What’s Happening in the Treasure Valley Real Estate Market?

Are you wondering where the Treasure Valley real estate market is headed? Whether you're a buyer, seller, or just keeping an eye on trends, December 2024's housing market data tells an interesting story. From price stabilization to new construction incentives and the impact of renewed economic optimism with President Trump taking office, we’re breaking down everything you need to know. Let’s dive in!

 

Introduction: What’s Happening in the Treasure Valley Market?

The Boise metro real estate market is shifting toward balance, with opportunities for buyers and sellers alike. As President Trump takes office and his growth-focused economic policies begin to roll out, there’s renewed optimism about the housing market. If the economy surges, as many predict, we could see home prices begin to rise again later in 2025.

In the meantime, the next couple of months may be an excellent time to lock in a favorable deal on a home, while prices remain stable. Here’s a look at the numbers from December 2024:

• Ada County saw closed sales increase by 36.3% compared to last year, while median prices rose to $529,900.
• Canyon County experienced a 42.9% spike in sales, though prices dipped slightly by 0.3% to $408,562.

While inventory levels are still remarkably low, the market has transitioned from the “feeding frenzies” of 2020–2022 to a more balanced state. Homes that are overpriced are sitting longer, while homes that are well-priced and in desirable locations are still selling quickly.

Ada County Housing Market Breakdown

Ada County continues to show resilience with balanced trends across resale and new construction homes. Key highlights include:

• Closed Sales: 679 homes sold in December, a 36.3% increase year-over-year.
• Median Sales Price: $529,900, up 2.5% compared to last year.
• Inventory Levels: Increased by 7.7% to 1,275 active listings, with 1.9 months of supply.

For resale homes:

• Median prices climbed 5.2% year-over-year to $520,000.
• Days on market decreased by 14% to just 37 days, signaling that competitively priced homes are moving quickly.

New construction trends in Ada County show builders adapting to meet buyer needs:

• Closed sales surged by 46.9%, with 282 new homes sold.
• Median prices for new builds decreased by 2% to $534,818, indicating competitive pricing or increased buyer incentives like rate buy-downs.

Canyon County Housing Market Breakdown

Canyon County remains a more affordable option for buyers compared to Ada County. December 2024 data reveals:

• Closed Sales: Up 42.9% year-over-year, with 370 homes sold.
• Median Sales Price: Down slightly by 0.3% to $408,562, reflecting stabilization in pricing.
• Inventory: Increased by 20.9% to 909 active listings, with a 2.4-month supply.

In resale homes:

• Sales jumped by 61.9%, and the median price rose 2.7%, now sitting at $380,000.

For new construction:

• Sales climbed by 28.1%, and prices increased 2.5% to $439,480, as builders continued to offer buyer-friendly incentives.

New Construction vs. Resale Homes: Who’s Winning?

In today’s market, buyers face a choice: go for a new construction home with builder incentives or a resale property that may come with fewer up-front costs.

• New Construction: Builders in Ada and Canyon Counties are offering significant incentives, like rate buy-downs, closing cost credits, and design upgrades. Many are also pricing homes competitively to move inventory, as evidenced by the slight price decreases in Ada County’s new construction market.
• Resale Homes: The absence of bidding wars gives buyers more negotiation power, but it’s critical to evaluate pricing carefully. Homes in desirable areas that are priced competitively are selling quickly, but those priced too high are lingering on the market.

Renewed Optimism and Economic Growth

The beginning of 2025 is marked by renewed optimism in the housing market, largely driven by anticipated growth in the broader economy under President Trump’s administration. As economic policies aimed at fostering growth take effect, experts predict increased consumer confidence and potentially rising housing prices later in the year.

For buyers, this means that the next few months might be your window to lock in a favorable deal, before we see upward pressure on home prices.

Market Challenges for Sellers

Sellers, on the other hand, need to approach the market with a clear strategy.

• While inventory levels are low, the market is balanced, so pricing remains critical. Overpricing a home can lead to extended days on market, even in desirable areas.
• However, homes that are priced well, staged effectively, and located in high-demand areas are moving quickly.

If you’re unsure how to position your home for success, working with an experienced agent like Curtis Chism can make all the difference.

Opportunities for Buyers in 2025

The current market offers a unique opportunity for buyers, with the following advantages:

• Increased Inventory: More options are available than during the hyper-competitive years of 2020–2022.
• Price Stabilization: Median prices are steady, offering predictability for buyers.
• Builder Incentives: From closing cost credits to rate buy-downs, new construction is more accessible than ever.

If you’ve been waiting for the right time to buy, this may be your moment before potential price growth later this year.

Conclusion: Is Now the Right Time to Buy or Sell?

The Treasure Valley housing market is full of opportunities, but the right move depends on your unique situation. Buyers can take advantage of builder incentives and a balanced market, while sellers need to prioritize competitive pricing and expert guidance to attract offers.

As the market continues to evolve, you’ll want someone with local expertise to guide you. That’s where I come in. I’m Curtis Chism, and I’m here to help you navigate the complexities of buying or selling a home in Boise, Meridian, Eagle, and beyond. With my Master’s in Construction Management and years of experience, I can help you make the most of today’s opportunities.