The capital of Idaho and the county seat of Ada County, is one of the country’s fastest-growing towns, combining an extraordinarily low unemployment rate and a living cost that is comparable to the national average, plus convenience to some of the country’s most attractive recreational regions. Residents in Boise work in high-paying IT and corporate occupations during the week and spend their weekends hiking, mountain biking, fishing, kayaking, and engaging in other outdoor activities.
However, these aren’t the only advantages of living in Boise. In addition, the city is one of the safest in the United States. When it comes to safe places to live, U.S. News & World Report placed Boise seventh out of 150 cities surveyed in their poll. It also ranked Boise as the 11th greatest location to live overall and the 16th best for life quality, owing to the city’s flourishing arts sector as well as its recreational activities. Learn more about the cost of living in Boise, Idaho, and find out the current status of its real estate market.
Real Estate Market in Boise
The Boise property market is exploding, spurred by cheap mortgage rates and a scarcity of supply in comparison to demand. As a result, customers must pay more than the asking price. The average selling price for existing properties has been reasonably consistent, as has buyer demand. Homes continue to sell at near-record inflated prices, but the hike in list prices may have reduced some of the wide range of work scenarios and competitiveness seen earlier this year.
The typical household income in Boise is $60,035, according to US Census statistics. With month-to-month price increases that startle purchasers, the market has become accustomed to one constant: there is a bigger demand for housing than there are available dwellings.
As supply continued to diminish, demand for Boise real estate reached a tipping point, helped by record-low mortgage rates. According to a recent analysis published by the Real Estate Initiative at Florida Atlantic University, Boise is the nation’s most overpriced market, with homes selling for 80.64% more than they would otherwise, based on a history of prior pricing.
Demand continues to outstrip the critically limited supply of available homes, propelling sales to new highs as sellers enjoy numerous offers, contingency deferrals, and upper-edge profits. On current demand, the county’s home inventory would need to expand to between 3,800 and 5,200 listings to create a balanced market (a four- to six-month supply).
That’s how heated this market is owing to a lack of supply in comparison to demand, particularly for existing single-family houses. For many years, a shortage of supply in the Boise region was the major driver of housing prices, but many factors have increased the climb in recent months. Even newly built homes in Boise have become prohibitively costly to acquire.
It has had an impact on everything from purchaser demand to housing availability to mortgage rates, all of which have contributed to rising property prices at all price points. Despite the limited supply of properties, sales are increasing in practically all price ranges. Sellers are likely to market their properties in the coming months to capitalize on the continued demand. The housing market in Boise in 2022, is predicted to see robust home price growth (in the double digits).
The state offers a low sales tax of 6% as well as low property taxes. The total sales tax rate in Boise, which includes state, county, and city rates, is now 6%.
Costs of Living in Boise
In general, the majority of your spending in Boise will be close to the national median. The exclusions include public transportation, groceries, and housing. You will spend somewhat less on groceries and dining out than the national median, but significantly more on transportation. However, you will pay significantly more for dwelling units, especially if you want to buy a home.
When comparing Boise’s cost of living to other major Northwest towns such as Portland, Oregon, Denver, and Seattle, Boise is a steal. For example, the cost of living in Seattle is 56% more than the national median, while housing expenses are 124% higher. Portland does marginally better, with a living cost that is 27% more than the national median and housing costs that are just 53% higher.
In comparison, Sacramento has an overall cost of living index of 119, while Seattle has a living cost index of 158. The cost of living in New York City is 17% more than in Los Angeles, California. San Francisco’s living cost is double that of Boise, Idaho. Using a cost of living calculator will help you feel more secure in your decision about the best places to live in Boise.
Bills and Utility Costs
Regardless of whether you rent or own, you’ll have to pay for electricity and other services like garbage collection, sewage, and water. The best part is that total utility costs in Idaho are consistently lower on average. The utility index in Boise is 82, indicating that the city’s usual price of utilities is lower than the nationwide median by 18%. Here’s a quick rundown of typical Boise utility bills.
