January Statistics Boise -2010 vs. 2011

 

Today on KTVB.com there was the typical media two paragraph snapshot of the January real estate market in ADA and Canyon counties for this year and last year with no commentary or insight.

I realize they get better viewing if the news is negative but a further explanation would have been helpful to viewers who may not completely understand what is going on in the local Boise real estate market. So let me share some numbers with you:

January 2011- 381 homes sold – median price $135.5k

January 2010- 305 homes sold- median price $168k

Now to look at these numbers you would say “wow, that is huge drop”. What you are not seeing is that in 2011 of those 381 homes, 69 were short sales and 150 were Bank Owned (total distressed was 219)  In 2010 of those 305 homes that sold, 60 were short sale and 101 were Bank Owned (total distressed 161). With more bank owned properties closing it is not surprising that the sales price numbers would be lower. Bank Owned are notoriously known for being well under market value.

More homes sold in January 2011 than in January 2010. Keep in mind that the January 2010 closings had the buyers credit incentive in place from the previous months. In January of 2011 there was no incentive.

January 2011 median Days on Market was 47 days while January 2010 the DOM was 62 days. 

What you also do not see is that home prices for the past few months has not really moved much. In October it was $146K, November, $150K, December, $148K. Yes, January numbers  are lower but we will have to see how February turns out to determine if we are on another downward trend.  But I doubt it and here is why:

Inventory is at its lowest that it has been in several years.  (January 2011 had 2,283 homes available and January of 2010  had 2,991) I know from personal experience that this time last year when looking for a home for a buyer I could find 30 properties within their criteria, now looking for that same buyer I may find 10 homes. Price is always dictated by supply versus demand. As the supply continues to drop, the demand will go up and so too will the prices.

I am not trying to cheerlead that the housing crisis is over. We still have quite a bit of distress properties to move but overall, I have to say we have a lot less of them. It is not all doom and gloom, it is just too bad that the media does a poor job of explaining it.

If you have any questions or comments please fee free to contact me: mary@heritagewifi.com

or www.BoiseRealEstateChick.com

Advertisements
  1. No trackbacks yet.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

Advertisements
%d bloggers like this: