Boise Housing Market Update

Boise, Idaho, continues to shine as a city of opportunity and growth, even as recent U-Haul migration data shows a slight shift in Idaho’s popularity. Ranked 10th on U-Haul’s list of most popular states people moved to in 2024, Idaho’s drop from 6th place last year raises questions about the state’s evolving appeal. Despite this change, Boise remains a standout destination for residents and investors alike.

Rent control is a law or local ordinance, introduced by government, that restricts how much a landlord can rent or increase the rent of a residential housing unit. It is a very controversial issue with certain states, including Idaho, banning rent control policies altogether. The goal of rent control is to provide and protect affordable housing amid increasing living costs and stagnant wages. However, this is not always the outcome and many argue that it in fact does the opposite, hurting those that it is looking to protect. Many rent control regulations limit landlords to raising rent by 5%-7% plus the increase in consumer price index (CPI), on an annual basis.

When buy and hold investors consider purchasing a new investment property, cash flow or appreciation are the two most common goals. They provide two very different outcomes, which means they attract two different types of investors. Simply put and without getting too deep into complex market factors; as market conditions ebb and flow, markets become more or less suited to provide cash flow or appreciation. So let's dive into each or these concepts and discover which is most appropriate in the Boise housing market.

Boise may not attract the attention that Northern Idaho gets, with courses like Black Rock, Gozzer Ranch and the Coeur D'Alene Golf Club with it's famous floating green, only accessible by ferry. However, golf in Boise will satisfy all golf nuts. From flat sprawling fairways to holes with extreme elevation changes, there's always variety and a challenge around the corner. Also, don't be surprised if you encounter deer, coyotes and other beautiful wildlife during your rounds. If you're looking for things to do in Boise, golf should be near the top of your list!

The concept of return on investment (ROI) when dealing with rental properties is often looked at in an extremely simplified manner. ROI for rental property improvements is calculated as the total cost of upgrades divided by the difference in rent received over a 12 month period. However, this is not the full picture. Property improvements can have many other knock on effects such as reduced maintenance, higher quality tenants who in turn take better care of the property as well as increased tenant satisfaction resulting in lower vacancy. (See our blog post on Increasing Tenant Satisfaction) It's impossible to fully quantify all the outcomes that property improvements will create, but we are able to differentiate between effective and non-effective upgrades.It's important to strike the balance between creating a beautiful and appealing living space, that increases rentability, with a functional rental that reduces maintenance and general wear and tear.

With it's expansive outdoors, city-like amenities, friendly communities and tax friendly policies, Boise is a great place for seniors to live. There are many factors to consider when deciding how you'd like to spend retirement and the golden years, the most important being housing. There are many different routes and options when considering senior housing and it's important to understand the pros and cons of each. So let's explore all things senior housing and see which option is the best fit for you.

Boise and the Treasure Valley are witnessing a shift with the rising popularity of Accessory Dwelling Units (ADUs). Driving around Boise, you'll often see a garage or old workshop currently being converted into an ADU, not to mention the ever increasing AirBnB listings. This has much to do with the City of Boise, in an effort to address housing affordability, becoming a very ADU friendly city. In the modern zoning code, which was introduced in December 2023, many of the requirements pertaining to ADU's were eased, making them that much more enticing to homeowners. So, what are ADUs and should you consider one? Let's take a look at all the pro's, cons and other details to consider.

Love for the outdoors and nature runs deep in Boisean's blood. In fact, many people moving from California to Boise are looking for just that; space, greenery and an escape from the same copy paste, hardscape landscaping found in most rental properties. While there are definitely advantages to minimalist, low-maintenance designs, the trade-off with tenant appeal needs to be considered, especially in a market where green spaces and back yard sanctuaries are so valued. Your rental property's landscaping should not be seen as a chore or responsibility, but as a tool to attract top tenants, increase tenant satisfaction and reduce vacancy. At Bluebird Property Management, we recognize the importance of balancing aesthetics with practicality, to create inviting outdoor spaces and enhance property value, while ultimately increasing your rental property's cash flow.

Boise can be an exceptional market for real estate investors. Despite all the attention the Boise housing market has received in the past few years, it maintains many of the fundamentals of what investors desire when considering investment markets. From job growth and good schools to low crime and excellent quality of life; One thing's for sure, the future of Boise is exciting! Here we discuss a few of the changes coming to the treasure valley and decide if Boise is a good place to invest.