Things are looking up
As expected, sales reported to the Coeur d'Alene Multiple Listing Service show a rising trend in housing demand. Foreclosures and short sales however, have caused an overall decline in pricing. Although our number of sales is up 44.2 percent April figures show our average price lower by 5.5 percent than the same time period last year.
Of the 839 total residential sales of all types reported this year, roughly 35 percent were bank owned or sold for less than the balance owed through special arrangements with the lender. Even so, our total dollar volume is up more than $44,000,000 from 2009 at this time.
Some areas fared better than others with the northern parts of the county showing an average price increase of 3 percent although sales remained flat. Hardest hit Rathdrum/Twin Lakes values fell by 21 percent driven in part by the declining condo prices in Twin Lakes Village. They did show a 15 percent increase in the number of sales over last year as bargain hunters took advantage of the lower prices.
Further evidence that prices are driving the market is that 73 percent of all residential sales so far this year are of homes priced at less than $200,000. This is compared to 68 percent in 2009. Perhaps driven by the stimulus tax credit, competition for the average, three bedroom two bath, home pushed that average price up slightly to $170,518 from last year's $166,355.
Homes on acreage have taken off again with a 70 percent increase in those sales over 2009 and an average sales price up 2 percent. Townhouse and condo sales doubled over last year although the average sales price is off by 8 percent. Waterfront properties appear to have made the most dramatic adjustment. MLS figures show we have sold nearly twice as many waterfront homes as last year with an average price that is 39 percent less than 2009's average.
Active listings are still up 5.5 percent from last year providing bargain hunters with plenty of opportunity to select the property that is right for them and with 30-year interest rates surprisingly dropping below 5 percent last week, we expect to maintain forward motion.
Many of the stimulus driven purchases will not close until June 30 so it could be after that before we can get a true picture of a "normal" market. A recent survey of 1,000 prospective homebuyers showed that 12 percent were driven by the tax credit. The remaining 88 percent said its expiration would not change their intentions. So we may still have upward momentum.
We are watching the market daily and each day brings new surprises. Fortunately, the surprise for the first four months of the year show we may be returning to normal conditions. Market activity is up and we are cautiously optimistic the trend will continue.
To learn about the market in your neighborhood, always ask a Realtor.
Kim Cooper is the spokesman for the Coeur d'Alene Association of Realtors www.cdarealtors.com. Kim and the association invite your feedback and input for this column. You may contact them by writing to the Coeur d'Alene Association of Realtors, 409 W. Neider, Coeur d'Alene, ID 83815 or by calling 667-0664 with your questions or commentary.