Posts Tagged ‘Boise County Real Estate’

WILDERNESS RANCH ANNUAL REAL ESTATE REPORT FOR 2013 SALES

February 12, 2014

2013 Wilderness Ranch Annual Real Estate Report
Our Annual Review of Real Estate sales in Wilderness Ranch & Boise County for 2013 and your 2014 forecast.

By: Paul Heim & The New View Team

At the start of 2013, Boise was named one of the top ten cities leading the national recovery by Forbes (as posted Feb 4th 2013), as well as one of the cities with the highest home price appreciation.  But how did we fare throughout the year and where are we today, but more importantly, where will tomorrow take us?

Year at A Glance: The first and second quarter of 2013 showed continued growth and sales in both Ada and Boise Counties. While prices leveled off and a sense of normality returned to the market place, the third quarter showed a decrease.  This was mostly due to the government shut down and sequestration which added both uncertainty and increased interest mortgage loan rates by 1% to 1.25% .

The end of the fourth quarter saw a small rebound.  Average overall increase in value on a median priced home in 2013 was fairly similar for both Ada and Boise Counties, coming in at around 11%.

While the third quarter brought some price pressure on homes under 150k (mainly due to higher interest rates) we saw significant hurdles overcome in homes priced over 300k and upwards to 1 million. The following graph shows the average sales per year based on price range.  As shown below, home sales of higher value were up significantly in Boise County.   (see chart below)

GRAPH OF UNIT SALES IN BOISE COUNTY LAST 5 YEARS BASED ON PRICE RANGES
chart1

Boise County Trending and Sales compared to Wilderness Ranch Properties Detailed in Following Graphs.

chart2

chart3

BULLET POINTS
Boise County Statistics:
•    78 Units Sold in Boise County 2013 compared to 157 Units Listed about a 50% absorption rate.
•    However homes in the 250k and above range showed a much higher absorption rate.
•    14 short sale listed 4 sold, 1pending
•    17 bank owned listed, 11 sold & 4 pending,
•    3 HUD listings, 2 sold & 1 pending
•    Boise County Overall Average List Price was $183,375 per sq ft $90.22
•    Boise County Overall Average Sold Price $177,619 per sq ft $86.70

WR STATS:
•    Wilderness Ranch had 27 Active Home Listings
•    20 homes Sold and
•    4 Pending Sale prior to Jan 2014
•    Makes an absorption rate of 73% roughly and if you count homes hat went pending 2013 but close in 2014 it is closer to 85%
•    Average List Price in WR $236,145 and
•    Average price per square foot list $99.52
•    Average Sold Price $230,997
•    Sold Price per sq ft $97.54
•  Highest Sold Price per sq ft was $166.12 and lowest was $39.15.

WR Comprised nearly a third of all the home sales in Boise County and on average continues to maintain a higher absorption rate and garner a higher sales price per square foot.  The next closest neighborhood by comparison to WR would be Osprey, which generally sells at a higher price per sq ft.  However it has a minimal amount of existing residences by contrast, hence therefore has a smaller turnover rate by proportion.

General News and Local Economic Forecast:
•    As many are aware, the Warm Springs has reopened. This has helped Boise County and especially the Idaho City economy and   will continue to do so.

•    As the large mining operation in Placerville grows (as is anticipated) this will also have an impact on Idaho City, as workers will no doubt frequent Id City for goods and services as well as increase rental rates.

•    In addition, the new Medical Family Practice by Dr. Matthew Nelson known as ‘Mores Creek Family Medicine’ was a well needed addition to the county.

2014 Forecast:
The Federal Reserve has determined to decrease the ‘Quantitative Easing’, whereby the Government buys back its own bonds, which the rumor alone resulted in an interest rate hike of about 1% for mortgages in second half of 2013.  When this does occur (and trust me it will eventually), then you can expect to see interest rates increase.  As of end January 2014 the Feds have unanimously agreed to cut back from 70 billion to 60 Billion a decrease of about 10 billion.   Depending on how this affects the market, and their continued endeavor to diminish the easing, we can potentially see mortgage rates go to 5 or 6% by end of year and in the next two years we can easily see 8%+.