- Water: These bills differ greatly depending on use and the season of the year. If you water your lawn in the summer, you’re most likely to increase your water bill given the area’s dry environment. During the summer, a typical household’s water cost in Boise, Idaho is roughly $100 per month. During winter, anticipate spending as low as $30.
- Electricity: Boise’s electricity costs roughly 28.0% less than the average rate, which means you might save money on your monthly electricity bill if you relocate to Boise.
- Natural gas: Gas is commonly available as a source of heat and cooking in Idaho. Gas prices are estimated at about $40 per month in Boise.
- Cable and internet: Your internet cost in Boise may vary depending on your bundle, speed, and service provider. Rates typically vary from $20 to $100. In Boise, the mean monthly price of internet service with 60 Mbps or more is $67.23.
- Garbage: Boise offers citizens trash, composting, and recycling services. An average monthly charge for normal use is roughly $20.
- Sewer: In the city, sewer costs are determined by computing a standard rate of use. A typical monthly sewage cost might vary between $25 and $40.
Transportation Costs
Boise is only 83.7 square miles in size. Its metropolitan area, however, is substantially larger — 11,766.6 square miles. Expect an average driving time of 18.6 minutes if you reside in Boise. If you reside in a metropolitan region, your commute time will be inherently lengthier. Anticipate being on the road for around 23 minutes. Gasbuddy.com reports that the average price of normal unleaded petrol in Boise is $3.90, whilst the national median is $3.17.
In Boise, public transit is scarce. A one-way ride costs $1.50, while an all-day pass costs $2.50.
For years, Boise had had a passenger train that connected it to adjacent cities, including Meridian, Nampa, and Caldwell. Unfortunately, this service was discontinued in 1928.
Housing Prices in Boise
The median listed property price in Boise, according to Realtor.com, is $515,000, with an estimate of $295 per square foot. This is significantly more than the national median asking price of $293,000. Real estate prices are expected to continue rising. Year over year, home prices have risen by 33.8%.
According to the most recent U.S. Census data, there are roughly 102,182 dwellings in Boise and 289,371 in the metropolitan region. In Boise, around 61% of residential units are owner-occupied, with the residual 39% being rented. Renting will cost you a median of $1,679 per month. This is roughly 26% more than you would have spent three years ago.
Boise home prices have risen by about 20% in the last year, but we believe the market will return to equilibrium in the next few months, which is excellent news for all potential homeowners.
Food and Shopping
With a food price index of 96, the price of groceries in Boise is lower than the national median. An average date night supper for two would cost between $40 and $60. The expanding number of eateries and marketplaces in Boise makes inexpensive food readily available.
Popular supermarket brands such as Whole Foods and Trader Joe’s have recently opened in the Boise region. Winco, based in Boise, is a low-cost veteran in the sector. Albertsons, Costco, and Fred Meyers all have a significant presence, providing people with a wide range of economical and diverse grocery alternatives.
Health and Medical Costs
Boise’s healthcare expenditures are somewhat higher than average. Healthcare expenses take into account the regular cost of a hospital stay per day, doctor’s appointment fees, and the cost of a dental examination. Overall, the healthcare expense index in Boise is 1% more than the state average.
Average Cost of Living in Boise
Boise has an aggregate living cost index score of 99, barely below the national average of 100, according to AreaVibes. The living cost index score reveals how costly (or cheap) it is to live in a specific city. If a city’s index score is greater than 100, the living cost is higher than normal. If a city’s index score is less than 100, the cost of living is lower than the national median.
Endnote
It’s easy to understand why the City of Trees is attracting attention in the Boise metro region. Boise boasts an outdoorsy attitude with just enough metro-area culture and business to delight virtually everyone, surrounded by gorgeous hills and snow-capped mountains. Transit times are short, outdoor leisure is abundant, and municipal parks and the famed Boise River Greenbelt have earned national attention. When it comes to moving, this mysterious, ever-changing statistic is widely sought after by inquiring potential homebuyers.
If you’re looking to sell a house fast in Idaho, we are Boise cash home buyers. You don’t need to do any repairs or pay any realtor fees. Additionally, we buy houses in Meridian in any condition and without commissions. Give us a call today.