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The Idaho Real Estate Buzz is our radio show where we can help educate and inform the public on the real estate trends in the Boise, Idaho market place.   In this episode, Thom Dallman, Dave Burnett, and Michelle Guth from Diversified Mortgage Group talk about topics ranging from Thom's start in real estate to the current low inventory problem in the Treasure Valley.   Following the radio segments is the transcriptions for each section for the deaf and hard of hearing audience as well as those that do not have speakers on their computers.   

Announcer: You're listening to the real estate buzz show! From CORE Group Realty and Diversified Mortgage. Now...here's Thom Dallman on 580 KIDO.

Dave: This is the Idaho Real Estate Buzz, I'm Dave Burnett. CORE Group Realty is where we're at today in the offices of Thom Dallman is with us as we talk all things real estate. Thom who is the co-owner and also the designated broker of Core Group Realty. Thom, welcome back to the show!

Thom: Thank you Dave, I appreciate being here.

Dave: We're talking all things real estate, and I will say..knowledge is power. And that's part of the reason for doing this show is not just to sell houses, that's not what this is about.

Thom: Exactly.

Dave: But more so to empower the consumer whether you're selling or buying to have knowledge to help you make that transaction and to make some smart decisions.

Thom: Exactly. That's very important for any buyer or seller to know and to have their trusted adviser that can give them the advice that they need to to navigate this market, the market's such a tricky little place, it's got so many ups and downs and different ways that they can go, so it's very important for anybody who's looking for real estate to be able to do that and have that information provided to them.

Dave: Something I really talk quite a bit about, and that is how much real estate has changed just over the years. At one time you could go out with a real estate agent, they'd have a sale a for sale sign and a lockbox you could go to listings that come out on Thursday, you know? You're ready to go but it's so much more intricate, and CORE Group Realty has done such a good job of really making it a team effort everything from the internet really all the way through the offices.

Thom: Oh yeah, yeah, we specialize in our team environment. One of our CORE Values is synergy and the collaboration of our team, and being able to share what's happening in the market, being able to talk we have daily meetings where we talk about the things that are happening so the agents are fully informed on what's going on in the market place and actually share that information and are better able to assist their clients with that, and this is that we share that information with all of our Customer Care department, who is in charge of those clients when they come first into our website so as they come into the website our Customer Care department can actually help our clients as well navigate some of those informational things that come up and have those discussions.

Dave: Let's talk a little bit about one of the things that CORE Group is really so good at and that I really love and that is your website.  Coregrouprealty.com is the website, and it's really broken down to where it's user friendly and kind of interactive and fun to use. Tell me a little bit about the basics of Coregrouprealty.com

Thom: The basics is it's really just a very easy to use like you said website for people to go to to find out all kinds of information, we have a search site on there that will get you into our MLS, Intermountain multiple listing service so you can get every single house. It's updated every 15 minutes so they can get the most current information.

Dave: Not every Thursday like old times.

Thom: Haha, no yeah! Or back in the day when they used to have the big books that the agents had to read through.  Nope it's updated every 15 minute with the most current information so people can really get in depth into what you know is currently on the market. It has our blog site on there, it has all kinds of different information. Our blog site we try to put in pertinent information for the real estate world and what's happening and there's some fun stuff on there as well. It has an introduction to us and the.. our philosophies and our mission as well, as well as of course our agents, all of the agents that work with us and the specialists that work with us on the buyer's side as well as the listing side.

Dave: Well hey if you've never been to CORE Group Realty, or driven by, they're down by the mall it's right here on Emerald Street where you can come in and we've always talked in the past we've talked to Gabe in the past about the fact that you are not afraid to interview if someone is looking to list a home to come in and find out if it's the right fit, and you're good with that.

Thom: Oh yeah, not at all, I think that it is very important actually for a buyer OR a seller to interview some agents and really get to know what those agents bring to the table, what their marketing plans are, if it's a buyer's agent or if it's a buyer what their buyer's agent is going to do, their expectations of how often they're going to get homes, how often they're going to look at property, stuff like that. I think the interview is the most important part of the first steps for anybody in the buying or selling process when they start out.

Dave: And I guess that goes back to the philosophy in that it's more than just a sign stuck in the yard, that says "For Sale."

Thom: Yeah, it used to be in the day where they'd just put the sign up in the yard and just hope that buyers would just happen by it. No, now it's so much of that searching is done on the internet and the marketing is so important to make sure that it is getting out in front of as many people as possible.

Dave: I have to laugh as I was driving home just this afternoon true story I was driving home and suddenly I seea sign in somebody's yard "for sale by owner."

Thom: Oh yeah

Dave: Ohh..good luck! Hope you have some experience because to be heard above the noise which I think for any business whether you're in real estate whether you're in radio or whether you're selling cars, to be heard above the noise of what's going on with smart phones, on tablets, on t.v., on billboards, on all kinds of media, it's tough to be heard above the noise and how that person is going to be heard above the noise, I don't even have a clue

Thom: I don't get it either and we get people coming in that are for sale by owner that last you know, sit on the market for 6-8 months and just are coming to us for advice and finally like you know what we've just tried to do this and we can't do it, can you help us? We get that all the time and it's really a struggle to get out there in so many different areas. Our website and the way that we work it feeds all the way through all of those different websites it goes out to hundreds of different platforms out there where people are searching the most active. Zillow, Trulia, stuff like that. We actually syndicate out to that stuff. So all of that information is very current out there in the market place.  And for sale by owners don't really have that ability as much to be able to do that.

