2023 saw perhaps the first signs of a normalizing inventory since the start of Covid. If we learned anything from the pandemic, it was that the real estate market continues to move forward no matter what happens in the world. At the height of the pandemic (summer 2021), we saw the lowest inventory numbers in decades, even lower interest rates, combined with rapidly increasing housing prices--which created a very wild and crazy market.
Since the interest rate hikes of 2022 have taken effect, our inventory has leveled off. The average number of homes for sale in 2023 was 1539, which followed a more normal seasonal pattern. Home prices reflected the slower market and higher interest rates. We are also averaging around 50 days on market before receiving an offer--up from an average of 4 days in 2021. We did not see the sudden surges or drops in 2023, like we did between the years 2020 and 2022. 2023 saw a steady flow of inventory, ranging between the low 1200’s for single family homes in early 2023 to a peak of 1736 in August, dropping down to the low 1500’s in December, maintaining a roughly 1.5-2 month supply.
One thing the numbers did show us in 2023, was a strong presence of new construction (NC in the charts below). While new construction made up roughly 33% of the total home sales in 2023, the inventory levels showed a steady increase between April and December, finishing the year at 56% of Ada County inventory.
What will 2024 bring? Stay tuned for our blog entitled "What will the 2024 Boise Housing Market Look Like?"
2023 INVENTORY (Starting in February)
2023 HOME SALES
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