The Boise housing market has remained relatively stable as we’ve cruised into the new year.    In January, the median sales price reached $538,000—a 1.5% increase from the previous month and a 4.5% rise from January of last year. The number of homes sold, pending sales, and active listings have also increased year-over-year by 6%, 13.3%, and 22.8%, respectively. As we look ahead and consider where the market may be headed, several nationwide factors are influencing real estate trends:

  • Interest Rates: After three consecutive rate cuts, the Federal Reserve held interest rates steady in January due to ongoing inflation concerns. Mortgage rates currently sit at 6.7% nationally, with no expected declines in the near future.

  • Building Costs: President Trump temporarily suspended the 25% tariffs on imports from Canada and Mexico. However, with approximately 70% of softwood lumber used in residential construction coming from Canada and the same percentage of gypsum (used in drywall) imported from Mexico, any future tariffs could drive up homebuilding costs and impact housing affordability.

  • Insurance Rates: Increased risk—primarily due to the growing frequency and severity of natural disasters, along with higher recovery costs—has led insurance providers to raise premiums to maintain profitability and ensure coverage for future losses. These rising insurance costs continue to strain housing affordability.

  • California Wildfires & Idaho Real Estate: The recent devastating wildfires in California may prompt more residents to relocate to safer areas, and Boise remains a top destination. While we haven’t yet seen a direct impact on our market, past trends suggest an increase in buyers over the next two months.

If you're thinking about buying or selling this year and wondering how these factors may affect your plans, we’re here to help. We’d love to get together to discuss your specific situation, review the latest market trends, and analyze relevant data so you can make your next real estate move with confidence.

For a quick snapshot of the Boise housing market for January 2025, see below.  

Boise Housing Market January 2025

For more market statistics, including those for Canyon, Elmore, & Gem Counties, check out Boise Regional REALTORS® Market Report HERE.