Posts Tagged ‘ Real Estate news in Boise ’

Real Estate Statistics for ADA County-February 2011

Today we will look at the Real Estate Statistics in ADA County for February 2011. ADA county covers all of Boise, Meridian, Kuna, Star and Eagle areas. These numbers will represent single family and single family w/ acreage.

Available Homes

# Available: 2661

# Vacant: 1451

# Short Sale: 837

# Bank Owned: 260

Median Asking Price: $165K

Number of distressed properties still dominates the market  with 41% of homes either a short sale or bank owned. The median asking price did rise by $10K over January. Inventory levels rose by almost 400 properties but is at the same level it was at in December of 2010 which was still lower year over year.

Pending Sales:

# Pending: 692

Median Asking Price: $150K

Pending sales are way up from January’s 584 and that is several months straight of increasing pending sales. The median price has remained the same from January. 

Closed Sales:

#Closed: 393

# Short Sale: 89

# Bank Owned: 145

Median Sales Price: $145,700

Median Days on Market: 70

ADA County’s sold prices increased by over $5K and should remain pretty stable since the pending prices are pretty flat.  Almost 60 % of homes sold were distressed which is a good thing/bad thing. Good being that distressed properties are moving through the system but the bad news is that they are taking the prices down with them.

Overall, ADA County showed some hopeful signs in February and this is considering that it was a shorter month. I think that spring is going to prove very interesting for real estate! If you would like additional statistics for the Boise Real Estate Market please go to the “Boise Real Estate Statistics” category menu or go to my website (no sign up required): www.BoiseRealEstateChick.com

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Real Estate Statistics for Meridian, Idaho-February 2011

Today’s post we will look at the February 2011 numbers for Real Estate in Meridian, Idaho. These numbers will cover active listings, pending, and sold with my commentary following each grouping.  Please note that the numbers are based on MLS data for single family and single family w/ acreage.

Available Homes

# Available: 688 (as of 3/5/2011)

# Vacant: 399

# Short sales: 223

# Bank Owned: 57

Median Asking Price; $167K

Number of homes on the market is down from January’s 606 and the median asking price went up very slightly from January’s $165K.

Pending Sales:

# Pending: 170

Median Asking Price: $156K

Pendings are up from January’s 152 and the median price dropped from $162,400.

Closed Sales:

# Closed: 105

# Short Sale: 27

# Bank Owned: 35

# of Days on Market: 73

Median Sold Price: $154,875

February closed sales for Meridian actually looks pretty good considering this was a shorter month. Closed sales were up from January’s 97 and the Median Sold Price was almost identical ($155K in January).  59% of the homes sold were distressed which is still way too high. Although the good news is that we are getting those properties moved through the system.

I wanted to point out that I have removed average sales prices.  They just do not reflect prices because we have too much swing in the high and low ends, making the median prices more reliable. I also have started adding in the number of distressed properties (short sale and bank owned) for the available and sold homes. This is because just listing the vacant homes does not give a full picture of what is going on. Not all vacant homes are distressed and not all occupied homes are okay. I have also added Median Days on Market because that is also an important number to watch. This helps homeowners to get a better perspective of how long it may take to move their home if it is reasonably priced. 

Tomorrow I will give the ADA county statistics which will have all of the Boise Real Estate Market as well as Meridian and Eagle. If you would like to see more statistics for the Boise Idaho area please see my posts under the Boise Real Estate Statistics category or go to my website (no sign in required); http://www.BoiseRealEstateChick.com

Foreclosures Tripled in Idaho since 2008-Really?!

I love when my local newspaper gives me something to write about! The Idaho Statesman so consistently gives half a story I wonder how they get away printing them as news.

If you happened to catch the article about Foreclosure sales having tripled in Idaho, let me give you the “rest of the story” as Paul Harvey used to say.

This article compares foreclosed property sales (bank owned)  in 2008 with 2010 in Idaho. Well, duh, there was an increase in foreclosed properties!  Let me show you the numbers to better illustrate the “duh” moment:

2008 ADA County

Total Sold: 5359

Short Sale: 253

Foreclosed/Bank Owned: 0

———-

2009 ADA County

Total Sold: 5752

Short Sale: 852

Foreclosed/Bank Owned: 1205

———-

2010 ADA County

Total Sold: 6254

Short Sale: 1066

Foreclosed/Bank Owned: 1866

Observe the Foreclosed number in 2008(and no, I was not making an emoticon face there!).  That’s right! It was zero! This is not a shocker because short sales were just getting started with the housing market decline that did not officially start until late 2007. Therefore foreclosed properties would not start for another 6 months at least. So to compare 2008 to 2010, the article might as well have compared 2003 with 2010 and they would have had the same outcome.

But look carefully at all the sold numbers, because this is the good news. In 2008, 5359 homes sold and in 2010, 6254 homes sold. That is a pretty significant increase. So how come the article did not highlight this aspect? 

But here are some even more interesting numbers to me that give me hope that the market truly is turning around:

January 2008- ADA County

Total Sold: 324

Short Sale: 44

Foreclosed/Bank Owned: 0

———

January 2009 – ADA County

Total Sold: 245

Short Sale : 30

Foreclosed/Bank Owned: 14

———

January 2010 – ADA County

Total Sold: 305

Short Sale: 60

Foreclosed/Bank Owned: 101

————

January 2011 – ADA County

Total Sold: 381

Short Sale: 69

Foreclosed/Bank Owned: 150

Look carefully at the Sold numbers.  January 2011 had 381 solds while January 2008 had 324.  Yes, more than half of the homes sold in January 2010 and 2011 are distressed properties but these two years reflect the mortgage and housing collapse of 2008.

