North Idaho Real Estate Blog Keeping the “invisible” property owners of Kootenai County in-the-know, as if you were here on a daily basis. 208.769.9464 * dreamteam @ nidt . com * Author: Christina Ethridge, REALTOR(R)

North Idaho housing starts follow national trend

Lower numbers mean fewer jobs in construction

COEUR d’ALENE — Construction in Kootenai County, as it is across the country, is slowing down.

“(Construction activity is) running about 10 percent below what it was last year,” Kathryn Tacke, Idaho Department of Labor, said of the Panhandle region. “That’s about 730 fewer jobs than we had last year in construction.”

Press article here.

This is absolutely the best news we’ve had in a while.

Why is it good news?  Because Kootenai County is just WEIRD.  Nationwide, approximately 10-12% of all homes sold are new construction.  That’s a national statistic that holds true in most areas.  Not in Kootenai County.  Here, roughly 26-29% of all homes sold are new construction.

Lower housing starts is excellent news for home owners.

Currently, the fact that almost 1 out of 3 homes sold is new construction is seriously hindering the ability of home owners to sell their homes.  When buyers can continue to get a brand new home, with more square footage than a resale offers, they’ll continue buying new construction.

With the slow down of new construction coming, it shows that there will be an upswing in resales. When?  I’m not omnicient so I can’t tell you that but, historically and cyclically it’s about 8-12 months after the housing start slow down.

Posted under Economics of North Idaho, For Investors, For Sellers

Inc Magazine:
Where Are the Best Cities to Do Business?

Our comprehensive annual guide to which places are thriving — even in an economy many consider in recession.

What a difference a year and a deflated housing bubble makes. Inc.com’s 2008 list of the Best Cities for Doing Business, created in conjunction with Newgeography.com, uncovered some of the most dramatic changes since we started this ranking back in 2004. Five major trends were immediately revealed; trends that are shaping the business environment right now across the country and will continue to over the next several years.

The list focuses on short- and long-term job growth. It tells us precisely not just where jobs are being created — a sure sign of economic vitality — but where the momentum is shifting. For entrepreneurs, this suggests what may be the best places to locate or expand your business.

Some of the other areas in this vast region (Pacific Northwest) benefit from what might be called “grey power.” Older, often more educated and affluent, baby boomers are flocking to the smaller towns and cities in this region, bringing capital and, in some cases, entrepreneurial know-how.

1. Midland, TX
2. St. George, UT
3. Coeur d’Alene, ID
4. Odessa, TX
5. Auburn-Opelika, AL
6. Wilmington, NC
7. Bend, OR
8. Myrtle Beach-North Myrtle Beach-Conway, SC
9. Grand Junction, CO
10. Greenville, NC

Reminder of list here.

Posted under About the Area, Economics of North Idaho

Apparently they simply just do not exist in cohesive harmony.

This article in the local paper’s opening sentence is:

“The number of residential homes for sale through the Coeur d’Alene Multiple Listing Service has topped 4,000.”

The writer of the article offers NO explanation on this sentence.  The sole intent is to show how saturated inventory is (I agree) and to get people shaken up over the housing market in North Idaho (not necessary).

Let’s get right down to it.  This time last year there were over 4,000 residential homes for sale in the Coeur d’Alene MLS.  This years numbers are no different.  If anything, it is showing inventory levels are flattening out, meaning there isn’t any more inventory this year than last year.

Secondly, the Coeur d’Alene MLS covers areas as far as 150 miles away.  Yep, that’s right - the Coeur d’Alene MLS allows residential home listings from all 5 northern counties as well as adjacent Washington and Montana state counties.  The area expands constantly.  This means that there are more and more properties in the Coeur d’Alene MLS from OUTSIDE of Kootenai County.

Most people don’t know or realize this.  There can easily be an increase in listings in the MLS just from our expanding territories!!

If only the media would step beyond the shallow sentence into the gut of reality.

Posted under Economics of North Idaho

Kootenai County job growth 4.6%

Kootenai County population growth 3%

Kootenai County 1st quarter home prices (compared with 1st quarter 2007) -0.8%

Yes, we are so in a recession.  Yes, Kootenai County just can’t hold it’s own.  Yes, Kootenai County’s economy is terrible.

In case you haven’t guessed, I’m being sarcastic
Article here.

Posted under Economics of North Idaho

This is the kind of growth and development the area needs:

ALK-Abell? Source Materials Inc., the allergen supplier that includes the former Biopol Laboratories Inc. operation here, says it?s gearing up for a significant increase in demand for the raw materials it produces as its Danish parent rolls out a new allergy medication line.

The company currently is constructing a $32 million, 85,000-square-foot plant in Post Falls into which it plans early next year to consolidate operations currently scattered around the area.

It also expects to boost its current employment here to 50, from 35 now, by the end of next year, and envisions a work force of 80 people by the following year. Currently, it has open positions for scientists, engineers, and technicians.

In the 19 months since it first announced its building project here, the company has twice increased the size of the planned facility, which now is expected to be nearly twice the size of what was originally planned.

Full article here.

Posted under Economics of North Idaho

Growth in North Idaho has never stopped, despite the perception of the market. It’s just slowed down… ‘cept it looks like it’s starting to pick up again. Post Falls Idaho is growing even faster than other North Idaho towns, mainly because Post Falls has more land available for growth. Coeur d’Alene has pretty much used up the land within their city boundaries and since more and more people desire to live in North Idaho, the growth has to go somewhere.

