2021 Recap: Sun Valley, Idaho Real Estate Trends
It's been another busy year for real estate in the Sun Valley, Idaho area, including the surrounding Ketchum, Hailey, and Bellevue markets. From primary residences to second homes, condos, and even rental units, a lower supply of properties has continued to sustain a nearly 2 year-long seller's market—but will it last?
As 2021 comes to a close, here's everything you need to know about what happened in the Sun Valley, Idaho real estate market this year, plus the trends and changes we think will drive 2022.
2021 Sun Valley real estate trends
Looking back at 2021, here are some of the trends that persisted throughout 2020, and a few new insights going into the year ahead.
Median listing price increased by more than 35%
According to Realtor.com, the median listing home price in Sun Valley was $995,000 in November 2021, up 36.5% from the same time in 2020, and the median listing home price per square foot was $778. These numbers are consistent with other trends that we've seen across the state as Idaho continues to have some of the country's most in-demand real estate.
Increased number of "call for offers"
Earlier this year, we wrote a post about the summer 2021 trends in the Sun Valley and Ketchum, Idaho real estate market. One of the most notable changes was a rise in listing agents using what's known as a “call for offers” strategy, where agents are required to submit an offer by a certain date and time. Once bids have been received, the seller makes a decision. This approach can accelerate the process and make it easier for the seller, so it’s typically used when a property is getting lots of interest.
Especially in a market where properties are often receiving multiple offers, this trend has continued to keep power in the hands of sellers.
Learn more about how the "call for offers" approach works, how it can backfire for sellers, and different strategies property owners can pursue instead by reading our blog post on summer 2021 real estate trends in Sun Valley.
Vacant land was a popular choice for both new residents and investors
From developers to homeowners-to-be, we saw a rise in interest and demand for vacant land in the Wood River Valley. Vacant land is often a good choice for new buyers who want to build their dream home on their own terms, or for those who want to start investing in the area. From waterfront lots on the banks of the Big Wood River to sprawling parcels on the edge of town, it was a busy year for undeveloped land.
2022 Sun Valley real estate predictions
Despite being a fast-paced real estate market since the beginning of the COVID-19 pandemic, we have a few predictions about what we might expect going into the year ahead.
Remote work will continue to play a role in real estate
One of the most popular destinations in the wake of the COVID-19 pandemic, our mountain town will continue to see an influx of people seeking better work-life balance, more recreational opportunities, or a chance to get out of the city. While many companies opt for remote or hybrid work, employees have more flexibility than ever before to choose where and how they do business.
We'll finally have to face our housing crisis
With so many long term rental rates skyrocketing , workers have had fewer and fewer options that keep them close to work without spending hours commuting back and forth from town. The rapid increase in home prices has driven many service workers and families out of the Wood River Valley, and 2022 might be the year that we finally confront the shortage of affordable housing in our area.
We might transition to a buyer's market, but it’s not likely
According to Realtor.com, by November 2021 the balance between buyers and sellers in the Sun Valley area was showing signs of a possible shift, but we’re not seeing that in our market. This transition might be true in other parts of the state or national market, but that seems to be a false reading for our community.
COVID-19 created a market we had never experienced before, and because of that each time a house sold, the next one went on the market at a higher price. If we end up with more supply than demand, we might see the Wood River Valley moving more towards a buyer's market, but we are not seeing that now.
Conclusion
As we head into 2022, it's likely that the Sun Valley area real estate market will become even more competitive. If you're interested in buying, renting, or investing in a property in the Sun Valley, Idaho real estate market and can make it work in your budget, take the leap now. It's not likely that we'll see a dip in prices any time soon, and inventory is moving fast.
We would love to help you get to know our community, navigate Sun Valley's fast-paced market, and find your dream home in the Wood River Valley. Get in touch now to start a conversation with one of our local team members.