Market slows ... some
Well what do you know? Preliminary August statistics from the Coeur d'Alene Multiple Listing Service do show signs that the market is slowing - at least in Coeur d'Alene. August sales for the city were just 4 percent higher than those in 2013. The average price there up just 2 percent. This would suggest that the year over year increases may have peaked in July even if temporarily. After nearly 24 months of increases, there has to be some adjustment, yet prices are still increasing.
Other parts of our MLS territory tell a completely different story. Homes in Post Falls are still 9 percent over last year's prices and the number of sales there is 8 percent higher. This is a marked improvement over July's 6 percent improvement over 2013. Hayden houses sold at a rate 12 percent higher than last year with an average price that is 10 percent higher than August 2013.
Rathdrum, Hauser and Twin Lakes, included in the same geographic area for our statistical purposes, show a remarkable 16 percent increase in number of homes sold with an average price that was 11 percent above the same period last year. These areas took a bit longer to begin appreciating than the more densely populated regions, but for now at least, they are holding their own and then some.
Smaller numbers of overall sales lead to larger percentages. Looking at North Kootenai County for example, the 18 percent decline in sales is attributed to just seven fewer homes with an average price that is 27 percent higher than the year before. South Kootenai County showed a 4 percent decline by selling one less home than in 2013. An average of the 27 sales there amounts to a 49 percent increase in average price.
When we look at the bigger picture, the market within our jurisdiction, we see that there is some adjusting taking place. Our totals reflect a year to date increase in the number of sales that is 5 percent higher than 2013 at an average price that is 8 percent higher. While this may be a far cry from the double digit increases of 2013 compared to 2012, it still puts us in positive territory and growing.
What a slowing of the market means for buyers is that they may not need to panic to avoid being priced out of the housing market. Some would argue that waiting a month to pay even a little more is waiting too long. That point is well-taken.
As reported here last week, we had 300 more homes on the market at the end of July than at that time in 2013. As of the end of August there were just 74 more homes on the market than the previous year. For whatever reason, those "excess" homes have retreated in number, limiting the competition that sellers may have felt.
An interesting adjustment in our sales is that more people are buying more expensive homes. This year we have seen a 10 percent increase in the number of homes sold at $2-300,000. In fact, sales of homes above $200,000 have improved in virtually every price bracket including those priced at more than $1,000,000. There were 13 million-dollar plus homes sold in 2013 by August's end and 23 this year. That's a 43 percent improvement in that market.
Our sales volume for all residential properties is a strong, 8.8 percent higher than in last year. Last year was a strong year for recovery of our local real estate market and improving upon that performance in 2014 cannot be taken lightly. What the future will hold for local real estate only time will tell, but for now at least, low interest rates and houses available for less than the national average bodes well for the near future.
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.