While this may be good overall for the US dollar in the long run and no doubt for people intending to live on interest from savings (because currently that is near zero) it will have a serious affect on real property sales for a period as it lowers buying power.

Here are two good source articles for reference:

Quantitative easing Federal Reserve announcement
http://www.knoe.com/story/24575935/quantitative-easing-federal-reserve-announcement

Citing Growth, Fed Again Cuts Monthly Bond Purchases
http://www.nytimes.com/2014/01/30/business/federal-reserve-policy-decision.html?ref=quantitativeeasing&_r=0

Prediction: How will this affect or housing market in the year to come?  Once people realize and accept that the trend on interest rates may be a steady climb upwards, I forecast that it will initially create a wave of buyers trying to beat the rising tide.  Following that we will settle into a mental adjustment period where sales may go flat, and as laws of supply and demand go, can affect values.  The duration period to pull out of something like that is difficult to predict at this point.

You can liken the adjustment to gas prices.  Remember the first time you paid $2 per gallon?  We all had a fit, then we saw gas rise to nearly $5 per gallon.  Now we would dance for a chance at $2.  I get giddy when it drops down near $3.  People will always want and need to buy or sell, and eventually they will accept and settle in to the current norm of the day.

This spring may afford a window of opportunity.  If you were considering making a move, upsizing or downsizing, then you may want to evaluate your options today.

Please feel free to call or write us with questions.  We are always happy to help with information or to answer any questions.

Don’t forget to visit http://www.WildernessRanchHomes.com to see what is happening in your neighborhood.  Also If you are interested in East Boise County in general you may visit http://www.BoiseCountyHomes.com

2012 Wilderness Ranch Idaho Annual Real Estate Sales Report

February 4, 2013

NewViewFBLogo                                                                     

Our Annual Review of Real Estate sales in Wilderness Ranch for 2012 and your 2013 forecast.

By: Paul Heim & The New View Team

Wow what a year!  While I had forecasted in last year’s report that we had passed the bell curve and would see an increase in market values for 2012, the market surpassed what anyone had expected or predicted.  We saw an unprecedented turn around in the Treasure Valley real estate market.  Overall values increased anywhere from 10% to 15%. These gains were primarily in homes under $350,000 but higher priced homes benefited also.

What were the causes and effects?  What we witnessed was a market correction.  It showed that homes had become undervalued.  I like to use the Circuit City analogy.  ‘Best Buy won the war’, … however I would bet Circuit City had way more customers the last four months they were open during  their  ‘Going Out of Business Sale’.  Best Buy had no way to compete with their prices those last months, but after their biggest competitor was finally gone, they knew they would see a spike in their growth and profit.

Likewise, as the banks ‘Going Out of Business Sales’ (foreclosed homes) were nearing a completion, the average seller was not able to compete with these prices.  We then entered a period of contraction.  This simply means we had more buyers than available listed properties.  Supply and demand rules ensued.

With the low inventory of listings on the market, we often dealt with multiple bids in the Valley when homes were priced competitively.  But how did Boise County and Wilderness Ranch fair in comparison? 

In 2012 East Boise County finally crossed an important barrier.  For 18 months we had no sales over $230,000 and that was causing difficulty in appraisals.  Not that the value wasn’t there in higher priced homes, just that appraisers couldn’t validate them for the lenders and the lenders need the appraisals to issue the loans.   The New View Team was able to complete two high-end sales (Boise County, but not in WR) very early spring, (cash deals) that helped remove that barrier and set precedence for every other sale and refinance that occurred moving forward in 2012.

Boise County tends to lag behind the Boise Valley (Ada County) by six to twelve months typically.   The Boise Valley saw a noticeable turn in the market starting the fourth quarter of 2011 so we anticipated it to carry over to Boise County by spring, but as summer set in it happened better than anyone had expected.  No complaints here!

Here are some graphs to illustrate key trends in the Boise Valley and East Boise County Real Estate Markets

Idaho Mountain Real Estate Stats

Homes in Idaho

How home sales compared in Boise County Idaho and Wilderness Ranch 2003 through 2012

2013 Forecast:

Boise is still seeing a contraction as developers try to re-group and get approval on new parcels through the hoops of planning and zoning for building.

