The median sales price for homes in Ada County reached $540,000 in July, up 2.9% from June.
While our region has faced insufficient supply compared to demand for years — the main driver of home prices — July marked five consecutive months of inventory growth. While still low compared to previous years, there were 1,055 homes available for sale at the end of the month, up 44.7% from June.
After home prices rose above the $500,000-mark in May, homeowners may have been encouraged to list, as existing inventory was higher than the previous month and year for the second month in a row, something not seen since March of 2020 just before the pandemic hit the market. At the end of June, there were 729 existing homes available for purchase, up 50.3% from June 2021 and up an astonishing 116.3% compared to July 2020.
Despite more inventory, the speed of the market continues to be fast. The number of days between when a home was listed for sale and an offer was accepted (also referred to as Days on Market) was at 13 days, on average, in July — 22 days faster than the same month last year.
While the uptick in the number of homes for sale is great news for buyers, they must still be prepared to act quickly. Buyers must also know that an offer acceptance is only the beginning of the work that a REALTOR® will complete throughout a transaction working on behalf of their clients.
Following the average 13 days on market, as noted above, there were another 52 days between the offer acceptance and closing, on average, based on the homes sold in July. During this time period, there is typically a home inspection and title search, and if the buyer is purchasing with a mortgage, an appraisal, and final loan approvals.
The REALTORS® representing the buyer and seller help keep these tasks on track and work through any follow-up items, such as negotiating repairs based on the inspection report, providing documentation to the escrow agent at the title company, requesting documents and financials from a homeowners' association (if applicable), and confirming closings costs or mortgage payoffs with the lender. Other behind-the-scenes duties include helping clients coordinate movers, obtain homeowners insurance, switch over utilities, schedule painters, assist with changes of address, maybe locate temporary housing, and much (much) more.
Research from the National Association of REALTORS® indicates that most people move every 10-15 years. Those gaps in time are where REALTORS® show their value in understanding every step involved, knowing that each home and transaction will be different. REALTORS® guide their clients through the listing, search, and offer processes, and then make sure all terms agreed to in the contract are fulfilled and done on time. They do this in coordination with lenders and escrow officers, etc., to ensure the financing and legal transfer of the property are done correctly.