Buyers are purchasing more expensive homes in Idaho Falls
The analytics corporation CoreLogic said home prices in Idaho Falls increased by 14.3 percent in August 2013 compared to August 2012. Some in the real estate business believe it's the volume of more expensive homes that has increased, rather than price.
Mike Hicks, owner of Keller Williams Realty East Idaho, said properly priced homes in proper condition have been selling very quickly in the last six months.
"Inventory levels are as low as they've been in years, the average days-on-market is declining," said Hicks.
Year-to-date (Sept. 30) home sales have increased by 31 percent in Bonneville County, according to Hicks. He said the improvement in these areas are a product of low interest rates and pent up demand. Buyers can afford to own a home just as easy as renting one, and because of low-interest rates buyers can own more home.
"So when interest rates were at 6 percent, you could afford a certain amount, but when it goes down to 3.5 percent, you can afford about 30 percent more house and have the same payment," said Hicks.
Longtime associate broker Sheldon Dance said buyers are doing their homework.
"I think we still have a lot of buyers that are in the market trying to capture that interest rate before it goes up," said Dance.
Copyright 2013 NPG of Idaho. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.