Dave: If I were to ask you, what is the percentage of people that they look online before they even shop for houses in your estimation. Is it 100%?

Thom: I'm gonna say we're pretty close to 100% of people start searching and start and do a lot of their stuff online for homes. If it's not 100% it's pretty much like 98% would be my guess. Everybody's doing everything online.

Dave: I guess it really is a good way of judging on the initial blush of a real estate company...check out their website. If it's not interactive, if it's not user friendly, you're in deep trouble because it needs to be for somebody's looking to buy or sell that website is that way. And Core Group Realty.com, whether it's a coming soon tab where you can find a little bit of advanced notice or not, that website really is all important now for selling a home.

Thom: Yeah it's very important and like you said. The user friendly part of that because we are in a technology age where the technology is so important and so many people use it, but, there are still people who are somewhat afraid of technology who are uncomfortable with it a little bit so it's really super important for that technology to be super easy for them to use.

Dave: Well Thom we're going to be talking to Michelle Guth with Diversified Mortgage coming up today to find out a little bit what the word's out there in financing, but before we get to Michelle and doing that I want to ask about you. About Thom and your experience in real estate. Tell me a little bit about your background, how you got into this?

Thom: Well I actually started about I guess it would be about 11 years ago now, actually I was into real estate investment. I flipped properties and stuff like that. Bought properties, fixed them up and sold them. It got to the point where I just really needed to have my real estate license to better negotiate stuff like that, so got my license.. it's about 9 years ago and joined Gabe Cordova on a small team and kind of built that up a little bit before we started CORE Group Realty 6 years ago and we were top sales people and kind of running our team here at CORE Group, and it has gone from there. That is really kind of my growth in the real estate business. I was in HR, human resources before that. So I'm really big on human resources, human development, and really working with people. I am a people person, so to me, Client Oriented Real Estate, that's what CORE stands for, is so important it's all about the client and, you know, making sure our clients are happy and their needs are being met.

Dave: So if you got into it 11 years ago, you were during the good times and you got through the hard times as well.

Thom: Yes, yes I have

Dave: So you've kind of seen all sides of it.

Thom: Yes, I have and it's, you know, even during the hard times it's a little bit of a struggle but we maintained and we, you know, prospered through it with our systems and the things we had created and always wanted to be on top of technology have really helped us through those rough times. And being able to still be there for our clients because even in the rough times there are still people that need a house, there's still people that need to sell their homes.

Dave: If you would like to talk to Thom or really anyone here at CORE Group Realty and we'll talk a little bit more about the positions, about the people, you can call 933-7777. Or go to Core Group Realty.com. That is the website to go to and it really is a company filled with people who are here, they're not just here to sell you a house. You can just buy a house from anybody, but here to make sure that you're gonna get a home, a home I guess is really what you're looking for.

Thom: the home ownership dream is what we are trying to accomplish to help people get their homes; for the sellers to help them get the best money that they can for those homes that they're selling. It's all about making sure that everybody's needs are being met. And being met not in a rough way but in a very exciting kind of way making the rough waters that can sometimes happen go very smooth.

Dave: Well let's do this. Let's have Michelle Guth join us. Michelle in the upcoming segments what are we going to be learning about today?

Michelle: Well I thought we'd talk a little bit about current market trends with respect to interest rates and basically some averages on home sale prices and just where we're at within this market.

Dave: Yes, it's been several months now since you and I have spoken so I'm kind of curious to see what has changed, what has developed over the past several months.

Michelle: It's an aggressive market, somewhat like it was latter part of last year, last time we spoke so we're finding that the home sales it's so aggressive to the point where we're seeing a lot of multiple offers on properties so it's gaining those tools in order to be able to present the best offer possible, so I thought we'd touch a little bit on what we need to do to be well apprised and ready to go when we go out to meet with Thom or one of his team members to start shopping for property, we want to be that person to educate them and give them the tools in place to be well informed and ready to go.

Dave: Alright, we'll be talking to Michelle Guth coming up in just a few minutes about a little bit more about finding out what's involved.  Thom, once again, if somebody wants to go to the website, what is the website?

Thom: Coregrouprealty.com!

Dave: Nice and easy. Easy to remember. And by the way well maybe I shouldn't say easy because it's Core with   C, I've seen people spell it with a K. Core with a C. Or you can call 933-7777, that is the phone number to call to be able to get in touch with one of the folks here at Core Group Realty. We're here every Saturday at 2:00 to share with you and give you a little bit more knowledge and power it's called the Idaho Real Estate Buzz I'm Dave Burnett with Core group Realty and of course Thom is with us and Michelle. We'll be back in just a few minutes. Here on 580 KIDO.

(music)  End Segment 1

Dave: This is the Idaho Real Estate buzz, I'm Dave Burnett and we are with Thom Dallman who is the co-owner and the designated broker for Core Group Realty. CoreGroupRealty.com is the website to go to and Thom one of the folks that you really enjoy talking to and have learned so much from and that is Michelle Guth with Diversified Mortgage. When it comes to finances and what's happening in the world. 

