Learn more about the housing market in Idaho

Every state is unique when it comes to real estate market dynamics. That’s why it’s critical to understand the market you live or operate in. Whether you’re renting, buying, or selling, it will impact many aspects of your life.

Key Takeaways

1. Idaho’s housing market has shifted from rapid pandemic-era growth to slower, more stable appreciation heading into 2026.
2. Inventory and days on market have increased, giving buyers more leverage outside the most competitive metros.
3. Mortgage rates in the mid-6% range have improved affordability slightly but still limit demand.
4. Strong in-migration, low unemployment, and continued construction keep Idaho attractive to buyers and investors despite higher prices.

Idaho Housing Market Overview 

Idaho is considered one of the most rural states in the country due to its large size, relatively small population, and vast farmland. However, the state prides itself on its mix of traditional and burgeoning industry, as it is known for both energy and food production.  

After peaking in mid-2022, Idaho home prices cooled as remote work allowed buyers to relocate away from major employment centers, easing pressure in urban markets. However, strong in-migration and limited housing supply have kept prices well above pre-pandemic levels and sustained competition statewide.

By early 2024, analysts expected Idaho’s housing market to grow more competitive again, with modest price increases following the rapid appreciation of prior years. Redfin data from the first half of 2024 confirmed rising buyer activity and stabilizing prices at a slower pace.

Mortgage rates also declined from late-2023 highs near 8% to the mid-6% range by spring 2024, improving affordability at the margins and supporting market stability going into 2026.

Idaho Market Trends 

To understand the Idaho real estate market, it’s important to keep up with trends. Let’s look at some key ones in Idaho:

Note: These statistics are based on Redfin’s monthly housing data from November 2025.  

Median Home Price 

The median sale price of a home in Idaho as of November 2025 was $512,500, according to Redfin’s monthly housing market data. Reflecting a year of great appreciation, this is an increase of 9.3% from median prices in November 2025. The Boise Idaho housing market has a slightly lower average price of $498,000, with only a decrease of less than one percent over the last twelve months. 

Number of Homes Sold in November 2025

2,148 homes were sold in Idaho in November 2025, which is only a slight 5.3% decrease from the number of real estate transactions the previous year. However, this accurately reflects the situation in the Idaho housing market, wherein increasing prices and a large number of prospective homeowners has made the market more competitive, meaning less sales are going through. 

However, it is important to note that nationally speaking, sales tend to peak during the spring and summer months and slow in the winter. In fact, the National Association of Realtors (NAR) predicts that in February and March alone, sales activity increases by as much as 34% and prices by 3%. 

Median Days on Market (DOM) 

Days on market (DOM) is a measure of the average length of time a home remains listed on the market before being put under contract. A lower DOM signals a highly competitive seller’s market with more pressure on buyers to make higher offers and remove contingencies. A higher DOM signals a buyer's market as sales are slower and sellers have less leverage.  

As of November 2025, the median days on market (DOM) in Idaho is 66 days, which is up 7 from the previous year. This means that on average, property listings spend around a little over two months on the market before they are transitioned to pending sales. 

New Supply Statistics 

As of 2025, Idaho continues to rank among the top states for residential construction activity on a per-capita basis. U.S. Census Bureau building permit data show that Idaho authorizes new housing units at a rate well above the national average, reflecting strong builder response to sustained population growth and housing demand. This elevated level of new construction is helping expand inventory and may gradually ease affordability pressures as the market moves through 2026.

Property Tax Rate 

According to Rocket Mortgage, the average property tax rate in Idaho is 0.67%. Idaho has the 14th lowest average property tax of any state in the country. However, it is important to note that Idaho is a large state, and property taxes are bound to vary depending on the value of a property and where it’s located. 

Foreclosure Rate in October of 2025

According to ATTOM data, Idaho recorded 206 foreclosure filings in October 2025, equal to 1 in every 3,770 housing units, ranking the state 13th nationwide for foreclosure activity. Filings rose 101.96% from the prior month and 94.34% year over year, signaling a sharp increase in distress compared with earlier periods, even though overall foreclosure levels remain moderate relative to larger states.

