Boise (Ada County) Real Estate Market Report for June 2013

June was another great month for Boise Real Estate, but interestingly enough, not quite as great as May. There were 858 closed sales in June, a 6% drop from May’s 913.  Pending sales at 898 were also -4.9% from May. Normally the busiest months are May and June with July right up there as well, so the fact that May was busier than June is a little unusual but should not be a cause for alarm.  One month does not a trend make… although I wouldn’t be surprised to see a continuation in July.  Interest rates have risen over a point from their lows with most of that rise being in the last 6-8 weeks.  This may dampen the flames of the market as bit as people can afford less or maybe not qualify at all in some cases. Fortunately, the other indicator of market activity, the number of active listings (2200), shot up 10.9% from May but inventory is still very low by all accounts. In fact the number of active listings was still just a hair below June 2012. 

 

Speaking of 2012, while June 2013 didn’t compare that well with May 2013 it was way busier than June 2012.  Closed sales were up 17.9% and pendings were 25.4% ahead of a year ago.  In terms of prices we also crushed 2012.  The average sales price at $236K was up 16.3% from last year and the average price per square foot at $111 was up 10.6%.  The average days on market was 57, a 31.8% drop from 2012, and as mentioned above, inventory is still very tight at 2.6 months but seems to be improving.

 

Market Stats for Boise (Ada County)  June 2013.  Includes single family, town homes, and condos.

 

Type

# Sold

% +/-

% of Total Sold

# For Sale

% +/-

% of Total For Sale

$/SF

% +/-

Average Sold Price

% +/-

Days on Market

% +/-

Months Inventory

All

858

+17.9

100

2200

-0.7

100

$111

+10.6

$236K

+16.3

57

-21.9

2.6

Non Distress

767

+37.9

89.4

1904

+13.5

86.5

$114

+6.0

$244K

+8.9

50

-20.6

2.5

REO

39

-37.1

4.5

54

+92.9

2.5

$85

+8.9

$179K

+25.2

49

+58.1

1.4

Short Sale

52

-52.7

6.1

238

-53.1

10.8

$86

+18.7

$163K

+23.5

162

+11.0

4.6

New Construction

175

+36.7

20.4

542

-9.8

24.6

$119

+2.3

$276K

+10.8

99

-10.8

3.1

 

Distressed properties continue to retreat from the market although the number of available REO’s did spike in June to 54 which is +92.9% from 2012.  But closed sales were  off 37.1% for REO’s and 52.7 for short sales and combined they only accounted for 10.6% of all closed sales.  You may recall that at one point during the bust they were around 50% of closed sales.  New construction now accounts for almost twice the number of sales as distressed properties. 

 

One bit of concern for me, if I was a builder, is that the average price per square foot of new construction was only up 2.3% compared to 10.6% for the market as a whole. The average sales price of a new home was up 10.8% however.  This would suggest  that buyers are purchasing slightly larger homes (good news for builders), but that the builders are not having an easy time charging more per square foot even though materials prices and in some cases labor costs have been on the rise.  Lots are also in short supply so land costs may be a bigger chunk of the total cost of a home which would put further pressure on the builder’s margins.  I haven’t heard a lot of complaining from builders, most of whom I think are just happy to be busy, but I can’t help but wonder how their bottom lines are looking.

 

Overall the outlook for the market continues to be strongly positive.  As mentioned rising interest rates could slow things down somewhat on the buy side but that might be a good thing in the long run.  More sellers seem to be getting off the fence in the hope that they are above water again so supply should continue to improve for a while, especially now that new construction has ramped up again. The best possible path forward would be steady manageable growth as opposed to the volatile roller coaster that we seem to have been on the last 8-10 years. Let’s hope the stars align and provide some semblance of order in the months and years to come.

 

As always, your comments and questions are welcome.  If you would like to share this report with anyone please let me know and I will contact them to see if they would like to be added to the list. And of course your referrals are the most welcome of all.  Keep ‘em coming! Have a great summer!

Detailed graphs below for those interested.