Thom: Yes, she's one of the best partners that we've had, we've been partners with her for probably eight or nine years now and it's been such a pleasure to always be able to get information from her and get it in a timely manner and the most current information. She's so fluent on what is going on in the lending industry and it's just been a great pleasure to work with her.

Dave: Michelle, welcome back to the show. 

Michelle: Pleasure to be here.

Dave: Let's do this before we get anywhere, let's find out if somebody wants to get a hold of you maybe and this show has kind of been on hiatus, if somebody wants to get a hold of you, how do they do that at Diversified Mortgage.

Michelle: Just give us a call at 853-7878.

Dave: Alright, what is it you're working on here?

Michelle: Well, we are finding that there is a lack of inventory in our market currently so as a result we are finding that our clients are in many cases in multiple offer situations on the properties that they are placing offers on. 

Dave: That's a good place to be in if you're selling!

Michelle: It's a great place to be and unfortunately with the inventory issue our clients can get frustrated because it's not uncommon to have to make an offer on two, three, four, five properties before they can get an offer to stick. 

Thom: Six, seven, or eight.

Michelle: Exactly. So what I so much appreciate about Core Group and its agents is that they are well versed in the market and they can properly educate our clients in what is the best approach when making an offer. The fallacy in thinking that they can go in 10% under offer price like they see on TV is just not realistic in our market. On average most homes are selling at 98% of list price and in many cases depending upon the area of the market well over listing price. 

Dave: You see that all the time on Property Brothers or Flip or Flop. Well they're asking 830,000, let’s go in for 700,000 and right now that's not working. 

Michelle: Not realistic at all. 

Thom: I think that might be a California thing.

Dave: I think that might be a TV thing, I'm not real sure about that. So advice that you have for people?

Michelle: Again, follow the advice of your agents. Usually they will have a good idea on the area that they are shopping and they're going to give an indication on what they think a reasonable price is to go in on a property. In many cases the clients are asking for seller assistance so not only do borrowers need a down payment, in some cases they also have closing costs. And it's not uncommon in our market to negotiate to try and have the seller cover those closing costs. As a result, we are finding that in many cases they are having to go over list price to get the seller to cover those costs, which in turn can result in a multitude of issues with respect to possible appraisal values which we are running into problems, I think you have seen some of that Thom, have you not?

Thom: Oh yes, we have seen a lot of that recently. Just appraisals coming in even $5,000 under what the list price is. It causes quite the stir in trying to figure out what to do with that.

Michelle: Yes, and I think a lot of the reason for that is in many cases whether they are asking for closing cost assistance or not because it is such an aggressive market and they are competing against multiple offers, it's not uncommon for those offers to be well over list price and it's such an aggressive market that they is a little bit of a feeding frenzy in essence where they are offering well in excess of list price, which in turn when we do have a low appraised value, thankfully in most cases we're finding that the listing agents and the sellers are realistic in their expectations, knowing that they got well over list price and there is some negotiating room if we do in fact have an appraised value issue. It definitely muddies the waters to a certain degree, because we are having to go back and negotiate after the fact. 

Dave: You don't have to want to do that. 

Michelle: Ideally, no we don't. But it is the market we are in. 

Thom: It does tend to delay the closing of the property. 

Dave: How is it different or has it really changed, let’s just say over the past three or four months or since the start of the year. Has the market place as far as lending, has it changed quite a bit?

Michelle: Well we talked quite a bit at the end of last year with the new guidelines coming out under TRIDD, so as the result of that for the first quarter you're still working through the waters of the changes of that industry. But it's leveled out, I think more of the issue is again just the lack of inventory and it's taking a little longer once we pre-qualify a borrower from the time we pre-qualify and we are actually closing just because it's taking quite a while for them to find a property. Rates, thankfully have held relatively stable, they are still extremely low, it's a great time to buy a house with respect to interest rates. So now is definitely the time to get pre-qualified and let's hit the ground running. 

Dave: Can you give me kind of a window, I know you can't say specifically what the rate is, but kind of a window, what are we looking at interest rate wise? What's as low as you've seen? 

Michelle: Well depending on the program, APR can be as low as 3% to the low 4% depending on the program and in term.

Dave: Okay, so that's pretty good. 

Michelle: It's outstanding, yeah.

Thom: It's a really good time for buyers as well. 

Dave: So your advice or let me do this Thom, when you get somebody who comes in and they are ready to be a home at what point do you introduce them to Michelle?

Thom: Pretty much from the get go, because that's one of the first things that really a home buyer needs to know is what are the prequalified for? How much of a home can they get price wise? Michelle sits down with them and says let's look at not just what you can afford, but what are you comfortable with? And the dollar amounts that you are paying out for your expense and stuff like that. And really that needs to be the first spot that people go to because that's the most important part, to know what to actually start searching for. People search all the time for two hundred, three hundred dollar houses and then find out that they only qualify for one hundred and fifty thousand and get kind of disappointed. That's why from the get go we usually promote on the very first meeting that here is Michelle's contact information, contact Michelle, let her get you prequalified and let’s see what price point you are looking at so we can officially get you the houses that fit your criteria. 

Dave: Michelle, we've talked about this before, but I know that I always come back to this again. Finances are one of those things that is really personal. I think people would rather talk about their sex life than their finances. I mean seriously they would rather do that and especially when you get into older people. At one point I remember with my parents, you never talked money. I have no idea to this day how much money my father did or did not make. It was something that just wasn't polite to talk about, whereas now people will talk about it. Somebody if they've maybe went through some rough times, maybe during the slow time where their credit took a hit, or they've gone through a divorce. That is something that you'll help them work through and find out and really get them sub qualified for? 

