The Boise Idaho real estate market was devastated in 2009, with just fewer than 5% of all homes in the area being foreclosed upon that year. It is not a great statistic to be leading the nation in rate of foreclosure, but worse than that, the foreclosure rate is up more than 100% from the previous record setting year just a year before. Boasting the 24th highest foreclosure rate in the country, the situation seems pretty grim and is starting to make many homeowners seriously look at what remaining options they have. Many of the jobs in the area were centered on construction when the boom was going on, so it is no wonder the unemployment rate is hovering at 10.1%.
The condition of the Boise Idaho real estate market has been a product of several key ingredients. Its population has more than doubled since 1980, and its market has diversified over the past half century. With a growing technology industry, local mega-corporation, Micron Technology employees the most people of all local businesses.
With growth come growing pains and the Boise Idaho real estate has certainly had its share of that. Over the course of the boom period, home prices skyrocketed by about 80%, according to a major housing index. Pricing decreases of upwards to 35% have since plagued the market
The resident economist at Boise State University, Christine Loucks indicates that there were two main contributing factors in the foreclosure problems now plaguing the Boise Idaho real estate market, which included speculative investments and a huge economic slowdown. Whenever there is a quick population increase, there is frequently real estate speculation due to the increased demand for housing.
After prices hit their apex speculation all but stopped which left locals to fight their way through all of the inflated costs the speculation brought. The vast majority of home flippers wound up writing off much of their homes and assets. Pink slips were issued as companies needed to pare back. High tech jobs went through a serious round of layoffs with about 2000 Micron employees and hundreds of HP workers losing their jobs, increasing the misery index on the Boise Idaho real estate market.
Residential construction has just stopped, according to a local economist. When you look at the big picture, the Boise Idaho real estate market has experienced all of the highs and lows of the rest of the larger real estate markets in the west.
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