February 2024 Market Update

February typically tends to be a slower pace season in real estate. However, you’d think it was the middle of a normal spring market looking at sales activity. It could be the mild temperatures or stabilized interest rates, but whatever it is, buyers are out and about looking at homes and swooping up available inventory. Some homes that were sitting on market in the winter months of 2023 are seeing a surge of interest and offers. New-to-market listings in certain segments are generating quite a bit of showings and offer activity. This healthy market pace is exciting for sellers as heightened demand and incredibly low inventory are keeping home prices from sliding. Home values for single-family homes in Ada County increased nearly 5% since this time last year! “Positive year-over-year trends in the median sales price show a shiny outlook on homeownership. Even as some aspects of the market fluctuate, the value of owning a home remains steadfast” said Elizabeth Hume, Boise Regional REALTORS® 2024 President. Low inventory levels coupled with lower rates and increased demand are building home prices again. Buyers may see a little more competition as we continue on this path of normal spring conditions. Currently there is about 1.7 months of available supply of homes in Ada County, leaning towards a sellers market. A balanced market is 4-6 months MSI (Month’s Supply of Inventory).      

View more

January 2024 Market Update

Rejoice, Boise! The sun has broken through the gray haze of inversion season (what is an inversion anyway?), giving locals a much needed reprieve from the winter blues. This spring-like weather is serendipitous to what’s happening in real estate, symbolizing a bright start to Boise’s housing market in 2024. Boise continues to defy negative media expectations with its resilience. Fears of an impending recession have dissipated as economic indicators remain steady, bolstering buyer confidence and fostering a robust housing market here in the Treasure Valley.   Lowest Interest Rates Since May 2023: One of the pivotal factors fueling this dynamic market is the persistently low interest rates, incentivizing buyers to get off the fence and on the hunt for their next home. Mortgage interest rates are at the lowest we’ve seen since May of 2023, reports Housing Wire. With borrowing costs remaining favorable, many individuals find themselves drawn to the prospect of homeownership, encouraged by the stability of the economic climate.   Clear Deficit in Inventory Keeping Home Prices High: This strong demand for housing is met with a persistent challenge: a striking shortage of inventory… nationwide. The scarcity of available homes continues to exert upward pressure on prices, creating an environment ripe for competitive bidding scenarios. For sellers, these conditions represent an opportune moment to list their properties, with the potential for swift sales and attractive returns. We likely won’t see competition at the magnitude of the pandemic market, but a healthy and stable amount breaking Boise’s real estate market out of a sluggish 2023. Supply levels need to increase significantly to match demand, and lower borrowing rates may nudge builders to start building once again.              Our Crystal Ball Says: Oh we wish we had one! There is no definitive way to predict the market. Many factors, including rates, economic conditions, and an upcoming presidential election can change the trajectory of our real estate market. Will it last? We’re not sure, but what we see now is a very active spring-like market as people are on the hunt for homes again. Sellers who are on the market now are going to be at an advantage versus waiting for the traditional spring market. The enthusiasm of this market is contagious, and we look forward to seeing strong sales in the first quarter of the year.  If you’ve been considering selling, reach out to us by phone (208) 870-8292 or email info@lysibishop.com for a no-obligation market valuation of your home and discuss ideal timing for you. We’re already seeing an increase in available homes ahead of the typical spring market and we don’t want you to miss this exciting opportunity to make the most of your home sale.   

View more

Why FSBOs Regret Not Using a Real Estate Agent

Photo credit: Unsplash When selling a home, some people opt to list their home as For Sale By Owner and skip using the guidance of a real estate agent to save money on agent commissions. While the idea of cutting costs may be appealing, FSBO sellers often find themselves regretting this decision in the long run. In a recent survey by Clever Real Estate, those who listed with a real estate agent were 50% more likely to say they had no regrets than those who listed their home FSBO. Those who sold without an agent also faced lower sales prices, a longer selling process, and more stress than those who used an agent. In this article, we'll explore the common reasons why FSBOs often regret not enlisting the services of a professional real estate agent.   Pricing: One of the largest drawbacks of FSBO is the challenge of accurately pricing the property. Real estate agents have access to extensive market data and experience that enables them to perform a comparative market analysis to determine the optimal listing price. FSBO sellers, who lack access to such resources and knowledge, are likely to underprice or overprice their homes, resulting in losing money on the sale or extended time on the market. Third party valuations, like Zillow’s Zestimate, are often inaccurate and don’t reflect the full picture of pricing a home at current market value.   Limited Exposure and Marketing: Real estate agents have a broad network of clients and access to multiple listing services (MLS), ensuring your home gets maximum exposure. FSBO sellers, on the other hand, may struggle to reach potential buyers. This limited visibility for FSBO homes can lead to longer listing periods, decreasing the chances of attracting the right buyer at the right price. Getting the highest price on your home also requires an effective marketing strategy. Real estate agents are knowledgeable and skilled in creating captivating listings, high-quality professional photographs, and showcasing what makes your house special to buyers. FSBO sellers may lack this expertise and by failing to show your home in its best light, you may lose out on money on the sale or spend more time on the market.                    Negotiation Skills: Negotiating a real estate deal is a unique skill that real estate agents develop after years of professional experience. In the case of a challenging negotiation, an FSBO seller might feel unprepared and unsure of how to proceed due to a lack of experience. This can lead to lost money on the sale or agreeing on unfavorable terms. Real estate agents are experts at handling negotiations, which will ensure that both parties reach the best possible terms and conditions.             Legal and Contractual Mistakes: Real estate transactions involve complex legal documents and contracts. FSBO sellers risk committing to unfavorable terms and conditions due to being less experienced in the jargon and intricacies of real estate contracts. Real estate agents, however, are experienced in the legal aspects of the home-selling process and will ensure that all documents and contracts are accurate, compliant with regulations, and understood by the seller.   Stress: The process of selling a home takes a lot of time and work, from depersonalizing the home, staging the home,  taking photos, marketing the house, hosting open houses, choosing an offer, negotiating, doing inspections, and more. Without an experienced agent to guide you through this process, taking care of all steps, hiring the best photographers and stagers, developing a marketing plan, and more, this process can take a toll on the sellers. With the help of a real estate agent, selling your home can be a positive experience that you can look back on with no regrets.                  

View more