Boise Real Estate Predictions (Star: short sale, 2011, foreclosures)

[Syringaloid]

Originally Posted by zamboni

I'm glad you can slash your price by 50 Gs and still make money. It goes to show how overpriced the market is. I looked at 5 homes in Boise in June in the 190-200 G price range. Today of the 5, four have dropped prices anywhere by 10,000 to as much as 15,000 and one is off the market. By waiting, these homes are now in the 184,000 range. I am going to wait until at least Spring 2008, about six months, before I purchase and will see the prices drop even more on these entry level homes. The median price is jacked up by sales of the more expensive homes. These entry level homes will soon be in the 155-175 G range.

Actually, the local real estate market is supposedly undervalued, even with the spike in values over the past few years, but if values are down in certain areas of Boise that is great because more families can afford to live in the city vs. a suburb. My home is worth so much because of the area of Boise it is in. The closer to downtown, the more expensive the homes are. I bought my home before the market took off a few years ago, so that is why I have so much value and it IS NOT overvalued by any means. I bought at a very good price, thus my equity is great. And my equity will only climb higher because I am adding a bathroom in the basement and renovating the basement to include two new bedrooms.

[zamboni]

Goody for you...and apples grow on prune trees. Better rethink your equity, jack, because even with your added toilet/outhouse dump area prices are headed down.

[Syringaloid]

Originally Posted by zamboni

Goody for you...and apples grow on prune trees. Better rethink your equity, jack, because even with your added toilet/outhouse dump area prices are headed down.

A bit bitter zamboni? Since when did adding a downstairs bathroom become an outhouse?
Here in Boise, apples actually grow on apple trees
And, I am not worried at all about my equity, even if prices went down it would not hurt me because inner Boise values are still up
As I mentioned, even if prices go down, which isn't a big deal at all, I still have good equity. My home was appraised a few months ago, and it was valued $55,000 over last years value, and with the renovations nearing completion in the basement, my value is expected to top $350,000 according to the local real estate appraisal expert who valued my home.
Why? Because my home was valued against other homes downtown which had the same # of bedrooms/baths. When my basement is completed, increasing my overall SFootage, my home will be valued against larger SF homes, thus an increase in my value.
The values in Boise are going to fluctuate much more differently than values out, I mean way out in Star or Middleton.

[Anchorless]

The prices in Boise proper will never go down much. They might stagnate or appreciate very slowly, but they'll never go down.

I'll have to side with Syringaloid on this.

[California Carl]

A wise man once told me... "What is something really worth"? (Answer) "What someone is willing to pay for it".

So, you never really know what your place is worth until you try to sell it. (especially in todays market) Granted, there is only so much real estate in downtown, and it stands to reason that people will want to live there. Also, if you don't need to move, who cares? I believe that housing prices will stay flat, give or take a little for the next five - ten years while the income level trys to play catch up.

So, if your house is worth 250K today, and in five years, it is still worth 250K, while people are making an average of 10K more on their annual income, the value of your house has dropped because it didn't keep up with the cost of inflation.

The bottom line seems to be that the average person in this country can no longer afford to buy an average home. So, before that can happen again, they will need to make more money, and house prices will either have to fall or stay flat, not to mention interest rates staying low. Maybe we will end up like Japan where you get a fifty year loan and your kids end up paying it off. Time will tell.

[Anchorless]

Originally Posted by California Carl

The bottom line seems to be that the average person in this country can no longer afford to buy an average home. So, before that can happen again, they will need to make more money, and house prices will either have to fall or stay flat, not to mention interest rates staying low. Maybe we will end up like Japan where you get a fifty year loan and your kids end up paying it off. Time will tell.

Agreed....

[Grumbler]

Originally Posted by Syringaloid

The closer to downtown, the more expensive the homes are.

That's why we purchased our home next to Cypress Park in SE Boise back in 2002 which is less than 10 minutes from downtown.

Have no doubts that homes closer to downtown will appreciate more in the years ahead than those like mine that are several minutes away.

FWIW, am of the opinion that the absolute best time to sell a house is during the March/April timeframe. After May there's too many listings on the market which dilutes the pool of potential buyers.

Used to be that many homes in Boise were bought as investments, and rented out for a couple of years before being placed back on the market.

We'll have our 4/2 1881sf home on the market in 3 more years as that's when my youngest daughter graduates from high school. Am glad we have a fixed rate mortgage rather than an ARM.

