The lack of a homebuyer tax credit had many real estate experts worried this Spring, however home sales are seemingly right on track – and even set to out perform last years rate! Some of the reasons for this may be the improving job market, positive economic growth, and excellent housing affordability.
These factors have some predicting home sales to go as much as 10% higher than last year.
It’s an interesting relationship that we find between the employment rate and real estate. Few people realize over 2.5 million jobs are created every year from the real estate industry alone. Currently the unemployment rate stands at about 9% but many feel if the real estate market continues its recovery we could see as many as 1.5 million new job in 2011 – which would doubtless be a great boon to the economy overall.
Based on the National Association of REALTORS Housing Affordability Index housing prices are still the most affordable that they’ve been in recent history. According to this Index those who earn the national median incom have 170% of the income needed to purchase a home priced at the current nation wide median cost. 2011 marks the fourth year of little price change in homes and many experts expect median home prices to stay around $170,000 for the next couple of years.
Part of this great home affordability can be attributed to the low interest rates. Combined with a large surplus of distressed homes it’s not hard to see why the market is ripe with so many great deals!
Despite both of those facts however some lending experts worry that new overly strict standards may be cause for the present lack of more robust home sales figures.
The best plan for success is to work with a qualified Idaho REALTOR that knows the current real estate market conditions and can advise you of changes that might impact you. By using the services of an experienced real estate agent you can insure your best interests are taken care of. Contact Idaho Properties today for the best Boise Idaho real estate services!