Michelle: Oh without a doubt. Everybody's going to have different life experiences and we've seen it all so by no means is there any level of judgment, we're here to educate and give them the road map to be able to work toward that home ownership. And whether we can qualify them now or we need to do a six month to a year plan, we're going to be there to help them navigate that.

Dave: So you're not going to sit across the desk and go, "oh boy!". 

Michelle: By no means, absolutely not.

Dave: And I think that's what is comforting when it comes to this. Because it is personal for you to get in and find out how much debt I've been in and how stupid I've been financially or how smart or how frugal or how thrifty I’ve been. For a lot of people that is difficult. Diversified Mortgage, 853-7878, equal housing lender. We do need to say that as well, with Diversified Mortgage. Some of the other things we're going to talk about when we come back, just a couple minutes before break. What are some of the other things we're going to talk about here today?

Michelle: Well Thom and I took a few minutes to kind of look at some additional analysis of the market trends so we thought we would delve into that a little bit. 

Dave: And when you say market trends, for me, for the uneducated, what does that mean?

Michelle: Average home prices, time on the market, several areas we are going to touch on. 

Thom: Exactly.

Dave: Alright this is the Idaho Real Estate Buzz, I'm Dave Burnett along with Thom Dallman and also Michelle Guth from Diversified Mortgage. Let’s talk just a second before we go to break about the website again, CoreGroupRealty.com. If you were new and going to the website, what would you be looking for?

Thom: If you're new and going to the website I would highly suggest going first to the home search tab to kind of get yourself familiar with the houses that are out there and kind of start doing some of that initial search. Also go to the service providers page and look up Michelle's information on there and give her a call to make sure that you do that initial step of getting yourself prequalified. Her information is right there on the service providers section and that's really the main part is to actually start the search and start the prequalification process. 

Dave: Can I break it down on the website by area? In other words, if I'm looking for Canyon county I can select just Canyon county?

Thom: Yes, you can do all kinds of sorts, you can break it down into specific areas within Canyon county if you want. We actually have a map search function, where you can actually go onto the map and really define what area you want to live in. You can do school search, to see if you can stay in a specific school district if you have kids.

Dave: That is very important. CoreGroupRealty.com, that is the website. Talking with Thom and Michelle today as we are talking about Real Estate, and again the reason for the show is not to sell you a house, I mean Core Group can do that, you want to come in and buy a house they can do that for you, but it's about giving you knowledge, which with that comes power so that you're educated when you go out. When you talk about listing your home you know what to expect realistically. When you talk to the folks at Core Group they will help explain, "Here is a realistic look at it, it's going to work this way for you, 9 times out of 10 unless you know that perfect buyer walks in the door the first day. If you're looking to buy a house, as we mentioned, they'll get you in touch with Michelle to get you back to reality so you can know exactly what you can afford to buy. And really, it's an education process and that's the reason we are here with the radio show here on the Idaho Real Estate buzz, and that is to get you educated. We'll be talking over the course of the weeks with lot of different people, whether it's with title people or home inspectors. We'll talk about getting curb appeal, this is the time of year where really getting your house in shape on the outside is important.

Thom: Very important. 

Dave: Not a lot you can do in January, but when you get into these nice warm months that curb appeal is so important. We'll continue on the other side; we'll talk a little bit about market trends. If you're wanting to know, "okay, where's hot? What's not? What's working? How long can I expect it to stay on the market place?" We'll talk about that as we continue. 933-7777, CoreGroupRealty.com, 933-7777, I'm Dave Burnett, along with Thom Dallman of Core Group Realty on 580 KIDO.

(music) End Segment 2

Dave: This is the Idaho Real Estate Buzz, I am Dave Burnet. Core Group Realty is the company that we are talking about today, Core Group Realty.Com. Thom Dallman who is the ... well he is designated broker and co-owner- did I get that right? 

Thom: That is correct

Dave: Cuz that is a lot to put on a business card.

Thom: yup it is, it’s on my name tag, all the way across the whole bottom of it, haha

Dave: He'll rep you and he'll help you and get you, you know, sold and ready to go. 

Thom: Yes

Dave: Core Group Realty, that's what you need to remember, and Michelle Guth is with us, from Diversified Mortgage Group Equal Housing Lender again today and I guess one of the things we want to talk about is market trends and what’s happening

Thom: yeah, were kind of in an interesting market this, uh, this, uh first quarter of 2016. Were kind of at a, uh, an interesting market because were at an all-time low in home inventory, basically the stats that just came out from our, um, realtor board shows that there's only 2.6-month supply of homes available right now, so if we stopped listing homes, we'd run out of homes to sell in 2.6 months. That's what that means.

Dave: And I remember from economics, when there's a shortage, the price goes up. 

Thom: Price goes up. So, which is good for, if you uh, need to get your home listed and get is sold right away. They are selling pretty quickly right now. So, it's very good for that, but that has lead into some interesting things for our buyers as far as, uh, as we kinda mentioned, uh, some, uh, negotiating that needs to be done because they are getting multiple offers on properties and stuff like that. And, uh, were kinda dealing with things like that with these market trends.