“The preliminary subdivision plan allows for an expansion of commercial development that will incorporate and spread the atmosphere created by the Tullamore development across the street,” the project description states. “The project includes a retail center consisting of multiple building pads/lots in the area closest to Highway 41, and three parcels located to the east of the retail center which will be reserved for future commercial/office/retail development.”

Article here.

Posted under Economics of North Idaho, For Buyers, For Investors, For Sellers

The Idaho Housing and Finance Association is cranking out mortgage loans at a furious rate in Idaho, with about 10 percent being made in Kootenai County as homebuyers rush to take advantage of dropping prices and interest rates that remain low.

For once the media isn’t kidding - buyers are rushing to take advantage of low interest rates and excellent home prices.

In the first four months of 2008, loans are within a couple dozen of what were created in all of 2006 in the county, with most going to the category known as “workforce” or “affordable” housing, priced at $200,000 and less. In 2007, IHFA made 385 loans totaling $63.6 million in Kootenai County. This year 140 loans totaling $23.7 million were made through April, compared to 162 loans totaling $25 million in all of 2006.

How’s that for buyers out in full force?

The $200,000 and under price range is going like hot cakes.  It’s essentially a balanced market (not quite a sellers market because of the intense amount of inventory, but also not a ridiculous buyers market where they can offer 10% below market value and get it).

IHFA mortgage rates are as low as 5.39 percent, and as much as 6 percent depending on borrower qualifications. A credit score of at least 620 and as much as 700 is required to qualify. IHFA has maintained an excellent portfolio of loans, with a delinquency rate of less than 5 percent and foreclosure rate of less than 1 percent, Hunter said.

It is very important that buyers keep their credit in good shape and save money away for a down payment.  There are no longer programs available for bad credit buyers.

Do you want to know if you qualify for an IFHA mortgage, or any mortgage? We highly recommend Veronica Garnsey with First Horizon Home Loans.  She enjoys working with buyers and you will enjoy working with her.  She’s got a tremendous amount of experience and will help you find the best program to meet your needs, not the one that enriches her pocket book.  Just give her a call today: 208.661.3409 - just tell her Christina sent you (no, I don’t get any money or gifts - it’s just nice that she knows I’m referring her because she’s done such a great job for us).

Article here.

Posted under Economics of North Idaho, For Buyers, For Investors

The Idaho Housing and Finance Association is cranking out mortgage loans at a furious rate in Idaho, with about 10 percent being made in Kootenai County as homebuyers rush to take advantage of dropping prices and interest rates that remain low.

For once the media isn’t kidding - buyers are rushing to take advantage of low interest rates and excellent home prices.

In the first four months of 2008, loans are within a couple dozen of what were created in all of 2006 in the county, with most going to the category known as “workforce” or “affordable” housing, priced at $200,000 and less. In 2007, IHFA made 385 loans totaling $63.6 million in Kootenai County. This year 140 loans totaling $23.7 million were made through April, compared to 162 loans totaling $25 million in all of 2006.

How’s that for buyers out in full force?

The $200,000 and under price range is going like hot cakes.  It’s essentially a balanced market (not quite a sellers market because of the intense amount of inventory, but also not a ridiculous buyers market where they can offer 10% below market value and get it).

IHFA mortgage rates are as low as 5.39 percent, and as much as 6 percent depending on borrower qualifications. A credit score of at least 620 and as much as 700 is required to qualify. IHFA has maintained an excellent portfolio of loans, with a delinquency rate of less than 5 percent and foreclosure rate of less than 1 percent, Hunter said.

It is very important that buyers keep their credit in good shape and save money away for a down payment.  There are no longer programs available for bad credit buyers.

Do you want to know if you qualify for an IFHA mortgage, or any mortgage? We highly recommend Veronica Garnsey with First Horizon Home Loans.  She enjoys working with buyers and you will enjoy working with her.  She’s got a tremendous amount of experience and will help you find the best program to meet your needs, not the one that enriches her pocket book.  Just give her a call today: 208.661.3409 - just tell her Christina sent you (no, I don’t get any money or gifts - it’s just nice that she knows I’m referring her because she’s done such a great job for us).

Article here.

Posted under Economics of North Idaho, For Buyers, For Investors

Today our local Coeur d’Alene Press posted AAA’s recent survey saying that 360,000 fewer travelers are expected this holiday weekend.  Hum.  A few days ago the Coeur d’Alene Press said that Canadians are coming by the bus load and bringing cash.

Well, locally we all know that tourism is up, significantly in North Idaho.  Great for our economy for sure!  One thing that will be different this year, more people will be IN the Coeur d’Alene area because locals are stuck here… the intense snow pack and flooding has many popular camping areas closed this weekend.

I wonder what it’s going to be like around town?  Busier than normal most likely.  So what are you doing??

Posted under Activities and Events, Economics of North Idaho

The Kellogg area is considered one of the ‘hot and growing’ areas in the nation - with firmly expected appreciation.

A multi-state investment firm has expressed continued interest in acquiring 220 acres for what company officials said could become a $500 million multi-use development project at the defunct Bunker Hill Mine site in Kellogg.

Attero Inc. last year proposed spending $5.6 million to buy and prepare the land for development, according to Kellogg resident Lee Haynes, vice president of the Attero investment group.

Article here.

We are definitely seeing more and more going on in the area. It’s sometimes overwhelming how fast and furious growth is getting in the area.

Interested in cashing in on the growth opportunities? Connect with us. We can help.

Posted under Economics of North Idaho, For Buyers, For Investors