Last month, the Boise housing market witnessed impressive leaps in some key measurements for real estate market competitiveness. Most notably, the median sales price for existing homes (not including new construction) went up by $56,800 from February to March. This is an increase of 11.6% in one month and marks the greatest month-over-month price jump in Ada County history. Though not record-breaking, the overall month-over-month median sales price increase of 6.3% was also notable. These metrics, along with a month-over-month increase of 12.2% in pending sales and 21.3% in sold homes, indicate that buyer demand remains strong despite sustained higher interest rates and that our market may be poised for a much more active spring than experienced in 2023.
Another contributing factor to the jump in prices last month, particularly in the existing home sector, could be attributed to the "lock-in" effect. This phenomenon arises from homeowners who purchased their current properties at historically low mortgage rates and are, understandably, hesitant to sell and trade these advantageous loans for new higher-cost mortgages. Consequently, many who might otherwise upgrade their homes are opting to remain in place, thus constraining the inventory of homes for sale, particularly within the entry-level segment. This trend further exacerbates the scarcity of available properties, adding to the competitive nature of the housing market.
Whether you’re considering buying but are anxious about the process, hoping to sell but are feeling locked in, or simply curious about the current market dynamics and how they may affect your future real estate decisions, we’re here to support you every step of the way! With our knowledge of the market, expertise in negotiation, and genuine commitment to prioritizing your needs, we're dedicated to helping you navigate your next real estate move with confidence and ease. Don't hesitate to reach out – we're ready to assist you in achieving your goals and making informed decisions for your future.
For a quick snapshot of the Boise housing market for March 2024, see below.
For more market statistics, including those for Canyon, Elmore, & Gem Counties, check out Boise Regional REALTORS® Market Report HERE.
