Slumping home prices (Boise: sales, real estate, house)

[shannon94]

Slumping Treasure Valley single-family residential real-estate sales have begun to affect the area’s once-skyrocketing housing prices, according to September industry statistics released Thursday.
An Intermountain Multiple Listing Service report for September revealed the median price of a home sold in Ada County last month was $240,000, a drop of $8,900, or 3.5 percent, since July. That compares with $195,000 in September 2005 and $167,500 in September 2004.

Boise State University economics professor Don Holley said an inventory of almost 7,000 unsold homes has created a market where homeowners have to slash their asking prices to compete for buyers.

[newflowers]

In my plan to move to Idaho, I know I am going to take a pay hit - a big one. It seems a good thing that property prices are going down - few would be able to afford the mortgage.

[izzy]

The adjustment is happening everywhere. I think it starts on the west and east coast and moves inward. At least in my lifetime. I have notice the tread of lifestyle and finances move in that pattern.

Imagine in the 60's I was from the CA bay area and went to my aunt's house in American Fork, Uath for the summer. The cultural differences were a shock. In the 70's I moved from CA to a small West Virginia town...cultural shock was an under statement.

So the drop in your home prices is happening after ours did back in July-August. We had a sharp drop. I would expect to see that in your area soon. CA like myself will sit on their homes now till prices go back up. If the tread works. I will be able to buy in your area several months before your prices go back up...when that happens. It could be a while. In the mean time there will be fewer CA residents buying your homes.

Izzy

[California Carl]

I am listing my home in the Bay area soon. If I get my bottom line, I will be heading to Boise soon!

[California Carl]

Bay Area.......(Northen CA) We are getting crushed here. It may just be the tip of the Iceberg. Get out while you can!

[shannon94]

Originally Posted by California Carl

Bay Area.......(Northen CA) We are getting crushed here. It may just be the tip of the Iceberg. Get out while you can!

Good luck to you!! How bad would you say prices are dipping now in your area? There are people in the California threads still trying to paint a rosy picture of the Bay area.

[California Carl]

I would say we've slipped nearly 10% here in the North Bay. It may vary slightly from county to county. I read the paper every day and pay close attention to the real estate section. the median was around 617K last summer, and it is around 560 now. That is if you can find a buyer.
We may continue to see it slip for 2-3 years before it flattens out again. ( Of coarse, this may be true for a lot of U.S. )This will depend on our national economy and interest rates.
We have lost many good paying jobs in the Bay Area ( 60K+ per year) do to out sourcing our labor force. This is crippling our economy and will have back lashes across the board. There are fewer people able to qualify for a median priced home. They said you needed something like 100K+ per year to qualify for a typical 30 year mortgage.
I hear prices have dropped in Idaho too. With any luck, I'll get a little break up there to compensate for some of the losses here.

[izzy]

Hi Carl,

There are a few on the site that REALLY don't like CA. But you will find a lot of nice helpful people here too. Don't let the few bug you. I will also go to Idaho and I'm from CA. The few can adjust or not. I will look for all those other nice folks that I have met on this site.

Catch you later.

Izzy