Shocking Report: Idaho More Unaffordable to Home Buyers Than California

Home buying is a contact sport in Idaho. Buying a home is a challenge whether you live in the Treasure Valley, Magic Valley, North Idaho, or anywhere else in the Gem State. 

The pandemic accelerated the mass migration to Idaho from folks all over the country. Over the weekend, I met a contingent of Texans who have happily found their dream lives in the Gem State.

According to data released by the National Association of Realtors and reported by the Idaho Capital Sun, two Mountain West states lead the nation in high costs. The report ranked Idaho and Montana as the most unaffordable states in America. This may come as a surprise to many, who would typically consider California as the most unfriendly state for home buyers.

The Golden State is filled with expensive taxes, high crime rates, and home insurance that is either denied or unaffordable.

However, the report states the pandemic fueled not only the demand but also the costs of home ownership in Idaho and other states. From the Idaho Capital Sun:

'Since the pandemic, two states, Montana and Idaho, have surpassed California as the most unaffordable states for local homebuyers, according to the analysis. Hawaii and Oregon round out the list of the five least affordable states.'

Is Idaho the least affordable state in the union, according to the National Association of Realtors? Here are the most affordable states for home ownership.

1. Iowa
2. West Virginia
3. Ohio
4. Indiana
5. Michigan

The Least Affordable States:

1. Montana
2. Idaho
3. California
4. Hawaii
5. Oregon

Idaho home buyers and sellers could get good news if the Federal Reserve cuts the interest rate. Depending on the amount of the cut, the resulting cut will have a domino effect, lowering interest rates on home mortgages.