BOISE, Idaho —
The median sales price of Ada County homes reached a record high of $575,000 in March 2022, a 22.6% increase from the previous year.
The rise in housing prices was primarily driven by new construction, accounting for a third of the sales in March. Median sales of new homes were $606,050, and the price of resales reached $555,000.
"Many economists are predicting that the increase in mortgage rates will eventually temper home prices," said Becky Enrico Crum, 2022 President of Boise Regional REALTORS. "While we are still watching for that, the insufficient supply of homes compared to demand will continue to put pressure on local home prices."
In recent weeks, housing inventory has been increasing. However, the total number of days houses are on the market has dropped to 15 days on average.
"It is hard to argue that interest rates will not play an important role in our market and prices going forward,” said former president and board member of Idaho Mortgage Lenders Association, Ryan Froehlich. “The extent to which is challenging to estimate as we continue to stay in a cycle of high demand and low inventory. Buyers with strong incomes, those looking to sell and repurchase, and those coming from high-priced markets outside of Idaho will continue to be in a position to purchase here locally. We are still seeing those borrowers actively looking for real estate."
Although many houses were selling over the listing price in March, it was not by as much as they did in the previous year.
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