Dave: Michelle, i see a stack of papers in front of you. What are some of the trends going on?

Michelle: (Chuckles), well I thought we would get a little granular, Thom mentioned that we had that 2.6 months of inventory and I thought it would be interesting to look at a comparison between existing homes and new construction, just so we could kinda see what the makeup is of what’s out in the market. So for example, existing resale type properties we only have inventory of about a thousand houses, which is very low when you look at our population base.

Dave: Did you say, 1000?

Michelle: A thousand, correct. Of existing homes. 

Dave: Wow

Michelle: In comparison to new construction is 734. So, if you look at that, I mean, it's not that far off from existing to resale, um to the new construction, so if you average those, you've got, two months’ supply of existing and you've got almost 5 months’ supply of new construction, so you can kinda see where the trend is going, we're trying to make up that lack of inventory by a lot of new construction.

Dave: Is it, is it--- would it be a fair question to ask, where do these people come from? I mean for all of these homes we had a glut of homes at one point, where did they all come from? 

Michelle: What we’re finding, I think Thom can attest to this, were getting a lot of people that are transferring from out of state. Boise was, um, chosen as one of the top places to live in the United States through different publications from the Wall Street Journal, and several other, um we're seeing a ton of a relocation from, I’m seeing personally, from Alaska, California, all over the nation, so, Boise has definitely been discovered and uh, a lot of its move up buyers in comparison to the retires and relocation.

Dave: Well, I know, I was just talking here about a month ago with somebody form California, sold his house in California and paid for his house cash. 

Michelle: Ohh yeah, and got three times the house, haha

Dave: Yeah, and didn't have to get nearly as a good a job to survive here. So, I guess maybe in that sense, nickels and dime wise, it makes sense to do it.

Michelle: Without a doubt. 

Dave: What else you got there on your list? Trends?

Michelle: Um, the numbers we just talked about, that Thom was kind enough to pull for me, um, was for Ada County, so in comparison um, Canyon County, for example, year to date, their median home price is $152,400 and Ada county is at $245,500. So um, correct if I am wrong Thom, we are seeing a lot of our borrowers that you know, in many cases there asking me to pre-qualify them for Ada county and their finding that due to the lack of inventory and what they can get for a price per you know, square foot basis in Boise, there finding they can maybe get a little more house in different markets, so are you experiencing any of that?

Thom: Correct, little bigger house, exactly, ohh yeah, we get that all the time. People who are very specific about areas in Boise that they want to live but then once they get through the pre-qualification process with you, they realize, ohh well maybe I need to expand that area, because the areas they are looking in may not, uh, may not supply them the house that they want, or that they can afford, um you know, and so forth, so, uh yes, people are starting to expand out in the neighboring, uh, areas, such as Canyon County to be able to get the house that they need. 

Michelle: And, um yeah, you brought up a, a good point, with the expansion we've noticed too even, when I'm talking to my clients, and I ask, you know, what, what area are you wanting to buy a home in? And the reason I ask that question is that there are some variances with respect to property taxes, so when I'm trying to estimate payments, I want to know what area they're looking in, so I have a better idea on how to estimate that. With that said, when we're talking about a lot of even our first time home buyers, even move up buyers, you know, when you're looking at the price point, of even under $200,000 where it is such a competitive market, I'm finding that they are willing to go out to the Kuna area, Star, Middleton where we have some great zero down programs and they are expanding their search criteria as a result of the lack of inventory, and in the Boise Market.

Thom: Exactly

Dave: It, I... I guess I'm so scratching my head as to where all of these people are coming from, haha, to move to the area, and where are they getting these jobs at? But, uh, I, I'm assuming, what is the average price of a home selling for right now? Uh, do we know? I mean, what is the average, that its selling for?

Michelle: $235,500. 

Thom: Yeah

Dave: 235 ...

Michelle: For Ada County

Thom: Yup

Michelle: yup, and then Canyon County were at $152,400 is the average home price.

Dave: So, ok, it's significantly less. Now, let me ask you this because I've heard people argue back and forth all the time. Where is the taxes cheaper, percentage wise cheaper, Canyon County or Ada County? Do we know?

Thom: Uh, in my opinion it's Canyon County, the taxes are, uh, are uh, higher in Canyon County.

Dave: Ohh they are. 

Thom: Yeah, um, just because the way that the tax levies and what not, works out there. It's my understanding that Canyon County has always had a kind of a little bit higher tax levy’s, on properties. 

Michelle: Yeah, you are absolutely correct. We're, we're finding even in the, the Ada County market, depending upon what part of the town you live in. Um, Eagle for example has one of the lowest levy codes, so the taxes are lower. 

Dave: Thank you!

Thom: Haha, yup!

Michelle: And then you get to areas such as, um, South East Boise or, the, the North End you’re going to be a higher levy code and higher taxes. So again, we, we try to get somewhat granular about their expectations, where they want to be so we can give the best estimation possible to meet their expectations for payment. 

Dave: By the way, price for water is very cheap in Eagle as well. 

Thom: (Laughs)

Michelle: (Laughs) Yes it is. 

Dave: I don't pay very much for water, not like I did when I used to live in Boise, it’s quite different. So, so there really can be quite a bit of difference in the cost of the home, but then in all the stuff around it, quite a bit of difference between counties as well.

