13 Jun Should you buy a house right now?
IDAHO FALLS, Idaho (KIFI/KIDK) – “We’ve basically got more people shopping with fewer homes to choose from that are selling for more money in a shorter amount of time,” said East District VP for Idaho Realtors, Patrick Malone.
According to data provided by the U.S. Census Bureau, Idaho is one of the top ten fastest growing states in the nation.
However, the housing market in the area, is not keeping up.
“A growing economy and higher interest rates has created a housing affordability challenge.
One of the things that we need to do is recruit workers into the residential construction industry,” said chief economist for the National Association of Home Builders, Dr. Robert Dietz.
Dr. Robert Dietz, made the trip from D.C. to educate home builders and realtors in our area about the economic forecast and what is predicted for housing in eastern Idaho.
“From a national perspective the economy is slowing, so right now interest rates are a little bit slower, the thirty-year fixed rate mortgage is right under 4% that’s actually a really good interest rate when you compare last fall when interest rates were near 5%. So if any is looking to buy a home, now is a good time, but be under the understanding that it’s going to take a little while because inventories are tight and prices continue to go up faster than incomes.”
Down the road, Dr. Dietz says a slower economy with higher interest rates is predicted.
Although it’s the opportune time to buy right now, finding a home is not an easy task.
“One of the big challenges for local communities is the labor shortage.”
Labor shortage isn’t the only factor impacting our home inventory shortage- it can help change the game.
If builders had more workers, they could produce more homes.
Dr. Dietz also says lawmakers should be aware of a huge factor.
“Higher relegatory costs that makes it more expensive to develop lands and build homes ultimately is paid for by tomorrows’ perspective home buyers.”