The North Idaho Real Estate Market has seen an increase in sales the last couple of months – which is not surprising – North Idaho is a wonderful place to be in the summer. 282 units sold in June. The average days on market increased to 137 days and we are sitting on 29 months of inventory (8340 listings). If we compare ourselves with June 08’ we will see a 13% decrease in total unit sales and a 4% decrease in price (221K vs 212K). Not bad considering the nature of current economic conditions. Please see the enclosed PDF files which include a 2 year trend line of real estate inventory, sales and activity, average sold prices for the last two years, asking vs sold prices, ect. Also, included is the Keller Williams Total Market Overview. This gives all listing, pending and sales activity in every price range. Notice the pick up in activity in the $200-250K price range. I also have Market Overviews for each area and segment in our market (Condos, Post Falls, Sandpoint, Waterfront, Multi-Family, 1 Mil Plus), just let me know what you want and I will send it to you immediately.
REO LIST (84 Active, 8 Pending – 23 sold last month)
Foreclosures and Real Estate Owned by banks continue to keep downward pricing pressure on our active listings. The availability of foreclosures continues to increase every month, with more than a 20% pending ratio! See the list below:
http://www.flexmls.com/link.html?ot50u7tjy8e,7,1
Short Sale List (188 Active, 21 Pending – 19 sold last month)
I ran all the short sales sold in the last year. 70 total. Sellers ON AVERAGE reduced their prices 10% since initially offering their property. Then they averaged a 3.55% price reduction from the bank while in negotiations. This tells me that agents are getting the prices on the short sales below appraised value and close to what the banks will accept. View the list of short sales here:
http://www.flexmls.com/link.html?ot50ucmw7aj,7,1
Waterfront Listings (84 North Idaho Waterfront Listings)
Summer is a great time to be in North Idaho. Here is the latest in waterfront listings.
http://www.flexmls.com/link.html?ot512zgi5s8,7,1
The commercial market is engaging a record $480 BILLION in debt coming due. This is a large number (up to 10X) compared to the residential market!
“…thousands of office complexes, hotels, shopping centers and other commercial buildings are headed into defaults, foreclosures and bankruptcies. The reason: according to research firm Foresight Analytics LCC, $530 billion of commercial mortgages will be coming due for refinancing in the next three years — with about $160 billion maturing in the next year. Credit, meanwhile, is practically nonexistent and cash flows from commercial property are siphoning off.”
Why, you ask, does this affect the market? Well, if you own a commercial property, and you have a balloon payment coming up, traditionally you would refinance, and start the process again. The availability of funds to refinance has dried up and terms have gotten tougher. Understand the issue? It is going to put a strain on banks ability to fund not only commercial but residential, credit lines, ect… This may present some distressed sales/foreclosures in the commercial arena. STAY TUNED. To view the available commercial inventory now, visit my site updated nightly with newest listings:
http://www.NorthIdahoCommercial.com