Michelle: Without a doubt, I found, um, an interesting trend that, um, Thom and I were discussing this morning. Looking at um, the housing market, we talk about move up buyers, so, so many people are now finally in a positive equity position

Thom: Correct.

Michelle: Where they are saying now we want to list with Core Group, they're reaching out to Thom, and they want to buy a new house, so we're seeing a lot of move up buyers, as we like to refer to them. So that's been wonderful to finally see people in an opportunity to be able to get into that larger house as their family grows for example. 

Thom: Exactly.

Michelle: But looking at the prices, with where houses were in the past, um, that's where there's been such a significant, um, comparison from the height of the market, which was in 2006, in comparison to where we're at now. So, in looking at the trends its comparable now for the median home price as to where it was in 2006, which i found interesting, so we're, we're pretty close to that average home price now, compared to where we were at the very height of the market.

Thom: Exactly.

Michelle: SO, we've come a long way in comparison, um, half way through that process, the average the home price was down to around $150,000. 

Dave: Well let me ask you guys this question, because right when all the houses ... I, I mean it was crazy, it was crazy at that time. Are we at a more, as you see it economically, stable situation, that were not sitting on top of a bubble, or is there, do you think in your, your opinion, is there a bit of a bubble out there?

Thom: My opinion is not. I think were, with just the way the rates are right now, and with the, um, consistency of... I think we’re going to see some leveling out, and that's just my opinion, there is no scientific fact to this. Like, everybody has an opinion, but my opinion is that we are going to see some leveling out of the home prices here shortly. Um, I think there is just, you know, with uh, with uh, politics, and with all the you know elections and stuff I think there is some, you know, hesitance and that's why people aren't listing and, and whatnot, but i think that we might run into a little bit of a balancing out here towards the end of the year, um, but yeah, as far as the bubble, there's just so many people on just both sides of it, yes there's a bubble, there's not a bubble, there and its just its just so hard to predict those type of things. I personally, my personal opinion, were not going to see one. Um, ah, at least not any time soon, you know?

Dave: Not like we did before.

Thom: Exactly.

Dave: Where suddenly everything came plummeting down.

Thom: Exactly. So, um Michelle, do you have the same opinion as that or, or what's your opinion?

Michelle: Yeah, no I, I agree. I think um, on a price per square foot basis, when you look at new construction, we're definitely getting up there. Um, but when you do a comparison of where we're at now versus years ago, we had such a plummet in our market values that we had so much room where we had to come back up to a healthy market, so, although it looks like we've had some significant increase in values, I don't think its um, I think its warranted based on how far the values plummeted as a result of the recession.

Dave: I guess then another difference too, in you, you saw, and that was, at that time all you had to do to get someone a loan was check their pulse.

Michelle: Bog-ga-mere. You got it.

Dave: Yeah, if you could do that, you got a loan. It's not quite that way now is it?

Michelle: Not at all, I mean, right now the, its back to where the lending standards were years ago, we are doing full verification of income, tax returns, as it can be almost ah, an invasive process. There is not much we are not going to verify in a mortgage process. 

Dave: Well, Michelle, uh, again let’s do this quickly, we have a few minutes left here. If somebody's looking to get a loan, we talked about getting pre-qualified, what are some of the basic, what are the first steps they have to go through?

Michelle: Well, please just give us a call, 208-853-7878. One of my team members or myself would be happy to sit down with you. We'll give you a list of items we're going to have you bring in. And in that hour discussion we’ll talk about, what, what is your goals for home ownership? What is your desired payment? Where do you want to live? What do you have available for down payment if any? So we can go over the different program options and so forth. So it’ll be a, you know, a deep conversation that will go in to specifics from credit, to programs so that when they walk out the door at the end of that hour, they'll have a good idea of what they're going to anticipate for purchase price, payment and funds out of pocket and so forth. 

Dave: Is there something they need to bring to your office?

Michelle: There is plenty of stuff they'll need to bring to my office (laughs). From first born to their taxes. So yes they'll get a detailed list of what we need to have them bring in. 

Dave: Michelle Guth, who is with Diversified Mortgage, again you can call Michelle at 853-7878 if you have questions about anything we have talked about today, uh, all the way from what kind of loans are available, uh, if I'm a veteran what do I, you know, what’s available to me or even what we used to call the old farm home loans years ago. Those kind of loan options are still out there. 

Michelle: They are. Zero down, USDA and we've got a great market right outside of the Boise metro that qualifies for that program.

Dave: Perfect. We will continue on the other side. Thom and I will be talking a, a little bit more about some of the listings they have, some new listings that are out there, things that you might want to take a look in to getting into if you are looking to sell your house and as you heard right now, there is a shortage of houses to be sold, so if you are thinking about selling it, this would be a great time and Thom would love to talk to you and his staff right here at Core Group Realty. The number to call at Core Group Realty is 933-7777 or go to CoreGroupRealty.com. We’ll continue on the other side with the Idaho Real Estate Buzz here on 580 KIDO.

(Music) End Segment 3

Dave: The Idaho Real estate buzz, I'm Dave Burnett along with Thom Dallman who is with Core Group Realty, one of the co- owners and the designated broker of Core Group Realty. CoreGroupRealty.com that is the website, phone number to call would be 933-7777, easy to remember, 933-7777.

