The Treasure Valley housing market returned to a fast pace of median price growth in March, with sharp month-over-month increases in both Ada and Canyon Counties.
That’s according to data released by the Intermountain Multiple Listing Service.
In Ada County, the median price hit $575,000 – a new record and a 4.7% increase from February. That’s the biggest month-over-month gain since last May. The price in Ada is up more than 23% from a year ago.
In Canyon County, the median price went to $452,915, also a new record and an increase of 4.25% from February. The median home price in Canyon stands about 17% higher than the same time last year.
The median price is the halfway point of all sales – meaning half of all homes were sold for more, and half of all homes were sold for less.
The increases in median price come as interest rates continue to zoom, decreasing overall housing affordability. As we noted in our story last month, the boom in interest rates can add hundreds of dollars to a monthly mortgage – on top of rapidly accelerating prices. The Federal Reserve has indicated it will continue to raise the prime rate, which tends to ripple through loans, including mortgages. Combined with the fast clip of housing price increase in the Treasure Valley in the past few years, homes are becoming increasingly difficult for buyers of all types to afford.
Pace up, but inventory up too
Nationally, the median price number also continues to rise – though homes in both Ada & Canyon are more expensive. In February (national data lags by one month), the median price of a home across the US stood at $392,000 according to the National Association of Realtors.
After months of improving metrics indicating a slower market, the average number of days it took a home to get a buyer sharply plunged in April. In Ada Co., the average home sat on the market 20 days, while in Canyon the number was 25. That’s a steep decline from February where a deal was in place in an average of 37 days in Ada and 42 days in Canyon. The days-on-market figure gives a broad indication of how quickly homes are selling.
The number of homes for sale continues to grow. As of the last day of March, 1,024 homes were available according to IMLS. While the inventory is still near multi-year lows, that figure is nearly double the number of homes up for sale on the last day of March last year when just 544 houses were available