 

Cam Johnson

Realtor®

Windermere Access Realty

1412 W Idaho St.

Suite 120

Boise, ID 83702

208-258-2222 Office

208-283-3664 Cell

208-258-2230 Fax

 

camjohnson@windermere.com

Check out my listings here: http://www.camjohnsonhomes.com

 

View my profile on LinkedIn

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Facts and Trends

TM

Published July 2013*

Location:

  ADA COUNTY

Price Range:

  $0 – No Limit

SQFT Range:

  0 – No Limit

Property Types:

  Single Family, Single Family w/ Acr, Condo, Townhouse – All Properties – All Properties – All Properties

Bedrooms:

  0 – No Limit

Bathrooms:

  0 – No Limit

Year Built:

  0 – No Limit

Prepared for you by: Cam Johnson-Windermere Access Realty

 

Number of Homes For Sale vs. Sold vs. Pended (Apr. 2012 – Jun. 2013)

 

Curnt vs. Prev Month

Curnt vs. Same Month 1 Yr Ago

Curnt vs. Same Qtr 1 Yr Ago

 

Jun. 13

May. 13

% Change

Jun. 13

Jun. 12

% Change

Apr. 13 to Jun. 13

Apr. 12 to Jun. 12

% Change

For Sale

2200

1984

10.9%

2200

2215

-0.7%

2019

2155

-6.3%

Sold

858

913

-6%

858

728

17.9%

846

680

24.4%

Pended

898

944

-4.9%

898

716

25.4%

928

729

27.3%

 

Average Price per SQFT (Apr. 2012 – Jun. 2013)

 

Curnt vs. Prev Month

Curnt vs. Same Month 1 Yr Ago

Curnt vs. Same Qtr 1 Yr Ago

 

Jun. 13

May. 13

% Change

Jun. 13

Jun. 12

% Change

Apr. 13 to Jun. 13

Apr. 12 to Jun. 12

% Change

Avg. Sq. Ft. Price

111.1

111.8

-0.6%

111.1

100.5

10.6%

109.7

97.8

12.2%

 

Avg CDOM & SP/Orig LP % (Apr. 2012 – Jun. 2013)

 

Curnt vs. Prev Month

Curnt vs. Same Month 1 Yr Ago

Curnt vs. Same Qtr 1 Yr Ago

 

Jun. 13

May. 13

% Change

Jun. 13

Jun. 12

% Change

Apr. 13 to Jun. 13

Apr. 12 to Jun. 12

% Change

Avg CDOM

57

54

5.6%

57

73

-21.9%

58

85

-31.8%

Sold/Orig LP Diff. %

99

98

1%

99

98

1%

98

97

1%

 

Average Price of For Sale and Sold (Apr. 2012 – Jun. 2013)

 

Curnt vs. Prev Month

Curnt vs. Same Month 1 Yr Ago

Curnt vs. Same Qtr 1 Yr Ago

 

Jun. 13

May. 13

% Change

Jun. 13

Jun. 12

% Change

Apr. 13 to Jun. 13

Apr. 12 to Jun. 12

% Change

Avg. Active Price

314

319

-1.6%

314

284

10.6%

316

275

14.9%

Avg. Sold Price

236

228

3.5%

236

203

16.3%

227

200

13.5%

 

Months of Inventory Based on Closed Sales (Apr. 2012 – Jun. 2013)

 

Curnt vs. Prev Month

Curnt vs. Same Month 1 Yr Ago

Curnt vs. Same Qtr 1 Yr Ago

 

Jun. 13

May. 13

% Change

Jun. 13

Jun. 12

% Change

Apr. 13 to Jun. 13

Apr. 12 to Jun. 12

% Change

Months of Inventory (Closed Sales)

3

2

18%

3

3

-15.7%

2

3

-24.7%

 

 

 

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*All reports are published July 2013, based on data available at the end of June 2013. All reports presented are based on data supplied by the Intermountain MLS. Intermountain MLS does not guarantee or is not in anyway responsible for its accuracy. Data maintained by the Intermountain MLS may not reflect all real estate activities in the market. Information deemed reliable but not guaranteed.

 

 

Posted on July 12, 2013 at 4:31 pm
Cam Johnson | Category: Uncategorized

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