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ULI Idaho Activity During COVID-19
The formats in which we work are shifting, but our commitment to sharing knowledge and connecting leaders remains as important as ever.
Observations and Opportunities: Housing Markets
April 29, 2020
This week for Observations and Opportunities, we asked realtors Bryant Forrester and Jessica Durham about changes they are seeing in the multi-family and single-family housing markets in our area.
Bryant Forrester
REALTOR, Urban Concepts / ULI Idaho Membership Committee Co-Chair, FY 2019-20
What are the biggest impacts you’ve seen from COVID-19 on the multifamily housing market in the Treasure Valley?
Delays in meeting delivery dates for completed product. This affects buyers and construction financing. One of our projects finally was completed and ready for the buyer to close on the purchase, right in the heat of the COVID-19 crisis. We only lost one buyer due to them losing their jobs and financing. But construction financing for upcoming, not yet started, projects is tenuous.
People are inherently social creatures. This Stay at Home period has heightened the awareness of how loneliness can damage both the mind and body, worsening the ability to fight off illnesses. Living in compact, walkable neighborhoods provides the benefit of being able to safely walk or ride to daily needs, which is healthy in many ways. Suburban living typically requires driving to destinations without any outdoor exposure.
Bryant Forrester
How do you expect this pandemic to influence the design and/or market for future multi-family for sale product?
Some changes that we may see more emphasized were already on their way. The market was already dealing with the phenomenon of online shopping and delivery needs at multifamily projects. Physical requirements to open doors, push elevator buttons may change to be less hands on.
What personal or professional opportunities have you identified, if any, as a result of COVID-19?
I will have to think on that as nothing has popped up, yet. Unrelated to multi family specifically is my thought that there will be more in-migration to Idaho to get away from traffic and other issues.
Jessica Durham
REALTOR, Jessica Durham Realty / ULI Idaho NEXT Chair
Do you think the benefits of compact living in walkable neighborhoods will continue to be attractive during this time of social distancing?
Walkable neighborhoods with access to public amenities will continue to be popular, and necessary, as residents are spending more time at home, working, teaching their children, and managing day to day life.
Over the past few years, Idaho has seen an increase in transplants from our neighbors throughout the Pacific Northwest. As those areas have been hit harder by the pandemic than the Treasure Valley I expect to see an increase in relocation clientele as well as investors wanting to place their capital in markets that are proving to be more stable than their competition, such as Boise.
Jessica Durham
What are the biggest impacts you’ve seen from COVID-19 on the single family housing market in the Treasure Valley?
I have experienced a slowdown in activity for owner-occupied homes over the last month that has been largely due to precautionary sellers not wanting to increase their exposure to COVID-19. On the flip side, buyers are becoming more comfortable with previewing homes virtually through FaceTime or Zoom and making buying decisions without stepping foot into their new homes. In looking at sales data, this year from Jan 1 – April 27 2,992 single family homes sold in Ada County for a total sales volume of $1,221,253,114. Last year during the same time period, 2,947 single family homes sold in Ada County for a total sales volume of $1,076,165,641. This data alone shows a strong, appreciating market that can continue to weather the storm that COVID-19 has brought our way.
What personal or professional opportunities have you identified, if any, as a result of COVID-19?
Professionally, I believe that when a market shifts there are typically new, exciting opportunities that present themselves. Being fluid in our business practices allows these market shifts to strengthen our market share in a time when competitors are struggling to meet their year over year sales goals. We’re embracing the “new normal” and doubling down on lead generation and strengthening client relationships through outreach and education.
Personally, we’ve identified that our work-life counterbalance had gotten out of whack somewhere over the last few years and we are loving this new way of life at a slower pace. Moving forward, my husband and I have committed to keeping a healthier work-family balance for our family.