Real Estate Northern Idaho? (Sandpoint: sale, real estate market, foreclosure)

[Crown805]

Hi everyone,

Just curious how the real estate market is doing in northern Idaho. Is there any money to be made in renting / flipping homes? Are you guys still having a steady influx of people into the area? Thanks in advance!

[Crown805]

I am hoping a moderator will please delete the above post. I was informed that this comes across in a negative light towards the area and I do not wish to be viewed that way. My only reason for posting the above is because I am making a career change from the military into the civilian world, and am trying to figure out how I can move to NID and make a living.

I am unable to find an edit / delete button, thank you in advance.

[countryboy73]

Funny, I didn't see it in a neagtive light, maybe because I am a construction contractor and looking at the same thing, how to make a living in the area! I was really hoping some folks would chime in. There are a lot of careers that are directly dependent on real estate, and the real estate market is a good indicator of how the area is doing economically. The answers to your question would have wide utility for a lot of viewers as indication of the economic health of the area.

[javatom]

Everyone thinks they know how to "flip" a house. There are too many TV shows that are feeding bs to people. If you don't know what you are doing, you will lose money. Most carpenter think they know how to do this. They are the worst. Most people do a surface make over. We call these "redneck renovations". A qualified "flipper" will tear this garbage out and start over. A lot of people tell amazing stories about how much money they made on their "flip". They are usually full of it. The ones that made money are usually the result of the market going up and not the work done. Same profit margin if you did nothing to it. Trying to do a "flip" in an area you don't know is really financial suicide.

[hatin11r]

Crown/country....maybe the locals will add their insight now. I also loved the NID area but do not have any of the issues y'all are experiencing. ( making a living ) I am just waiting on my final "ride home" from my career. Have already made connections in Bonner county and have a friend their too. Ground work is being laid as we speak.....best to you both.

[Bigbear2]

It's America................You can do what you want. Good Luck!

[Clark Fork Fantast]

Here's from another for-now-merely-a-part-time-local: Remember the real estate boom of 2000-2008 and how much many locals resented it, justifiably: NID Real estate values skyrocketed beyond the means of locals, and traditional homes were replaced by McMansions. Large new homes were built on scenic acreage, just to be occupied for a couple of weeks in the summer. Tract houses sprung up in the outskirts of CdA in particular. Many locals (such as some members of this forum) felt crowded out, financially as well as culturally. The recession was a huge blow to NID, of course, but it did put a moratorium on the wild growth, and I know a lot of locals have felt that aspect as a welcome respite. I think everyone agrees that growth is good, but not at the crazy pace of 2007. So my hunch is that Crown's post may have triggered fears that we're moving into another phase of rising property values, and people coming in from elsewhere exclusively for the real estate profits to be made. That's clearly not your agenda, Crown, based on your 2nd post, but if you got some negative reactions to your "flipping houses" question, that may be where it's coming from.

And Bigbear, I know you love NID like the rest of us...and we'd so much like for it not to change dramatically, right?

[Sage of Sagle]

Originally Posted by Crown805

Hi everyone,

Just curious how the real estate market is doing in northern Idaho. Is there any money to be made in renting / flipping homes? Are you guys still having a steady influx of people into the area? Thanks in advance!

I don't think it needs to be deleted...I think it's a fair question at this point since it's been a while.

But northern Idaho isn't a great area for house flipping...it's not a typical yuppie market where you can do this.

This area is still seeing flat population growth over the past 24 months. And Bonner/Boundary counties have seen small declines. So no, not a safe investment for house flippers...more likely to get stuck with it.

[mistyriver]

We're not flipping, but we've bought a few very nice homes in Sandpoint at terrific prices and are renting them very successfully. Nothing we've done quickly but watched the market and waited till the perfect property came along at a good price.

[countryboy73]

My own interest is not in flipping, renting, or buying/selling real estate. I am interested in repair/addition to/remodel of existing housing. That is my "specialty". I have a long background in residential and some commercial construction, and I am a licensed electrician, plumber and contractor right now. A lot of my work comes from real estate sales, directly or indirectly. Often when a home sells, there are items that must be repaired before the buyer will purchase, and then once the sale is complete, there is work to be done when the buyer wants to make changes to the home. I get a lot of this work where I live now, having formed working relationships with local realtors. In addition, I do a lot of work for retired people who cannot or do not want to do it for themselves. Word travels fast among both realtors and retired folks, and I am quite busy much of the time, even in a wage depressed area hit hard by the economic downturn. I reached the point of full time business within three years of moving here. Mainly curious if I could do the same in the Sandpoint/CDA area.

Crown, your thoughts on flipping homes will not go very well in most areas of the US at the current time, largely for the reasons stated by javatom. There was a ton of money made on the nineties in California and elsewhere, simply due to the increased demand for housing, largely made possible by the Clinton administration's aggressive efforts at increasing home ownership rates. This created a bubble, which some profited from(others lost their shirts when it burst). That bubble is largely gone, and will continue to further deflate in most areas of the country under the current status of things.

For instance, I bought a foreclosure here in MO, in 2008. I basically gutted the 1977 vintage house and redid the plumbing, electrical, and insulation to modern standards, modernized the floorplan, and upgraded almost everything from the flooring to the trim. The outside had already been updated by a previous owner with vinyl siding and dual-pane vinyl windows. I added a garage and utility room. The house is much nicer now, 300 sq. feet bigger, and is compared with homes 10 years old for appraisal. I did all the work myself, from concrete to roof, including excavation. The house is now worth about $55,000 more than I paid for it. I spent over $20,000 on materials, and a lot of hours working on it. After paying myself a wage of $25.00 per hour for the work, I will make between 5 and 7 thousand dollars profit on the entire deal. Plus having lived here for four years. If you had paid a contractor to do the work, you would lose money on that deal. It will be much the same in most areas of the US at this time.