Thom: And eventually it's going to ring through.

Dave: And that's when somebody from the customer care department will answer that phone, we've talked in the past about customer care, they're not licensed real estate agents, they're not trying to sell you anything.

Thom: They're not. 

Dave: They can help navigate you through the website and uh. 

Thom: They are there simply to answer any questions that you have with the website, they're fluent, they use it every day, pretty much all the time, so yeah exactly yes. I have been known to go and say, "how do I do this again?"

Dave: Well if you do go to the website, there's several things to see, there's new listings that are on the website right now, what do you got?

Thom: Yeah, our most recent listing that's going on, that just got on this week is a beautiful little home over in the Sageland subdivision, 1720 East Sagemore Drive. It's a wonderful 4 bedroom, 2 and a half bath with a 2 car garage. 2324 square feet with a bonus room. It is a two story with a master on the main level, which a lot of people like to have that master on the main level. Umm, it's going on the market at $259,900, it's got beautiful travertine tiles and hardwood floors throughout, throughout the house, as well as Brazilian granite countertops in the kitchen.

Dave: Nice. Now where is this again?

Thom: This is at 1720 East Sagemore Drive in Meridian.

Dave: Okay, so it's a nice Meridian home, so whether you're driving to Nampa or driving to Boise or working right in Meridian..

Thom: It's super convenient.

Dave: It's convenient for everybody. That's why Meridian is doing so well. 

Thom: Exactly, exactly, and I encourage if you're looking at this type of home to try and get by it as soon as possible, or uh contact one of our buyers agents to get you into it. Our homes are selling pretty quick. This first quarter our average home sat on the market for just seven days. Uh, a lot of our homes are selling within, we just had one sell two weeks ago, three weeks ago, at uh six hours on the market, within six hours it went pending, and the sellers asked us to take it off the market so that they didn't have to deal with it over the weekend, so they're selling very quick so..

Dave: Oh that selling that house, ain't gonna want to have to deal with it over the weekend, haha.

Thom: Exactly.

Dave: Wow, that is pretty amazing. And I guess that it's a nice thing that I've found just in my relationship with Core Group Realty is that there is an honesty there, you're going to let them know you're asking way too much for this house, it's not going to sell there. And if you're not happy with that, that's fine, you have a choice to ya know deal with a different real estate agent or deal with one that's going to deal with you honestly.

Thom: Yes, exactly. So, yes we're very open with our, with all of our sellers, with the way that they list and the price that they go in at, we want to make sure that the expectations are there, like if you go at this price it may not sell for awhile, we may have to do price drops, if you go at this price this is what it's going to sell at. It's very important to be up front, for us to be up front. Integrity is one of our core values that we preach here, and it's very important to us to have that integrity and to have that uh, people actually trusting us and knowing that we're going to give them the right information. 

Dave: I think for any business in this day and age to be successful, you gotta have integrity. 

Thom: Yes. 

Dave: Because if you don't you'll be found out really quick. 

Thom: Oh very quick, yes. 

Dave: What else do you have on the new listings there?

Thom: Umm actually I don't have another new listing, I do have a property, this is one of those uh properties that we're kind of talking about, where umm, we kind of set the expectations and stuff like that, but it has sat on the market for a couple weeks. Umm but they're doing a $10,000 price reduction on the house, so umm, it's over at 3802 W. Taft in Boise, it's right off of 36th and State street, super convenient to downtown, right there by the foothills, right there by the green belt too if you like to go for runs or what not or just like to walk on the greenbelt. 

Dave: That's very close to the North end, is that considered North end?

Thom: We're right on the border, so it's still considered northwest Boise, but it's just right on the border, so I like, I live in that area too as well, so I can say, I like to say that I'm near Boise, near downtown, so umm.

Dave: Yeah, I drive through that area every day, uh on the way to the radio station, but I do know that it is close to the foothills, if you're a biker or a hiker it's right there, its right there.

Thom: Yes, super convenient. If you're a golfer, Quail Hollow golf course is right up the street from ya, so. 

Dave: What does the house look like?

Thom: So the house has been recently renovated, it's an older house that they recently went in and they redid everything, umm with granite countertops, wood floors, it’s a 5 bedroom 2 and a half bath, 2 story house as well, 2938 square feet. Nice thing about it for a downtown house, it's on .25 of an acre, which if you're familiar with the area most properties are kind of in that .18 uh size, so it's a nice big lot that it's on, and that is on irrigation as well, so you're not having to pay for city water, so that price dropped down to $300,000 this week so, the address again is 3802 W. Taft, right there in Boise. 

Dave: Alright, so if you're driving around, you want to take a look at it you can do that or if you wanna go online at CoreGroupRealty.com, you can do that. Now if you're out driving around by the way, you have an open house that goes a little bit longer today?

Thom: It's going on between 3:30 and 4, she was just gonna wait and see how uh the traffic was. But if you're out and about near the Cameron Park subdivision in Boise, we have an open house, uh its a beautiful 4 bedroom, 2 and a half bath, also a 2 story house, umm its 2184 square feet with a 3 car garage, uh listed at $268,000. The address is 13148 W. Scotfield, and that's in Boise in the Cameron Park subdivision. 

Dave: And I'll have you do this again Thom, so somebody has a GPS they can pull it out and get that address in, so get yourself ready, and the address one more time on this open house?

