Looking to finance a home in Boise? It could cost over $1 million. Here are the numbers
The prospect of purchasing a home in Idaho is a daunting one.
The Gem State has a housing shortage for low-income residents, while prices keep rising for those who are saving to purchase a house. The cost to buy a home in Ada County enjoyed a slight dip through the first half of 2023 but is back on the rise again, with houses averaging more than half a million dollars.
And any homeowner can tell you that unless you’ve got the money to pay for a house up-front, the price on the label isn’t going to match what you ultimately end up paying. Most individuals pick up a mortgage to finance the home and end up paying as much interest as they do on the initial price of the house.
The financial company SmartAsset recently conducted a study on which Idaho counties are the most expensive for homebuyers once you factor in interest rates. Unsurprisingly, Ada County made the top 10, but it’s not No. 1.
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Idaho’s most expensive counties to finance a house
The following list ranks Idaho’s top 10 most expensive counties to finance a home. Data was calculated using median home values from Zillow, applying the estimated interest rate from each county using data from the Federal Home Loan Mortgage Corporation, and calculating the overall loan payments on a 30-year fixed rate mortgage at a 20% down payment.
Each county will list the median home value, estimated interest rate, total paid in interest, and then the final price that will be paid:
Blaine County
Median home value: $862,566
Interest rate: 6.95%
Total interest: $954,418
Total cost: $1,816,984
Teton County
Median home value: $660,931
Interest rate: 7.13%
Total interest: $753,680
Total cost: $1,414,611
Valley County
Median home value: $639,371
Interest rate: 6.95%
Total interest: $707,455
Total cost: $1,346,826
Bonner County
Median home value: $569,114
Interest rate: 6.95%
Total interest: $629,717
Total cost: $1,198,831
Kootenai County
Median home value: $551,352
Interest rate: 6.91%
Total interest: $606,090
Total cost: $1,157,442
Adams County
Median home value: $473,553
Interest rate: 6.95%
Total interest: $523,980
Total cost: $997,534
Boundary County
Median home value: $463,266
Interest rate: 6.95%
Total interest: $512,587
Total cost: $975,880
Ada County
Median home value: $498,768
Interest rate: 6.14%
Total interest: $475,113
Total cost: $973,880
Jefferson County
Median home value: $436,938
Interest rate: 7.13%
Total interest: $498,255
Total cost: $935,193
Gem County
Median home value: $430,011
Interest rate: 7.13%
Total interest: $490,355
Total cost: $920,366
Where are Ada County’s most expensive houses?
If you want to settle down in Ada County long-term, current mortgage rates could see you spending up to $1 million over a 30-year fixed loan.
But prices do vary across the county. If you’re looking to be close to downtown, you’ll pay a premium, while a house in Meridian or Kuna will be more affordable. The following interactive graph, using Zillow data, shows a home’s average price by ZIP code.
According to the data from Zillow, Ada County’s most expensive ZIP code is 83712 in east Boise, with the average house value coming out to $747,328. Over a 30-year fixed mortgage with an interest rate of 6.14% and a down payment of 20%, you’ll end up paying $1,310,175.
The same calculations used for Ada County’s cheapest ZIP code, 83705 in the Boise Bench, which has an average home value of $407,438, will result in a final payment of $714,577.