Two sold numbers that I find promising are the total in 2010 and the January 2011.  We have increased sales and a shrinking inventory which will help lead us back to a healthy balance in the real estate market.

One more item in the article that always makes me crazy is the talk of “shadow inventory” that has not been put on the market yet. This is fear mongering plain and simple. This “shadow inventory being dumped on the market” theory has been around for a few years now.

 Two things about this theory: One, the banks are not going to dump all their inventory at one time. They are already discounting their properties well below market value so to dump them all at once would further devalue their properties. Two, you can consider all homes that are not on the market as shadow inventory. My house, your house and anyone else who has not put their house up for sale are technically “shadow inventory”!

Please note that these statistics are based on Single family and Single family with acreage in ADA County from the Intermountain Multiple Listing Service.

If you would like additional statistics for the Boise Real Estate market area please go to my website: http://www.BoiseRealEstateChick.com

Article referenced: Foreclosure sales in Idaho have tripled since 2008; Joe Estrella; Idaho Statesman.com 2/24/2011

10 tips for First Time Buyers

First time buyers are in a great position right now! You will probably hear it repeatedly that “it has never been a better time to be a first time buyer”.  Surprise, surprise, it is actually true. Interest rates are still at historic lows,  prices are lower than they have been in almost a decade, and inventory is still pretty good (although that is starting to change but that will be for another post!).

So, what should a first time home buyer do to get the ball rolling? Well on msnbc.com there was an article by Michele Lerner of Investopedia with some excellent tips that I will now share with you.

  • 1. Meet with a lender – Before you even go out and look at homes this is probably the most important thing you can do to get started. There is no sense in getting your hopes up about a particular home and then finding out that you can not afford or qualify for it. Visit with several lenders to find the one that you are most comfortable with and that offers you the best rates. Not all lenders are the same. Some work directly for a bank and others are brokers. Each one has different borrowing options available, so shop around! 
  • 2. Check your credit score– Lenders base a few different variables when qualifying you for a mortgage and the most important piece is (right now anyway) your credit score. Scores of between 720-740 and higher will get the best rates. If the score is 620 or lower it may be more difficult to qualify. Always talk with your lender, they may have suggestions on how to improve your score in a short period of time.
  • 3. Set your housing budget-While you may qualify for a particular amount to borrow this may not necessarily be the amount that you want to borrow. Get a budget together that goes over all your expenses to see what you can really afford each month. The recommended amount to borrow for your mortgage is around 30% of your gross monthly income.
  • 4. Start saving and stop spending – Once you know what you can afford in mortgage payments each month, start saving the difference between what your current rent is and what your mortgage payment will be. In today’s market you may actually have a lower mortgage payment than what your rent is.  Save the difference anyway!!!
  • 5. Find a reputable realtor– That would be me so look no more!!! Ok, so if you are buying outside of Idaho, interview several realtors to see which one will work best for you. Even though you do not pay them a commission fee, they still work for you. So treat this as if you were hiring them for a job and you are the employer. In today’s market many realtors have a second job to make ends meet. This is understandable but you need a full-time realtor. Make sure that real estate is all they do and that they answer their phone when you need them, not when they are on lunch break or home for the evening!
  • 6. Narrow it down- What you want and what you need are two different things, sometimes you can get both but be realistic. If you plan on living in the home for more than seven years than you will want to get as close to you wants and needs list as possible. If the home is just a stepping stone to the next one (less than 6 years) than your needs list is what you should focus on.
  • 7. Choose a neighborhood– This is more important than you think! The value of your home in the future is determined quite a bit by the values of other homes in your neighborhood. Look for neighborhoods that do not have a large percentage of Short Sales and Bank Owned properties. These may become a flip in the future, continuing to keep the values flat.
  • 8. Make a reasonable offer–  I can not stress this enough! Most properties are so undervalued that to make an offer that is even lower is just silly. While you will always want to feel like you are getting the best deal, I can assure you that with prices the way they are, you are getting a good deal. Also, if you do not want your offer rejected by either the lender (since most properties on the market are lender owned or subject to a lenders approval through a short sale) you are better off offering full price and asking for closing costs to be covered.
  • 9. Get a home inspection- Many of the homes on the market have not been maintained properly either because the owner could not afford to or the home has been vacant for a long period of time. An inspection does not cost much (usually between $200-400 depending on square footage) and can save you major headaches after the sale. Better to know up front what you are dealing with and a bad inspection gives you the opportunity to ask the owner to fix the issues or if they will not fix items, then you can void the contract. Please note that most short sales and bank owned properties are sold “as is”. Get the inspection anyway for peace of mind.
  • 10. Finalize the details- Now that the contract is signed around and the inspection is done, stay in touch with your lender and realtor to make sure everything is on track. Your realtor should be doing this anyway to ensure that the closing takes place on time and that any items that needed to be addressed before closing are dealt with. Your lender will probably get with you several days before closing to update you on any additional papers that need to be signed or are needed.

Buying a home for the first time can be very exciting. If you do your homework before you even go out the door then the buying process should be relatively smooth. Remember, buying a home is one of the largest financial purchases you will ever make so do so as an informed buyer!

And if you have any questions always feel free to contact me!  mary@heritagewifi.com or http://www.BoiseRealEstateChick.com

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