How Market Trends Impact Idaho Home Values

The Idaho real estate market has seen significant changes over the past few years. Whether you’re buying, selling, or refinancing, understanding current housing trends can help you make informed decisions.

At IdaHome Appraisal, Inc., we stay up-to-date on real estate market trends to provide accurate home appraisals in Boise, Garden City, Eagle, Nampa, Middleton, Caldwell, Horseshoe Bend, Idaho City, Donnelly, McCall, Star, Meridian, and Kuna, Idaho. Here’s what you need to know about Idaho’s housing market in 2024.

1. Home Prices Are Stabilizing

Over the past few years, Idaho’s real estate market has experienced rapid price growth, fueled by:

  • ✔ A population boom (especially in the Treasure Valley)
  • ✔ Low mortgage rates in 2021-2022
  • ✔ A high demand for homes with limited inventory

However, as interest rates rise, price appreciation has slowed, leading to a more balanced market in 2024.

👉 What This Means for You:

  • Sellers may need to price homes more competitively.
  • Buyers have more negotiating power compared to past years.
  • Appraisals are reflecting a market with steadier home values rather than skyrocketing prices.

2. Inventory Levels Are Increasing

During the housing boom, low inventory caused home values to surge. Now, more sellers are listing homes, and new construction has picked up.

  • ✔ More inventory means less bidding war competition
  • ✔ Buyers have more options and time to make decisions
  • ✔ Homes that are priced too high may sit on the market longer

👉 What This Means for Home Appraisals:

  • An increase in comparable sales (comps) gives appraisers more data for valuations.
  • Overpriced homes are likely to be appraised at or below listing price, affecting sellers.
  • Well-maintained, competitively priced homes are still selling quickly.

3. Interest Rates Are Affecting Buyer Demand

Higher mortgage rates have slowed buyer demand, which impacts home values and appraisal reports.

  • ✔ In early 2022, rates were around 3%, making borrowing cheaper.
  • ✔ In 2024, rates are hovering around 6-7%, increasing monthly payments.

👉 How This Impacts Idaho Home Values:

  • Higher rates = lower affordability, leading to fewer buyers in the market.
  • Sellers must adjust expectations, as buyers qualify for smaller loans.
  • Appraisers are taking these shifts into account when evaluating market value.

4. Idaho’s Strong Job Market Supports Housing Growth

Despite higher interest rates, Idaho’s booming economy continues to attract new residents. Cities like Boise, Meridian, and Eagle are growing due to:

  • ✔ A strong job market in tech, healthcare, and construction
  • ✔ Remote workers relocating for quality of life
  • ✔ Lower taxes and cost of living compared to coastal states

👉 What This Means for Property Values:

  • Steady demand keeps prices from dropping drastically.
  • Growth areas (like Kuna, Star, and Middleton) continue to see property appreciation.
  • Long-term home values remain strong, even with short-term fluctuations.

5. Luxury and Rural Markets Are Seeing Unique Trends

The luxury home market and rural properties have been impacted differently:

  • ✔ Luxury homes ($1M+) are taking longer to sell due to fewer high-end buyers.
  • ✔ Rural areas like Donnelly and McCall remain popular for vacation homes.
  • ✔ Some Boise suburbs are seeing increased demand from buyers looking for affordability.

👉 What This Means for Homeowners:

  • If you own a luxury home, expect longer days on market.
  • If you’re in a rural or resort market, appraisals consider seasonal trends.
  • Suburban areas may still experience steady home price growth.

Final Thoughts

The Idaho real estate market is stabilizing, with steady demand and more inventory giving buyers options. While higher interest rates have slowed rapid appreciation, Idaho remains a desirable place to live, supporting long-term home values.

If you need a professional home appraisal in Boise, Garden City, Eagle, Nampa, Middleton, Caldwell, Horseshoe Bend, Idaho City, Donnelly, McCall, Star, Meridian, or Kuna, Idaho, contact IdaHome Appraisal, Inc. today!

📞 Contact us today for a home appraisal you can trust!

Meet the Author

Josh Darrow ~ Headshot

Joshua L. Darrow is a seasoned Certified Residential Appraiser with 20 years of experience in the appraisal industry. He specializes in providing comprehensive residential appraisals for various purposes, including mortgage/lending for conventional and FHA-insured loans, estate appraisals for tax purposes, divorce appraisals, partition action appraisals, market value appraisals, pre-listing appraisals, for sale by owner appraisals, tax appeal appraisals, and measurement services. Known for his commitment to integrity, Joshua delivers non-biased, objective appraisal reports with the utmost professionalism and accuracy.