Regional Realtors president: Housing market healthy

COEUR d’ALENE — The number of single-family homes sold in 2023 in Kootenai County fell nearly 16% from 2022 and nearly 39% from the COVID year of 2021.

According to the year-end tally from the Coeur d’Alene Regional Realtors, 2,158 single-family Kootenai County homes sold last year, compared to 2,557 in 2022 and 3,510 in 2021.

The median price of Kootenai County homes sold was $525,000 for the sixth straight month. 

The number of current active residential listings as of Jan. 1 in Kootenai County was 658, according to the CRR, up slightly from 634 a year ago, but a 72% increase from 184 two years ago during the buying frenzy.

Jared McFarland, Coeur d'Alene Regional Realtors 2023 president, said last year was a healthy real estate market. 

“This last year, a buyer could expect a handful of homes that fit their needs to look at, and buyers were able to make offers below asking price. Something we didn't see a few years ago,” he said. “Sellers were able to sell their home if they priced it correctly but weren't able to sell for over market value."

It took nearly 25% longer to sell a Kootenai County single-family home in 2023, 91 days, compared to 74 days in 2022.

McFarland said mortgage interest rates came down a bit at the end of the year, which had a noticeable effect on demand. 

“I was busier during the holidays than I normally am, which I attribute to the drop in mortgage rate,” McFarland said.

He said the rental market saw a larger change with a huge increase in inventory and the start of rental rate decreases.

“We haven't seen rents go down in a long time. This will have an interesting effect on our market in the coming future,” he said. 

Investors bought a lot of rental properties during the height of the market, he said.

“If investors aren't able to rent for prices they are used to, they may sell their homes and investments, increasing inventory, shifting us to even more of a buyers’ market, and creating some interesting opportunities,” McFarland said. “It will be fun to watch what happens this year, especially being an election year."

In Shoshone County, 159 single-family homes sold in 2023, according to the CRR, and the median price was $300,000.

In 2022, 201 homes sold in Shoshone County and the median price was $274,500, according to the CRR.

This year’s housing market could be much the same as last year, wrote Jennifer Smock, co-owner and managing broker with Windermere Coeur d’Alene Realty/Post Falls. 

Smock believes home values will hold stable this year. She said if interest rates fall, that could spark a surge in buying.

Overall, Smock also sees a healthy housing market.

“There is ample opportunity on both sides of the equation," she said.