I expect to see more homeowners (who were previously tight on the current value vs. what they owe) attempt to list in 2013, now that values have increased.  Nationally, home prices are predicted to increase 1% to 3%, but I predict Treasure Valley real estate increases to be somewhere between 3% to 5% conservatively.

In part, this projected increase will be due to a rebound in land values, which affects ‘over all’ home values.

Boise County, I believe, will see the START of a land recovery in Spring of 2013.  Whether it will do as good as housing did in 2012 is yet to be seen.  If you are looking to invest, then NOW may be a good opportunity to consider land, prior to a potential rebound.

I would suspect we will see more building and new construction homes taking place in Boise County in 2013.

There are some other exciting things happening in Boise County potentially for 2013 and we will keep you updated with them as the year progresses.  Some highlights are:

–          The opening of the Hot Springs in Idaho City which will help this end of the county economically.

–          Dr Matt Nelson’s new Family Practice office, which will be located directly across from the old Rock’s Lodge.

If you have any real estate related questions, please feel free to call or email us anytime, or visit our website!  We would love to hear from you.

Paul Heim & the New View Team

(208) 344-5700 – office

(208) 794-8175 – Paul Mobile

http://www.NewViewRE.com

Wilderness Ranch 2011 Annual Real Estate Report

February 1, 2012

Annual review of real estate sales in Wilderness Ranch for 2011 and forecast for 2012.

The city of Boise and the Treasure Valley area was a mixed bag.  We actually saw a price increase of about 3% in homes under $150,000 mostly due to low interest rates, affordability and bank owned opportunities.  Many were multiple bid situations.  East Boise County always seems to lag the Valley in the curve.

So how did Wilderness Ranch fair for 2011 in the real estate market.  Sales and values were below average but considering the market and economic climate there were some pros and cons.

For starters in 2011 there were no sales in all of East Boise County over $230,000 which was extremely uncommon. I expect that trend to break this spring.

We had a total of 14 sales in Wilderness Ranch and two in Hidden Bowl, our close neighbors.  Of which I was party to 11 of the transactions in Wilderness Ranch, four of which were land sales.   I also moved two homes in Hidden Bowl off Daggett Creek.  Land sales were dismal as most people were taking advantage of  the competitive pre-owned homes market.

There were a total of 22 Home listings in WR for 2011 with 10 home sales; that makes a 45% absorption rate from list to sale which is phenomenal when compared to the rest of E. Boise County.  Our number of home listings were pretty average and much lower than the last three years as we have sold a lot of the excess inventory that was held over from the 2008 and 2009 market.

East Boise County in all had 134 Home listings (not including WR) and 43 Home sales; which was basically a 32% absorption rate.  So WR has consecutively outsold the County in general year over year. Proving that WR is a good place to buy with.

I currently have four homes pending sale in WR, two are short sale and two are non distressed.

Now for the nitty-gritty of it;  Of those WR sales there were seven that were distressed property; i.e. bank owned and/or short sale.  However I expect to see less distressed property in 2012 which I will cover in our forecast.

To summarize;

  • 22 Homes listed in all
  • 10 home sales
  • 4 land sales
  • 45% Absorption rate on homes sales (odds of your home selling) which was above the 2010 average.
  • Average Days on market was 85,
  • Average list price was $152,
  • Average sold price was $137,74
  • Average price per sq foot was $71.71
  • Highest price per square foot was $100 per sq foot
  • Lowest sales price per square foot was $41 per sq ft.
  • There are 2 non distressed pending sales
  • There are 2 short sale pending sales

The overall average was skewed by a few smaller lower quality and bank owned properties, but I would determine the average value of a well cared for home in WR at around $85 to $103 per sq foot depending on quality of finish, views, acreage and other amenities.

So how did we compare to the rest of  East Boise County?  There were 59 home and land Sales in total (not including WR), of which we had;

  • 134 Homes listed in all (not including WR)
  • 43  Home Sales
  • 16 land sales
  • 32% absorption rate for home sales
  • 98 Average days on market
  • $111,457 Average list price
  • $103,802 Average sold price
  • $57.64 Average price per sq ft

2012 REAL ESTATE FORECAST;

The Federal Reserve has alluded that it will maintain its current interest rates through 2012.  Which I had anticipated since they want everyone focused on the elections.

