Inventory continues to affect sales
Even as national reports of sluggish August sales are coming in, the staff of the Coeur d’Alene Multiple Listing Service have already compiled our September statistics. While most of the geography we cover has experienced some slowdown in sales, others continue to out-perform last year even with fewer homes on the market. Last week’s tick up in interest rates is expected to have little to no effect on sales since the 30-year rate remains below 4 percent on average.
Sales of homes on lots smaller than two acres in Coeur d’Alene and Dalton were down 2 percent from last year’s September reporting while inventory was 13 percent lower. All figures are year to date as of Sept. 30.
Post Falls surged ahead, posting a 22 percent gain in homes sold even though there were 10 percent fewer homes to choose from than last year. With all its new construction, Rathdrum still lagged in inventory with available homes at 29 percent below last year. Sales there were 20 percent below 2016 as of this reporting.
In Hayden and Hayden Lake, we saw inventory lag by 9 percent. Sales there are 53 percent fewer this year, but homes under contract will help balance the year, adding 34 percent to those under contract in September 2016.
Inventory lagged in the Silver Valley too with 21 percent fewer homes available in their market when compared to last year. Their sales took a hit, losing 12 percent year over year.
As a whole then, our MLS inventory is down 13 percent from last year while sales are off 7 percent. Our average price throughout our coverage area is now $262,059, or 6 percent higher than a year ago.
Our total months of available inventory stands at 4.77 months which means it is still a seller’s market in most price ranges. Exceptions are of homes above $500,000 where buyers are in the drivers seat.
Bonner and Boundary counties are lacking 15 percent inventory compared to last year, although they have maintained exactly the same number of sales as last year. The average price of a home in those counties is now $232,694. By comparison, a Coeur d’Alene home is $282,947. The average in Hayden is $324,345 while in Post Falls the average is $256,548. A Rathdrum home will now cost an average of $254,427, while you can buy a home in the Silver Valley for an average of $98,450.
It stands to reason that more available homes will translate to more home sales, but as we have seen in Rathdrum the supply of new homes is not growing at the rate of the market and it appears that is dragging total sales down.
Always check with a Realtor to find out how your neighborhood and price range is fairing. Just because a city is performing a certain way does not mean all neighborhoods in the city are performing the same.
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.
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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.