Boise Real Estate Summer 2022 Conditions

It’s time to adjust the sails, the winds of change are here. The impact of a down economy and the efforts of the Federal Reserve to manage inflation has rippled into Boise real estate. 
 

What we’re seeing:

• Inventory has increased 192.9% YoY
• Home sales are down 16% YoY
• Mortgage interest rates are double what they were this time last year
• Price reductions are a daily occurrence
• And… median sales price is still up 12.8% YoY
  *current market stats from July 1, 2021 to July 1, 2022

These metrics are trending to a normal and balanced market. After we all got used to Boise real estate breaking record after record over the past 2 years, this change seems like a stark one… doesn’t it?  It is taking extra thought for realtors, buyers, sellers and homeowners to acclimate to the adjustment from an extremely undersupplied market (with prices escalating at unprecedented rates) to entering back into a “normal” market.

It has become difficult to decipher the media's headlines, with the sound-bites not providing the full picture. Most interestingly, the median sales price still remains significantly above the same time last year, and year-to-date this year. That's incredibly positive news for sellers and homeowners that we're not seeing in the headlines.

Remember the days when a home would sit on the market for 30, 45, 60 days and get 1 offer? That was normal. This type of market may seem like something from yesteryear, but it also feels like a much healthier and less stressful market to buy or sell in. 

What this means for buyers:

• Better selection and more options to choose from
• More time to make a buying decision
• Mortgage loans are more expensive

What this means for sellers:

• Expect longer days on market
• Expect more competition
• Effective pricing is key

We are all feeling the aftershock of an exuberant market, and now it's time to take things a bit slower. Now, more than ever, sellers are leaning towards the expertise of knowledgeable Realtors® to make their home stand out among the rest. Buyers are taking a bit of reprieve, but need to move quickly to lock in mortgage rates while they are still low.