market, our Summer market began showing signs of weakness in year-over-year comparisons.
  • While not displayed here, our pending sales declined from May through August of this year, leading to fewer closed sales in August and September.

Data pertains to Ada County single-family homes on lot or acreage.

Data does not include condo or townhome properties.

 

Boise Homes: Listing Inventory Trends

Our listing inventory plays a significant role in sales activity and pricing of Boise homes.

Here’s a breakdown of 2014 year-to-date listing inventory at the end of each month.

  • January: 2,046
    % Change: (baseline number)
  • February: 2,080
    % Change: +1.7%
  • March: 2,246
    % Change: +8.0%
  • April: 2,459
    % Change: +9.5%
  • May: 2,699
    % Change: +9.8%
  • June: 2,767
    % Change: +2.5%
  • July: 2,878
    % Change: +4.0%
  • August: 2,950
    % Change: +2.5%
  • September: 2,879
    % Change: -2.4%

Takeaways

  • More listing inventory means more competition for sellers and more choices for buyers.
  • Our listing inventory is seasonal with fewer listings in Winter and more listing inventory during the good weather months.
  • This year, our listing inventory peaked at 2,879 Boise homes for sale in September.
  • Our listing inventory at the end of September was 40.7% higher than our listing inventory at the end of January.

Data pertains to Ada County single-family homes on lot or acreage.

Data does not include condo or townhome properties.

 

Boise Home Inspections: Common Issues

I’ve dealt with hundreds of Boise home inspections over the past several years.

In the course of those inspections, I’ve noticed that many of them reveal some common issues.

Here are a few common Boise home inspection issues.

  • Disconnected HVAC ducting
  • Missing/displaced vapor barrier
  • Moisture in crawlspace
  • Reverse grade (lot slopes toward foundation)
  • Fogged windows
  • Cracked/broken roof vent jacks
  • HVAC service needed
  • Missing roof shingles
  • Missing roof flashing
  • Roof replacement needed
  • Missing window screens
  • Inoperable GFCI outlets
  • Garage door openers with defective auto-reverse
  • Dangling hot wire in crawlspace

 

Boise Real Estate: Home Inspections

A few years ago, it was somewhat unusual to have a home inspection for new homes in the Boise real estate market.

The prevailing logic at the time was “Hey, the home just passed final inspection with the building department, so it must be okay!”

At that time, I was the listing agent on a new $475,000 custom home that had sold subject to a home inspection.

Following the inspection, I got a call from the buyer’s agent informing me that there had been a “little problem” with the home inspection.

The problem was that the inspector had been cornered by an angry mama raccoon that had taken up residence in the crawlspace with her two babies.

She had gotten into the crawlspace through a foundation vent that had been knocked loose during final grading of the lot and my builder/seller hadn’t replaced the foundation vent yet.

I never did hear the details of the eviction proceedings, but the raccoon and her two babies were “relocated” to new housing and we closed escrow.

You never know what an inspector will find.

Which is why you should get a home inspection, regardless of the age of the home.

 

6 Common Boise Real Estate Myths

There are many common myths about the Boise real estate market.

Here are 6 common Boise real estate myths I hear frequently.

1) Buyers Need 20% Down

That’s simply not true in the Boise real estate market.

There are loan programs with zero down payment, 3.5% down payment, 5% down payment, 10% down payment (and others) available to qualified borrowers.

2) Interest Rates Are High

While interest rates are higher than they were during “the bottom”, they are not historically-high.

In fact, they are dead cheap when compared to what I’ve experienced throughout most of my 42 years in real estate!

Current rates for a 30-year fixed rate mortgage are around 4.25% in the Boise real estate market.

One of my first-time buyers locked his loan at 3.75% last week with a 30-year IHFA-FHA loan.

15-year rates are even lower.

3) Buyers Need Perfect Credit

It’s true that borrowers need decent credit to get a mortgage these days.

But, you don’t have to have a 800 FICO score to get a loan.

Don’t assume that your credit is inadequate (unless it’s really, really bad!) and talk with a lender to see if you can qualify for a loan.

If you need a good lender, call me at (208)938-5533 for my recommended local lender who can pre-approve you on the phone.

4) Renting Is Cheaper Than Buying

This is a very dubious statement, given today’s low interest rates and strong rental market.

Most home payments are less than renting an equivalent home.

When you rent, your monthly rent is paying your landlord’s mortgage payment.

If you rent for 30 years, you bought a home for your landlord(s).

5) Buying A FSBO Is Better

There are many reasons some sellers avoid using a Realtor® to sell their home.

The most obvious one is that they don’t want to pay a commission.

Another reason is that they think their home is worth more than the value recommended by a Realtor®.

Yet another one is that they don’t think they need the professional guidance of a Realtor® for their complex real estate transaction.

Combine those three reasons and you have a recipe for a very interesting transaction if you’re the buyer.

Other issues include both buyer and seller thinking they’re saving the commission, and neither buyer nor seller knowing how to get through the transaction while complying with legal requirements.

6) You Don’t Need A Home Inspection

This is yet another real estate myth.

Trust me, you do need a home inspection!

I have seen brand-new homes with issues revealed by a home inspection.

And, I have seen common issues discovered in home after home throughout the Boise real estate market.

A home inspection, completed by a competent home inspector, is one of the biggest bargains in real estate.