[starida]

Hi, everyone!!!!!
I'm new as of today to your forum and enjoy it very much, however as an outsider wanting to become an insider I have some questions for "whomever".
My daughter was an executive assistant for 22 years after graduating Univ.in Cali to several Corp. Presidents, Ceo's and Coo's of Internationally known Corps. Never had to search for a job. Hired on the first interview, etc. Smart, educated,dependable, single, home buyer......until she was worked for a company that began sliding downhill and many were laid off, including the Vice Pres. She went into R.E. sales just as the Cal mkt went down the pot. After researching best places to live and work by Forbes, Internet surveys, and others , her ultimate dream always was to leave Cal.
for a smaller, moral, quiet area which did not suffer floods, tornadoes, hurricanes or earthquakes. That left only Idaho and the demographics were perfect. She listed her home and after 4 months and a $65,000 drop, she finally sold her house and headed north. After 5 separate trips surveying the area and talking to many Idahoans regarding the job prospects, etc, she purchased a home in Star. This month celebrates the one year anniversary .........but .....for all the experience of her working career she has yet to find employment. She checks all the local job sites, temp jobs, internet offers, etc at least 3 times daily, yet no offers for any employment. No, she isn't expecting her California executive salary! Working temp jobs occasionally don't pay expenses. So my question is "Where are all those good jobs that employers complain about not being able to fill that the press complain about in Boise?" She has resumes in at all temp agencies, Monster, careerbuilder, hotjobs, classifieds,friends, etc. Unfortunately, many politically offices, Colleges, HP, Micron, Home construction builders, large corporations don't accept open resumes. She has her RE license, Notary public lic. Mortgage loan experience, event planning, travel exp. and every skill necessary to ease the schedule of a busy CEO. SO where are these companies and why don't they see how much burden will be lifted off their shoulders by giving her a chance?

[starida]

Hi, everyone!!!!!
I'm new as of today to your forum and enjoy it very much, however as an outsider wanting to become an insider I have some questions for "whomever".
My daughter was an executive assistant for 22 years after graduating Univ.in Cali to several Corp. Presidents, Ceo's and Coo's of Internationally known Corps. Never had to search for a job. Hired on the first interview, etc. Smart, educated,dependable, single, home buyer......until she was worked for a company that began sliding downhill and many were laid off, including the Vice Pres. She went into R.E. sales just as the Cal mkt went down the pot. After researching best places to live and work by Forbes, Internet surveys, and others , her ultimate dream always was to leave Cal.
for a smaller, moral, quiet area which did not suffer floods, tornadoes, hurricanes or earthquakes. That left only Idaho and the demographics were perfect. She listed her home and after 4 months and a $65,000 drop, she finally sold her house and headed north. After 5 separate trips surveying the area and talking to many Idahoans regarding the job prospects, etc, she purchased a home in Star. This month celebrates the one year anniversary .........but .....for all the experience of her working career she has yet to find employment. She checks all the local job sites, temp jobs, internet offers, etc at least 3 times daily, yet no offers for any employment. No, she isn't expecting her California executive salary! Working temp jobs occasionally don't pay expenses. So my question is "Where are all those good jobs that employers complain about not being able to fill that the press complain about in Boise?" She has resumes in at all temp agencies, Monster, careerbuilder, hotjobs, classifieds,friends, etc. Unfortunately, many politically offices, Colleges, HP, Micron, Home construction builders, large corporations don't accept open resumes. She has her RE license, Notary public lic. Mortgage loan experience, event planning, travel exp. and every skill necessary to ease the schedule of a busy CEO. SO where are these companies and why don't they see how much burden will be lifted off their shoulders by giving her a chance?

[Anchorless]

My brother is in this same position. Granted he doesn't have quite the same qualifications as your daughter, but he's college educated, and has *some* experience, but not a single bite in three months. Every place he applied to has spent several weeks reviewing apps before sending him the bad news. I honestly don't get it, and he's pulling out his hair.

He told me he went into a temp agency and the lady there came from Seattle and said she suffered an 8 month layoff before finding work that was far below her qualifications. She said she had a telemarketing job for him, and that was about it.

It's a tight, odd market right now. I honestly don't understand what's going on. The only thing I can think of is that right now we have so many qualified people moving in, employers literally have their pick.

It's a tough time to be coming to Boise, I think, with the job market and the housing prospects. I'm interested to see how it shapes out in the next 5 years.