As we all know we’re not out of the woods yet; but barring any unforeseen economic crises (holds breath) I do believe we are past the bell curve on the foreclosure market. We will yet see many more homes complete the foreclosure process and banks still have a back flow to list.  However as the year progresses we should start to see a gradual decline.  I suspect another 18 months before this market really becomes a part of our past.

I don’t foresee too much activity in land sales for 2012, though it more than likely will be an improvement over the last two years.

My anticipation is we will see a few more home listings this year than last year and as long as pricing is right and interest rates stay low, my goal is to increase our absorption rates by at least 10%.  If you have not had a chance please visit http://www.wildernessranchhomes.com and if your on Facebook send us a like and feel free to post a comment or a picture.

I look forward to assisting each one of you.  please feel free to call or write if you have a question.  Always glad to help.  You may email me at buyboise@gmail.com or phone me at 208 794-8175 Mobile or 208 344-5700 Office

Sincerely,

Paul Heim

New View team

http://www.paulsidahohomes.com

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Boise County Homes- Living the Idaho Dream

January 23, 2009

Click Here - Boise Home Search

Click Here - Boise Home Search

by: Paul Heim

 

Do you dream of a Home in the Mountains, living amongst the trees, surrounded by the wonders of nature. All too often such locations are too remote for year around living. Look no farther, the Boise County area is a short drive to the city of Boise Idaho & offers the best of both worlds. Where as an everyday occurrence, the beauty of nature is right in your backyard.  Boise County Homes offers a number of Subdivisions and communities to choose from.  Some premier Subdivisions are Wilderness Ranch, Duquette Pines, Osprey Meadows, Elk Run, Elk Meadows, Timber Mountain & Robie Creek.  Some of the communities are idaho City, Placerville, Centerville, & Clear Creek.  Please contact Paul Heim for Boise County Home Information 208 344-5700.

Boise County sports a variety of recreational activities and wildlife to enjoy such as but not limited to;

 

Geography 

Boise County, Idaho consists of approximately 1,908 square miles, with elevations ranging from 2,700 feet to over 10,800 feet above mean sea level (amsl). The mountainous terrain of Boise County includes the Boise River Mountains, the southern end of the Salmon River Mountains, and part of the Sawtooth Mountains. Federal or State managed lands constitute approximately 84% of the County and border much of the remaining 16% land base that is privately owned. Counties that border Boise County include Ada County, Gem County, Elmore
County, Valley County.
If you would like to know more details and demographics for Boise County please CLICK HERE

If you would like more information regarding Boise County Homes & Property contact Paul Heim today (208) 344-5700 or visit http://www.paulsidahohomes.com

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Discover Boise Idaho Real Estate

January 23, 2009
Click Here - Boise Home Search

Click Here - Boise Home Search

Assisting individuals discover the benefits of Idaho Living.  If you would like to discover what Boise Homes have to offer,  visit http://www.paulsidahohomes.com for Boise MLS Home searches and area information.  Covering the entire Treasure Valley AreaContact Paul Heim today for more information 208 344-5700 buyboise@gmail.com

Idaho is an amazing State. If all the lower 48 states were ironed out flat, Idaho would be the largest; its rugged terrain with towering cliff sides, pine-forested peaks and deep canyons make Idaho’s natural scenery one of the wildest and striking in the U.S. The southern half of the state is much lower in elevation compared to the north. The Snake River forms the western border with part of Washington and Oregon before turning into the state and bisecting the southern half, meandering through the fertile Snake River Plain in the eastern part of the state. The Bitterroot Range serves as a natural border with Montana, and further east, the Clearwater and Salmon River mountains extend for miles into the some of the most isolated regions in America.  If you would like more information regarding Idaho please visit http://www.statemaster.com/state/ID-idaho

For images of Idaho’s majestic features please visit the Photo Book of Idaho Images

Idaho is a life time worth of living,  Experience the difference. We’re committed to helping you find a home to place your heart. In Idaho HEIM = HOME

Paul Heim, Silvercreek Realty Group Call today 208 344-5700 or email me at buyboise@gmail.com


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