Inventory

According to the Intermountain MLS data I harvested, we currently have a 5.41 month supply of single family homes in Boise and 7.2 month supply in Meridian. This is the time it would take to consume the current inventory at the present sales rate. What does this mean? If you are selling, it will be a great benefit to be as realistic on your pricing as possible. Homes that are priced right are still moving, but the majority have to sit for a while until they are willing to give up the foam of last year's equity and meet the market's price threshold. Others are simply pulling out, which could be the reason that some of the inventory numbers are shrinking, but also contributing to that number is a decrease in new construction starts. I hear a lot of people grumbling about the market and how its a bad time to do this or that. Savvy home buyers can make money in a down market, and you've probably heard someone say that you make your money at the time of the purchase. Also, if you are in it for the long term than a temporary dip in value should not be detrimental to your plan. Once the inventory shrinks to about 4 months, we have a more balanced market and what people would consider normal. There are still deals out there, you just have to sift through the rubble and you actually have time to think about your options, unlike when the market was red hot.