Investing in real estate is no small commitment. You have to be ready with a reasonable down payment and prepared to take on the responsibility of mortgage payments, property upkeep, and everything else that goes along with being a property owner.
Though real estate is a major purchase, no matter when you sign the papers, the current climate of the real estate market in the region where you’re trying to buy can also play a huge role in the value of your potential property.
When properties for sale are plentiful and prices are lower, it’s considered to be a buyer’s market. When supply is decreased and demand outweighs it, the sellers have the upper hand.
Real Estate Trends in Valley County
So what is the current climate of Valley County real estate? There is a wide variety of desirable homes of different types and sizes, drawing more potential investors to the area. Let’s take a look at how real estate trends have changed in the McCall area in recent years.
Sales Prices Going Up and Time on Market Going Down
Tamarack Resort, one of the most desirable neighborhoods for vacationers and residents alike in Valley County, has seen an increase in properties sold from 35 between June 2020 and June 2021 to 45 between June 2021 and June 2022.
Average sales prices have also increased slightly, and the days each property spends on the market have decreased.
Though not every Valley County neighborhood has seen more properties sold this year than last, nearly all of them follow the same trends when it comes to the sale price and days spent on the market.
Nearby real estate areas like McCall, Cascade, New Meadows, and Donnelly have all seen increases in property sales prices and quicker turnaround times due to higher demand and lower supply of homes in this area of Idaho.
Why Is Tamarack Resort Real Estate So High in Demand?
There are many reasons why Tamarack Resort real estate and nearby communities have skyrocketed in demand in the past few years. Tamarack Resort is one of the country’s newest year-round vacation destinations, making it an exciting venture for potential property owners that want to stake their claim in an up-and-coming area.
Plus, the past two years have seen a nationwide increase in homeowners investing in second or third homes, particularly in vacation destinations like Valley County, Idaho.
Many people have continued to work from home after the massive shift in business practices during the COVID-19 pandemic, making it easier to work from anywhere.
This allows people of all lifestyles to spend more quality time with loved ones. They can also prioritize their hobbies and interests in this great state, including top-of-the-line Idaho skiing, unique Idaho sports, and other outdoor Idaho activities.
Why You Shouldn’t Wait for a Market Change to Invest in McCall Real Estate
As a potential investor in Tamarack Resort real estate, it’s understandable that you might try your best to purchase your property at the most opportune time. As we mentioned above, real estate environments can shift between favoring the buyer and favoring the seller, depending on a variety of factors.
Despite the fact that the Tamarack Resort real estate climate is hot right now, it may not be in your best interests to simply wait until the climate cools down (or, in simpler terms, the property prices decrease and the supply of properties increases).
Let’s dive into a few of the reasons why it might actually be wiser to purchase your McCall real estate sooner rather than later.
National Changes May Not Translate to Regional Changes
Some real estate investors keep their eye on national property value trends in order to figure out when to make their move. However, individual real estate markets can be very insular and largely unaffected by national trends.
It’s important to keep a close watch on the specific trends occurring in the region where you want to invest. Tamarack Resort real estate trends could change in the buyer’s favor before national trends do, and vice versa.
Interest Rates Could Continue to Increase
Interest rates throughout the country were surprisingly low throughout 2021. The Federal Reserve finally raised the rates in March of 2022 by 0.25%, leading many potential real estate investors to consider waiting on their purchases until interest rates go down.
However, playing the waiting game could turn out poorly for buyers as interest and mortgage rates will likely continue to rise before they fall again.
Price Drops Are Impossible to Predict
Interest rate increases and even reduced supply can be signals of a market that’s cooling off and returning to a position that favors the buyer more than the seller. Despite this, no one can predict with perfect accuracy when the market will fall.
If you wait too long to invest in your Tamarack Resort real estate, it may be months or years before the region’s properties reach the price you’re looking for, and by then, the properties will likely be bought up.
The Rental Market Is Even Hotter
Homeowners looking for a second or third home to invest in won’t be particularly affected by the current rental market. If your plans involve moving to the McCall area as a permanent resident, the home purchase market is actually more favorable in the current climate than rental properties.
Investing in your dream home now is preferable to renting. Though McCall real estate is a major investment, you could potentially save money versus the rent you would pay for a similar property over a year or two before finally buying.
If You’re Ready, It’s Time to Move
At the end of the day, real estate investment is a very personal decision that you should only make when you’re ready and feel prepared for the commitment. If you feel equipped to make your dream home a reality and have all of the necessary resources at your disposal, why wait?