Hottest Local Markets in Idaho 

Because Idaho is so vast, there is plenty of diversity in its real estate market. Let’s look at a few of the best local markets in Idaho. 

1. Boise

Boise is the state capital and by far the most populous city in the state. As previously mentioned in this article, its median house price is slightly higher than the statewide average at $498,00. Per Redfin, Boise's DOM is 32 days, which is much lower than the state’s median. This suggests that the housing market in the state’s capital is much more competitive than the rest of the state. Some of the most popular neighborhoods in Boise include Southeast Boise, West Valley, and North End. 

2. Coeur d’Alene

Coeur d’Alene is a city in northern Idaho known for being on the edge of Lake Coeur d’Alene and near the Washington state border. Its median home price is $605,000, higher than the statewide average. Its DOM of 48 days indicates that while prices are high, the market is not overly competitive, and buyers generally have more power than in seller-driven markets. Some of the most popular neighborhoods in Coeur d’Alene include Ramsey Woodland, Downtown Coeur d’Alene, and Northeast Prairie.  

3. Idaho Falls

Idaho Falls is a modestly populated city on the eastern side of the state. Its average house prices are lower than the statewide average at $379,000. Compared to the massive appreciation seen in Idaho recently, Idaho Falls's average price increase is 2.5% over the past year. Its DOM is 52 days, a high number that indicates a less competitive buyer’s market. Some of the most popular neighborhoods in Idaho Falls are Ammon, Rigby, and Blackfoot.  

Economic Factors Impacting the Idaho Housing Market  

A holistic view of Idaho’s housing market requires a basic understanding of the main economic drivers affecting the market. Let’s look at a few critical ones below:  

Mortgage Rates 

Idaho’s 30-year fixed mortgage rates have eased substantially from their late-2023 peak near 8% and now sit in the mid-6% range, closely tracking the national average. While rates remain well above pre-pandemic levels, forecasters expect gradual stabilization rather than sharp declines through 2026, which should support steadier buyer activity without triggering another surge in prices.

Inflation and Cost of Living  

Mortgage rates are tied to inflation, another massive contributing factor to the affordability of housing and the state of housing markets in general. Inflation has increased the cost of living and housing prices for many across the U.S., including in Idaho. This means fewer people can truly afford to limit housing costs to less than 30% of their monthly income.  

Population Changes and Demographics 

A changing population can also have implications for the housing market. The U.S. Bureau of Labor Statistics lists the unemployment rate in Idaho as 3.7%, as of November 2025, and it is ranked 18th in the nation. This relatively lower unemployment rate means those living in the state can find employment, which is bound to attract a broader work force and impact the housing market.

Idaho Housing Market Forecast 2026 

Idaho’s housing market is expected to continue modest price appreciation into 2026, following the sharp run-up of 2020–2022 and the cooling period that followed. Recent data show home values stabilizing rather than surging, with price growth slowing as higher mortgage rates and expanded inventory temper demand. While prices remain elevated compared to pre-pandemic levels, the market is no longer accelerating at prior extremes.

At the same time, buyer conditions have improved. Longer days on market, rising listings, and steadier mortgage rates have shifted leverage away from sellers in many parts of the state. Analysts expect Idaho to remain closer to a balanced or buyer-leaning market in 2026, especially if rates stay in the mid-6% range and construction activity continues to add supply.

Likelihood of Idaho Housing Market Crash 

Many factors, such as the increasingly stabilized mortgage rates and the market's incremental growth, suggest a housing market crash in Idaho is unlikely in 2026. Though the state experienced rapid appreciation in 2023, this was in response to lower Idaho home prices, and the median value has ultimately remained relatively stable in the long-term.  

Forecast for the U.S. Housing Market 

Now that we’ve looked at Idaho’s housing market, let’s zoom out a little bit. What about the U.S. housing market? What do you need to keep an eye on in the coming years?  

The United States' current median existing-home sale price is around $415,200 per the National Association of Realtors. The inventory, though, remains low. A balanced market typically has a 5-to-6-month supply, but the current figure is 3 months, keeping conditions constrained.

We’re currently in a seller’s market with buyers looking at continued rising house prices—although they are rising at a slower pace compared to previous years.. The same trend can be seen with renters. Housing continues to appreciate, in general.

