June 2015 Market Report: Highest Number of Homes Sold in One Month Since 2006

Market Snapshot_JuneJune 2015 marked the highest number of homes sold and the highest sales volume in one month for single-family homes in Ada County, since June 2006.

While there have been a steady increases month-over-month (looking at the numbers over the past four years, based on records available), June 2015 topped them all with 1,028 single family home sales throughout Ada County. That was a year-over-year increase of 26.1%, and year-to-date, sales were up 18.6%. The total volume of single-family home sales in June 2015 was $279.5 million, which was a whopping 36.1% increase over June 2014, and a healthy 17.9% increase over May 2015.

Brenda Kolsen, 2015 President of the Ada County Association of REALTORS®, commented on the increases: “We typically see a run up in sales starting in the spring, through June and July. Then consumers take a quick break for vacations, before another burst of activity in the fall. This year is on a similar track, except for the enormous amount of activity that REALTORS® are handling every day.”

So what’s driving this demand? While we can’t point to one specific reason, gains in population and job growth across the state may be factors.

According to the U.S. Census Bureau data, Ada County’s population increased 8.6% between April 2010 and July 2014. Statewide the population increased 4.3%. Three groups seemed to be leading that growth, including Hispanic immigrants, recent retirees, and “midcareer” individuals and families. These last two groups were highlighted in a recent Idaho Statesmen article, noting departures from high-priced states like California, Washington, and Oregon, in exchange for Idaho’s lower cost of living and lifestyle opportunities. Additionally, the Idaho Department of Labor reported another month of year-over-year growth in jobs, up 2.5% in May 2015. Pairing job growth with improving Consumer Confidence scores, not only are people more comfortable purchasing a home, they may also be willing to spend a little more.

Stepping away from demographic and economic figures, back to local market statistics, here’s how the rest of June 2015 looked for Ada County real estate:

· 1,028 single-family homes sold, up 26.1% year-over-year
· $230,000 was the median sales price, up 6.0% year-over-year
· 2.6 months of inventory was available for sale, which was even with last year—inventory of existing homes as at 2.1 months and new construction was at 4.9 months in June 2015
· 42 days was the average market time, down 5 days, for a decrease of 36.2% year-over-year

2015 Mid-Year Market Update  (pdf)

NOTE: The information in this market report is based primarily on the public statistics provided by the Intermountain MLS (IMLS): http://publicstats.intermountainmls.com/static/Reports/Ada/2015/June-2015-Ada.pdf. These statistics are based upon information secured by the agent from the owner or their representative. The accuracy of this information, while deemed reliable, has not been verified and is not guaranteed. These statistics are not intended to represent the total number of properties sold in Ada County during the specified time period. The IMLS provides these statistics for purposes of general market analysis, but makes no representations as to the past or future appreciation or depreciation of property values. (To reduce the error, only data falling within 3 standard deviations from the mean has been included in the report. Existing and new construction statistics are calculated independently and may not sum to the total number of homes sold.) Changes to methodology: Effective 3/1/2007, ‘days on market’ refers to the number of days that transpire between the listing date and the date the property goes into pending status. Effective 4/1/2011, standard deviation is modified to reflect the difference between the asking and sold prices as a percentage of the asking price.

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  1. […] Brenda Kolsen, President of the Ada County Association of REALTORS®, responds: “As noted in our mid-year market report, our area typically sees a slight drop in activity each year in July or August, after the rush of […]