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Commercial market shows gains

by Kim Cooper
| August 10, 2014 9:00 PM

As we reflect upon our performance so far this year, it is easy to see improvement over 2013. Those improvements are chronicled here each month as with this column. We begin our report this time however, with an update on commercial sales activity. Commercial lease activity is not recorded by the Coeur d'Alene Multiple Listing Service - our source for statistical data.

The sale of commercial properties including a business, a building and land have increased by 30 percent during last year. The dollar volume of these sales, is nearly six times that reported at this date in 2013. Commercial buildings with land, but no operating business improved by more than 18 percent with an increase in dollar volume of 35 percent. Multi-family properties were the other big gainer, increasing the sold volume by nearly double that of last year as of the end of July. Commercial practitioners may not be heaving a sigh of relief but they are certainly encouraged by this long-awaited performance.

Residential sales continue to be strong throughout the majority of the Idaho Panhandle with areas of higher population density continuing strong gains. The Coeur d'Alene/Dalton area shows an average price increase of 7 percent with 5 percent more units sold this year than last. Hayden posted 11 percent gains both in number of sales and average price. Post Falls shows sustained positive movement with a 10 percent increase in homes sold and a 6 percent increase in average sold price.

Although our north Kootenai County numbers declined their average sales price increased by a whopping 41 percent. Neither did the Rathdrum/Hauser/Twin Lakes area did not seem adversely affected. Their sales increased by 21 percent and the average price of homes there shows a strong 11 percent appreciation over last year at July's end.

South Kootenai County showed a decline in the number of homes sold but their average price outpaced 2013 by 76 percent indicating some higher-priced properties were included in the average. In fact, we have sold 60 percent more properties valued at more than a million dollars than in 2013. That is not to mean that those homes were exclusively in south Kootenai County but does demonstrate a return of the luxury homebuyer.

As implied, the outer areas showed some slowing leading to modest declines, but Bonner and Boundary counties did post gains both in average price and number of sales. The average price reported by members there are up by 9 percent with an increase in sales of 7 percent. Admittedly, the heaviest populated city, Sandpoint, is largely dependent on second and luxury homes, a market that just now seems to be gaining some traction.

Overall, things are still good. Our averages for all our member areas show an improvement of 6 percent in number and 9 percent appreciation over 2013. Our total residential volume shows a strong 10 percent increase in dollars over July 2013. Let us not forget that 2013 was also a year of gains over the previous period which means we are well into a growth period for real estate in our area.

Trust an expert...call a Realtor. Call your Realtor or visit www.cdarealtors.com to search properties on the Multiple Listing Service or to find a Realtor member who will represent your best interests.

Kim Cooper is a real estate broker and the spokesman for the Coeur d'Alene Association of Realtors. 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 (208) 667-0664.