N. Idaho housing prices..CRAZY! (Sandpoint: transplants, for sale, condominium)

[FreeMarketSlave]

I am just a little shocked at how housing has become so expensive in the area. CDA, Sandpoint, etc. I feel a little sad for those who are obviously just barely getting by(or not). Not everyone there can be making that kind of money. When an early 80's single wide on 10 acres is $169,000, something isn't quite right. If prices were cut in half, that would still be toooo much.
It has been 15 years since i was in the area, and man it really has developed with subdivisions everywhere or under development.
Did a little logging because of the wind this summer and last dec. That was entertaining(thank god for chaps). Way too much down to ever clean it up in short order. Learned to run a skidder, etc. Except for hearing a car off in the distance every now and then, time stands still and the world went far away.
Anyway...I enjoyed my time there, and will probably spend a lot more time there in the future. Just a few random thoughts...

[goldpolkadots]

Yes, the house prices are unreasonable!
My family was looking at moving to CDA because we've heard that it is soo beautiful. Unfortunately, I'm afraid we can't move there because we can't afford it

[ScottinWA]

We live over the river in Spokane and just ride into CDA to enjoy the area. The boardwalk area, beaches are nice!

[YOU-CANT-EAT-SCENERY]

Well hold on to your hats....the way housing prices are dropping here in CA, I'm sure other states will soon follow suit.

[Sage of Sagle]

Well, sort of, but not really. Here's why...

Here in North Idaho, what we're seeing is that the tightening of money by the banks (fewer loan programs, tougher qualifying, etc) and a tougher job market with fears of recession are keeping some people away from the housing market, sure. But since so many homes here are still "a deal" compared to other metro areas of the USA, interest remains high.

Our house, IN this down market, just appraised for $125K higher than last year, and that was from an appraiser who is known to be very pessimistic/tough. What we're seeing from friends of ours is that their homes for sale are still getting NEAR their asking price, but the days-on-market has gone from 10-30 to 50-100 to GET the higher price. So only the people who MUST sell their homes are dropping prices dramatically. Other people are just choosing to pull their homes off the market if they're not in a must-sell situation.

Looking at the homes that are moving best around here...it looks like homes where people in places like SoCal can still get out with enough equity are still doing so, and coming here but spending less. So if you sell a house in Corona for $380K (that maybe was "worth" $475K a year ago) but you only owe $300K, you can still come to North Idaho and put 25% down on $320K worth of home.

...at least that seems to be the haps from my anecdotal experiences from friends and neighbors up here...if someone has access to the MLS to pull data to the contrary, I'm all ears....

[8 SNAKE]

Originally Posted by Sage of Sagle

Looking at the homes that are moving best around here...it looks like homes where people in places like SoCal can still get out with enough equity are still doing so, and coming here but spending less. So if you sell a house in Corona for $380K (that maybe was "worth" $475K a year ago) but you only owe $300K, you can still come to North Idaho and put 25% down on $320K worth of home.

In your experience, are the people moving into northern ID from places like CA retiring, or are they still in the workforce? The reason I ask, is because those people could potentially be blowing the last bit of air into a housing bubble in northern ID.

If these people are cashing out the last bit of equity in their homes and moving to northern ID while still in the workforce, is there going to be enough employment to sustain them? Is the pay going to be high enough to allow them to pay for their new homes over a prolonged period of time? I could see a collapse in home prices if employment can't keep up with demand and salaries can't keep pace with home values.

I don't know that any of this is realistic and am just thinking out loud. I'm curious to hear your perspective, living in the area.

[Sage of Sagle]

Bonner County actively recruits businesses to relocate here, which brings jobs and money to the region. So several businesses, including ours, have increased the money/labor pool in various ways here. I'd say that number of "cashed out Californian" is very small by percentage, maybe 10%? The job market is pretty tough in this area. A lot of retirees moving into town, buying a house for $250-300K but with no mortgage, so they can live pretty cheap otherwise. Or they're buying a manufactured home on 5-10 acres for $150-200K, and still able to live cheap.

I guess the best way to relate what I'm seeing is to say that nobody we know moved here with a job that can't pay the bills...quite the contrary. I think the "average salaried wage" up here has been unable to support the average home price for several years...so it's either two jobs, and higher paying jobs you bring with you, or retirement money.

Sandpoint (city) has affordable housing a real hot issue right now. While the U of I campus has been put on hold due to Coldwater Creek's stock plunge resulting in Wild Rose Foundation's pulling their commitment, they're still worries about providing affordable housing for a college manpower pool with home prices high, and very little high-density housing.

[FreeMarketSlave]

I have been thinking and not saying much, but something wasn't really quite right with my stay. I keep saying i want to totally get away from civilization, but? If you go where you don't see anybody and don't hear the noise of civilization for very long, it's like a void? Maybe my problem was the wife wasn't there, i don't know. You get out there with no, to little contact...and you better stay real busy. You would have to learn to stay real busy and entertain yourself, and like yourself, because nothing changes in the woods and hasn't for many a century(fire excluded). Whether we like it or not, we are social beings and if you go from the city to a total void in interaction, it is real weird and takes some adjusting. In three weeks all i saw was a relative that come to say hi, we went to town but being out there in the woods was really solitary. Talk about losing contact. Weird..a restless...weird.
Going from the world at your finger tips to a world of seclusion is a real change.
Anyway...

[MrGerardo]

Why would anyone in their right mind buy a mobile home, something that goes down in value and is not sturdy in high winds. Wouldn't it be in your best interests to buy a condo for about the same price? At least they go up in value and you can cash out and move somewhere else if it becomes too expensive to maintain. I was wondering if there are any Chicago transplants in northern Idaho. As far as jobs, I'm a jack of all trades, so it's a non-issue. What are one-bedroom condos worth? I don't need that much space since I'm the only one who will live there.

[Sage of Sagle]

I personally am not big on manufactured homes, but some people look at the cost of building on acreage and would rather go that route than a stacked condo.

The Sandpoint area has very little high density housing, and most of the condo developments are pricey and on the water. I don't think most people are moving here thinking of condominium life as their dream.

Since acreage in the area is $50K just for rougher stuff and $100K-plus for more prime land, I think if a retiree comes with $200K, they're looking at either a very nice 1700sf manufactured home and no mortage, or a 700sf frame-built cabin. I guess it makes a difference...