Realtor.com recently released its 2019 Housing Market Report and it affirmed a lot of things Boise area residents already know: The Treasure Valley housing market is hot. In fact, Boise City (which includes the Treasure Valley) made the list as one of the top 10 fastest appreciating housing markets in 2019, seeing a 10.1% increase in sale prices year over year. The median price for a home in the area was $301,000.
“Driven by affordability, buyers flocked to lower-priced secondary markets and kept upward pressure on sales prices,” says the report. Additionally, only four of the top 100 markets saw double digit price increases, with the Treasure Valley area being part of that list.
In an earlier report, Realtor.com also indicated that the Treasure Valley is going to be the #1 real estate market in the country for 2020. With home prices lower than those in nearby states, people are going to continue moving into the area. With supply levels continuing to be low in both the resale and new build markets, demand will continue to outpace supply. As a result, prices will continue escalating.
“Driven by affordability, buyers flocked to lower-priced secondary markets and kept upward pressure on sales prices”
The Housing Market Report also looked at housing affordability nationally. While home ownership is more affordable on a national level, 82 out of the top 100 real estate market areas saw less than ideal affordability scores. Unfortunately, Idaho is included in that list. The affordability report is derived from looking at how many listings in an area are affordable to those in a particular income percentile. California, Hawaii, and New York are the least affordable states according to the report, which not surprisingly, is helping to fuel the migration of Californians to Idaho. Conversely, Iowa, Indiana and Ohio are the most affordable states for buying a home according to the report.
The good news for sellers is that Idaho is going to continue to be a seller’s market as inventory levels remain low. If you’re interested in buying a home, starting your search sooner rather than later may limit your exposure to inflated prices, especially during the peak buying season. And if you’re looking at listing your home, listing prior to the peak of the season will mean less competition among other home sellers.