- Property Search
The Market Outlook for Ada County Real Estate
(Single Family Homes)
Sales Year-to-Date: Ttl Sold 9506 $3,616,064,774
Sales YTD 2018: Ttl Sold 9618 $3,309,492,856
The typical Single Family property in Ada County is a 2105 square foot, 3.4 bedroom, 2.36 bath, 2.25 garage bays, house on a .21 acre lot. That includes new construction as well.
In 2010, 5896 Single Family residences were sold in Ada Count y – of which, 15% were new construction. For this year, through October, 9506 homes have been sold, and 30% of them have been new construction. Building is booming. Two main factors are fueling the new home market: 1 – Over time, listings to sell existing homes has not increased proportionately to the total number of homes sold, and 2 – The Boise area has become a very popular relocation destination.
Those waiting for the “correction” before they take action, will be disappointed. That’s not in the foreseeable future. As long as inventory is constrained, and demand continues, this market will be solid. The macro factors that combined to create the real estate “bubble” , and its ultimate collapse, are no longer in place. The confluence of policies put in place by disparate agencies, that combined to pervert the real estate market, was a consequence of a government too large for different agencies to know what others may be promulgating, and their unintended consequences when combined. Since then, new controls have been implemented.
The outlook for now indicates moderating housing prices. Prices will continue to increase, but at a slower rate. That may be a result of more new construction coming online to support supply. The charts and graphs on our website’s Stats page are updated monthly to capture the latest activity. The data presented includes the important metrics that indicate how the market may be changing.
National political / economic events of significance great enough to affect markets, including real estate, will be obvious to anyone paying attention. I look at each month’s loical real estate market results for the more subtle changes that could have an effect on our market. In the meantime, check in on our website’s Market Stats page to see what the local market is doing.
2018 National Migration Study
United Van Lines and U-Haul 2018 Customer Data
Among all who move, there are those who use moving companies, and those
who do it themselves. So, data from both companies provide broader
information about who is moving where, and why.
Valuing The Price Of A Home . . .
Dollars-Per-Square-Foot Only Goes So Far
When we do a comp for a house, we try to compare our subject house with others which: have sold recently; are similar in size (living area and lot); have a similar configuration (bedrooms, baths, garage bays); are close to the same age; and, are located a near as possible to the subject home (in the same sub/community is preferable).
Our first step in developing a value for a subject house is to find as many recent sales of comparable houses as exist. Initially, we go back three months. If there happen to be quite a few, we can reduce the time-frame to get more current market pricing. Five good comps are preferable.
With the comparables selected, we make two objective evaluations. In the first, we relate the average of the DPSF of the comps to the square feet of the subject house for a snapshot value. With the second, we adjust for all the differences the comps may have from the subject house. There could be more or fewer bedrooms, or baths, or garage bays . . .or square feet.
Relative to quare feet, as it varies in one way or another from the subject house, the value by Dollars-Per-Square-Foot becomes less accurate, as it does not scale in a linear fashion. Most of the time, the results confirm our intuition. However, we still will consider whatever subjective differences there may be between our subject house and the comps – condition, especially. Also, some may be in a less, or more, desirable sub/community. Lot sizes and siting could also be considered.
After all this, we discuss the results with our clients. Often, they have their own ideas as to where their house should be priced. Ultimately, an offer price is established. If the potential purchasers will be buying with a loan, there is always the possibility that the house will not appraise at the offered price, so the sellers must be advised to be prepared to renegotiate, or let the deal fall. When house is ready for the market, we list it.
If you would like us to do a Market Evaluation for your house, give us a call. We’ll gladly do one for you.
The Homeowners Exemption Basics
If you want the long version, go here: https://legislature.idaho.gov/statutesrules/idstat/Title63/T63CH6/SECT63-602G/ )
The exemption for owner-occupied residences bases the property tax applied to either 50% of the assessed value, or a $100,000 exemption, whichever is less.
An application for the exemption must be made to the Ada County Assessor’s Office. The application only needs to be made once. A copy of the application is usually provided to new owners at purchase closing. An online application is available at the Assessor’s website.
The deadline to apply for the exemption is April 15th, for occupancy that began the first of January. The effect of the exemption begins with the taxes for that current year, and the first tax bill is due December 20th. Half, or all of the amount, may be paid at that time. If half is paid, the 2nd half due date is the June 20th.
If the application is made after April 15th, the exemption becomes effective with the following year’s taxes. For purchases after April 15th, where the exemption is already in place, it continues through the year, but a new owner must still submit an application for the exemption to stay in place beyond that.
Rentals and second homes almost always will be without the exemption. So, the first year’s taxes will have to be considered as an extra expense. For new construction, the new owner can file immediately.
A Realtor is really your professional Risk Manager.
Ask almost any real estate agent what their value is to their client and most will say (for the seller) “getting the property sold quickly, and for greatest value”, and (for the buyer), “Finding you the house that meets all your expectations and negotiating the best price”. And, that’s true.
However, for buyers or sellers, the agent would be more correct to say he/she is acting as their risk manager. During the course of a purchase or sale, there are performance requirements which, if not expertly managed, could change the value of the transaction, end or invalidate the contract, or, alter the critical closing date of the transaction.
As licensed, professional Realtors, our objective is to always manage the transaction for the most favorable outcome, considering and anticipating all contingencies affecting the client’s outcome.
So, when considering engaging an agent to assist you in either buying or selling a house, determine whether he/she sees a successful transaction as one where your financial risk was managed to a beneficial outcome.