Our spring weather isn’t the only thing acting crazy, the real estate market seems to be doing the same. Demand remains strong and supply can’t keep up, leading to a near record high for the median home prices in Ada County and a record breaking median home price in Canyon County. The median sales price for existing homes in Ada County was $233,000 this month. This is up 5.5% over last month and up 8.4% over this time last year!
Though spring has brought several new listings to the market, it’s not enough to keep up with increasing buyer demand. Inventory is down 14.4% from 2016’s already low levels. Builders must continue to increase their production of new homes in order to help ease the crunch. These new homes, especially in the mid to high price ranges, will provide options for move-up buyers to move into. Those buyers will then sell their existing homes, which should free up more inventory in the lower to middle price points. In Ada County, new home starts are up 8% from March 2016, and in Canyon County they are up 6%.
Throughout the summer, we expect construction companies to be busy, buyers to face competition, and sellers to benefit from a strong sellers market.
Listed below are the current?Ada County market statistics for March 2017?compared to March 2016:
· Closed sales - 806?(up 1.8%)
· Median Sales Price (including new construction) - $250,000 (up 6.4%)
· Days on the Market - 48?(down 12.7%)
· Pending Transactions - 1,562?(down 1.8%)
· Inventory: 1,537?(down 14.4%)
· Months of Supply - 2.3?(down 11.5%)
We also wanted to show how the number of months supply of inventory fluctuates based on the price range.??The current month’s supply condition in each price range is as follows:
· $159,999 - 199,999: 15?days
· $200,000 - $249,499: 1.5 months
· $250,000 - $299,999: 2.7 months
· $300,000 - 399,999: 3.1 months
· $400,000 - 499,999: 3.3 months
· $500,000 - $699,999: 6.2 months