Dr. Lawrence Yun, Chief Economist and Senior Vice President of Research, National Association of Realtors, believes the housing market will appreciate 15 to 25% over the next five years. He thinks that the seller’s market will continue because housing inventory will remain low. In 2026, he predicts that existing home sales will rise an additional 13%. Yun expects mortgage rates to stabilize at the lower end of the current 6-7% range through 2025 and 2026 as the Federal Reserve continues gradual rate cuts. There's an anticipation of a more balanced market in the coming years, with moderate price growth and a greater amount of Americans re-entering the market.

Hybrid work also impacts the housing market. This shift in work culture means suburbia will continue to grow. States like Texas, the Carolinas, Tennessee, and Florida should see continual growth.

The number of single-family homes built decreased over the past couple years while the number of multi-family homes increased due to lower prices and a demand for affordable housing. Year-to-date single-family housing starts were down about 7.1% in 2025, whereas starts for buildings with five or more units were up roughly 14.5% Higher mortgage rates and inflation (affecting price of materials) were the main causes.

Lower income households continue to struggle in the current housing market. This trend appears likely to continue into the foreseeable future. According to the National Association of Home Builders, approximately 74.9% of U.S. households were unable to afford a newly built median-priced home in 2025. Without enhanced supply or helpful subsidies, the outlook is that many Americans will still wrestle with housing affordability in the years to come.

Idaho Rental Market 

Idaho’s rental and homebuying markets remain closely connected. As home prices and mortgage rates stay elevated, more households remain renters longer, sustaining rental demand even as home sales activity slows. Zillow data show that Idaho rents remain above pre-pandemic levels, particularly in metros like Boise, where limited inventory continues to support higher prices.

After peaking during 2021 and 2022, rent growth in Idaho cooled through 2023 and 2024 as new multifamily units came online and in-migration slowed. However, rent increases have not fully reversed, and in many Idaho markets they still outpace wage growth, keeping affordability strained for lower- and middle-income renters.

Higher interest rates have also limited new rental development. The Federal Reserve’s Senior Loan Officer Opinion Survey shows continued weak demand for multifamily loans, reflecting tighter credit conditions that may constrain future rental supply and keep pressure on rents heading into 2026.

As Idaho moves into 2026, rental conditions are more stable than during the pandemic surge, but affordability remains a challenge. Slower rent growth has provided some relief, yet housing costs still consume a large share of income for many renters, especially in fast-growing urban areas.

This short summary leads directly into Idaho’s current rental market. Below are just a few of the current trends for Idaho’s rental market based on data pulled from Zillow:  

Idaho Rental Market Key Trends 

• Median rent: $1,800 
• Month-over-month rent charge: -$28
• Year-over-year rent charge: +$5
• Available rentals: 3,513 

Conclusion 

Although competition has increased in parts of Idaho, the housing market remains generally buyer-friendly compared with its pandemic peak. Higher inventory levels, longer days on market, and steadier mortgage rates have reduced seller leverage, especially outside the most in-demand metros. Combined with Idaho’s low unemployment rate, diverse industry base, and below-average cost of living, the state continues to appeal to both homebuyers and long-term investors heading into 2026.

 FAQs

Is Idaho a buyer’s or seller’s market in 2026?

Idaho leans closer to balanced or buyer-friendly than in prior years. Rising inventory and longer days on market have reduced seller dominance, especially outside Boise and other high-demand areas.

Are home prices in Idaho still rising?

Yes, but at a much slower pace. Prices remain well above pre-pandemic levels, though appreciation has moderated as demand cools and supply expands.

How competitive is the Boise housing market compared to the rest of Idaho?

Boise remains more competitive than the statewide average, with lower days on market and higher prices, while many rural and smaller metro areas offer more buyer flexibility.

Are mortgage rates expected to fall further in 2026?

Most forecasts expect stabilization rather than sharp declines. Rates are likely to hover in the mid-6% range unless broader economic conditions shift significantly.

Is a housing market crash likely in Idaho?

A crash appears unlikely. Slower growth, steady employment, population inflows, and ongoing construction point to normalization rather than a severe downturn.