RECORD LOW NUMBER OF HOMES FOR SALE IN ADA COUNTY
Key Takeaways:
- There were only 1,039 homes for sale in February 2020 in Ada County — 23.4% less than a year ago, and the lowest number since at least 2004 (when the Intermountain MLS started tracking the metric).
- Of the housing inventory available for purchase, only 344 were existing or resale homes, also a record low for our data set. This is down 37.6% from February 2019.
- Persistent buyer demand compared to low inventory, as well as an increase in the share of new home sales, continues to influence home prices in Ada County. The median sales price in February 2020 was $361,350, up 11.3% compared to last year.
February 2020 saw a new record low number of single-family homes for sale in Ada County, falling below the previous low of 1,143 in March 2018, bottoming out at 1,039 homes for sale. This was 23.4% less than the number of homes for sale in February 2019 and the lowest number since at least 2004 (when the Intermountain MLS started tracking the metric).
While the inventory of new homes for sale was down 13.7% year-over-year, the lack of existing/resale homes for sale is the main drag on inventory, hitting a record low in February 2020 with just 344 existing/resale homes for sale — 37.6% less than the same month last year.
If you’re hoping to buy, keep in mind that low inventory isn’t the same no inventory. There are options available, and rates are making mortgage payments more manageable. On the other hand, if you’re considering selling, keep in mind sellers are getting a great value for their properties with today’s home prices.
Speaking of prices, the median sales price in February 2020 was $361,350, up 11.3% compared to the same month last year. The lack of existing supply compared to demand was a main driver of prices, as well as the increasing share of new home sales — which makes sense as buyers have limited options among existing/resale properties. New homes made up 42.7% of all home sales in February 2020, a 9% increase from a year ago. New homes are typically priced higher due to increasing cost of land, labor, and materials, so as the share of new construction sales grows, it will have a greater impact on the overall median sales price.
While our market reports typically look at single-family homes with or without acreage only, there are additional options available in the condos, townhomes, and mobile/manufactured homes segments throughout Ada County. For example, 47 townhomes sold in Ada County in February, with a median sales price of $289,900. The median sales price for condos was at $286,000, and for mobile or manufactured homes with an owned lot, it was at $153,000 in February 2020. (NOTE: Learn more about sales activity and median prices of these property types in our new Condos, Townhomes, and Mobile/Manufactured Homes Market Report.)
If you’re considering a move, work with your REALTOR® and a trusted lender to find solutions that meet your individual needs and circumstances.
FEBRUARY 2020 ELMORE COUNTY HOUSING MARKET UPDATE
As of February 2020, the median sales price for homes in Elmore County reached $198,100; an increase of 18.0% compared to the same time last year. Due to the smaller number of transactions that occur in the area, we use a rolling 12-month median sales price to get a better idea of the overall trends.
There were 34 closed sales in Elmore County last month — up 6.3% year-over-year. Of those sales, 30 were existing/resale homes, and four were new homes. This left 62 homes still on the market in Elmore County at the end of February, an increase of 47.6% from February 2019.
The Months Supply of Inventory (or MSI) in Elmore County increased to 1.6 months — up 60.0% from the same month last year.
The MSI metric measures the relationship between pending sales (which measures buyer demand) and inventory (which measures supply). A balanced market— not favoring buyers or sellers — is typically when MSI is between 4-6 months of supply. MSI below four months is usually more favorable to sellers, while MSI above six months is usually more favorable to buyers.
While we saw an increase in housing supply in Elmore County compared to this time last year, the bulk of that inventory is priced at or above $250,000. Low mortgage rates may help some prospective buyers manage their monthly mortgage payments at these higher home prices, so if you’re considering a move, partner with your REALTOR® and lender to find a solution that fits your needs.
FEBRUARY 2020 GEM COUNTY HOUSING MARKET UPDATE
As of February 2020, the median sales price for Gem County was $250,435, an increase of 24.8% over the same month last year. We use a rolling 12-month median sales price to get a better idea of the overall trends due to the smaller number of transactions that occur in the area.
There were 17 homes sold in Gem County in February, up 6.3% from February 2019. This left 41 new and existing/resale homes available for sale at the end of the month, down 12.8% from a year ago.
Pending sales (or homes under contract) measures buyer demand, while inventory (or homes for sale) measures supply. The relationship between these two metrics is reported as Months Supply of Inventory (or MSI), which was at 2.2 months in February 2020, down 8.3% from February 2019.
A balanced market — not favoring buyers or sellers — is typically when MSI is between 4-6 months of supply. MSI below four months is usually more favorable to sellers, while MSI above six months is usually more favorable to buyers.
Buyer demand continues to outpace the housing supply in Gem County, driving prices up. However, if you’re looking to purchase a home, low mortgage rates may help you manage the monthly mortgage payments at these higher prices. The first step is to partner with your REALTOR® and lender to find a solution that fits your needs.
Additional information about trends within the Boise Region, by price point, by existing and new construction, and by neighborhood, are now available here: Ada County, Elmore County, Gem County, City Data, and Condos, Townhouses, and Mobile/Manufactured Homes Market Reports. Each includes an explanation of the metrics and notes on data sources and methodology.
Download the latest (print quality) market snapshot graphics for Ada County, Ada County Existing/Resale, Ada County New Construction, Elmore County, and Gem County. Since Canyon County is not part of BRR’s jurisdiction, we don’t report on Canyon County market trends. Members can access Canyon County snapshots and reports in the Market Report email, or login to our Market Statistics page.
# # #
This report is provided by Boise Regional REALTORS® (BRR), a 501(c)(6) trade association, representing real estate professionals throughout the Boise region. Established in 1920, BRR is the largest local REALTOR® association in the state of Idaho, helping members achieve real estate success through ethics, professionalism, and connections. BRR has two wholly-owned subsidiaries, Intermountain MLS (IMLS) and the boirealtors.com/connect/foundation/.
REALTOR® is a federally registered collective membership mark which identifies a real estate professional who is member of the National Association of REALTORS® and subscribes to its strict Code of Ethics.
If you have questions about this report, please contact Cassie Zimmerman, Director of Communications for Boise Regional REALTORS®. If you are a consumer, please contact a REALTOR® to get the most current and accurate information specific to your situation.
The data reported is based primarily on the public statistics provided by the IMLS. 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 the counties or cities during the specified time period. The IMLS and BRR provide these statistics for purposes of general market analysis but make no representations as to past or future performance.