Thom: The address is 13148 W. Scotfield, Boise. Umm, it's SCOTFIELD.

Dave: Alright very good, and I'm sure they'll have open house signs out?

Thom: They'll have the open house signs up.

Dave: Balloons? That is the international symbol for "we have an open house."

Thom: Haha, yeah it is. It's definitely a "come see me, when you see those balloons." Haha. 

Dave: Nice. It'd be a great afternoon to get out and do that, so they'll be out there for a couple more hours, so uh jump on out there if you're in that area. 

Thom: Exactly.

Dave: And uh check out the open house that going on there.

Thom: For sure.

Dave: What are some of the things right now that you're seeing really kind of trends that we talked with Michelle earlier about uh what's ya know, trending market, but uh what's going on? It's uh interesting when you talk about all the homes that are remodeled, granite is mentioned all the time, is that pretty much one of the..you don't hear people say, "yeah, I think I'm going to go with that Formica."

Thom: Haha.

Dave: You just don't hear that. 

Thom: Yeah, uh granite is defiantly one of those upgrades that people seek, people love granite countertops, even if it's a granite tile, umm which is a bit more of a cost savings there, because of the tiles. Umm, yeah people just love the granite, it's just one of those, one of those upgrades that if you can get it into your house and do that remodel with that, it just adds that much more value to that house, and then that much more appeal. Umm, maybe not a lot of value dollar wise but a lot more appeal to the average buyer, so. 

Dave: Are you seeing when people are upgrading their existing homes like for the kitchen, are they going with hardwoods or are they going with tiles now do you think?

Thom: Umm, I'm going to actually lean towards hardwoods. Hardwoods have always been popular, I think they will always be popular, a lot of people just love that hardwood feel. One of the biggest trends that we kind of see in the Parade of Homes is the engineered woods floors, because they're really super easy to put in and they kind of come already, the wood already comes all fabricated and everything so there's no staining and stuff that needs to be done for the most part. Umm so that's a really popular trend is the engineered wood floors, they're super durable, so once they dent they don't show the marks and stuff like regular hardwood floors do because of the way they are engineered and stuff so. 

Dave: They're pretty durable. 

Thom: Yes, very much so. 

Dave: And then I guess another question I have when it comes to kitchens. Color of counters right now, I see on the TV shows a lot of white.

Thom: Painting, yeah, it is very popular right now to paint the cabinets, and white is one of those colors that people really seem to be gravitating towards, umm I'm not quite sure what the trend is for that but yeah, we're seeing more and more painted cabinets, painted white, umm. And a lot of people are doing lighter walls and darker cabinets as well so painting them those darker mocha colors and stuff like that, umm is pretty popular as well. 

Dave: Yeah, my wife has, she wants white cabinets I should say, and then some real dark mixed in with it, it's like, "look at all this nice wood, why would you wanna do that?" So it's I guess one of those trends people are doing in their homes. 

Thom: Exactly.

Dave: As we get ready to close out this show I do want to mention a couple of things about the website, if you have any questions at all, you can call Core Group Realty and somebody will help you out. And that number, 933-7777, whether it's a Saturday or a Sunday...

Thom: There's always someone available, we always either have, if our customer care people happen to be off because they are people they work their eight hours a day, exactly. The phones do get turned over to our agents and so forth, so there’s always someone available to answer the phone calls at all times. 

Dave: Which is nice because you know if you're there, it's 8 o'clock Saturday evening and you suddenly have a thought about a home, you can call and ask somebody. And they don't mind answering the question.

Thom: Yeah, exactly. 

Dave: CoreGroupRealty.com is the website that you can go to to check out all of that information. And Thom if somebody wants to get ahold of you uh basically you're available 24/7 for people aren't ya?

Thom: I'm always available, yep. I was up until 9:30 the other night helping one of my agents, one of my newer agents with a contract, helping him make sure that he had all of his T's crossed and I's dotted and everything. So yes, I'm always available, umm uh myself as well. So whenever anybody has any kind of question I'm there for 'em. 

Dave: And their easy to find right here located on Emerald street. What is the address number here?

Thom: Sure, its 8665 W. Emerald Street here in Boise, we're right down the street from the Boise Square Town Mall.

Dave: Yep, ya just come West, you can't miss it its right there on the south side of the street, beautiful glass building, glass front on it so come on by and see them during the week days when their hours are open, otherwise go to CoreGroupRealty.com which is the website. We'll do this again next Saturday, and if you have any questions what so ever, you can always email Thom, what is your email address?

Thom: My personal email is Thom, which is spelled with an H, I do mine a little weird, it's Thom@CoreGroupRealty.com.

Dave: Thom with an H so or if you want to call him THom, you can call him..

Thom: Yes, I've been called THom a lot in my life. 

Dave: Haha, you can shoot Thom and email or you can email me here at the radio station as well. We'll do this again next Saturday, it's called the Idaho Real Estate buzz, as we talk all things real estate. And really it's not just about selling you a house, cuz they can do that, they can sell you a house, but it's about making you a home owner, they're proud to be that person to sell that home and what's right for you and to give you knowledge and power to move forward in buying and selling your home. I'm Dave Burnett along with Thom Dallman of Core Group Realty, the designated broker and co-owner of Core Group Realty. We'll continue next Saturday here on 580 KIDO. 

(music) End Segment 4

 

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