I'm seeing a huge drop in rental inquiries... are you?

[Amanda Thompson]

Hi all! This fall has been dead! I don't know what to do... we have 6 brand new, gorgeous townhomes we just built. They are in a private community, with grass, a gazebo, stainless steel appliances... needless to say, they're in a desirable location and anybody would love them. WHY have I only received ONE application in the past month?? I'm curious about other markets, but if you're from Boise let me know what is going on. I lowered the rent dramatically compared to our other rentals, and am running a move-in special for $500 off. I posted on Craigslist, Facebook, and purchased an ad package from apartments.com. We even made flyers! The one application I received was from someone totally unqualified, too! We have some other rentals available at this time, but I'm really worried about these new ones. 

[Greg M.]

I'm nowhere near the Boise market, but it's been on my radar.

If what've I've been reading is accurate, Boise is going to be an interesting case study over the next couple years. It is supposedly the most overpriced area in the US based on historical patterns. It sounds like the city is seeing an outflow of residents - mainly those recently arrived residents. Supposedly 3/5 homes on the market have reduced their price since listing and it was the first major market to see a price drop. 

My guess is that all that California cash that was making your market go crazy is drying up. Rents went up super fast as non-locals outbid locals for homes and forced people into renting. Maybe this is the start of the correction as the non-locals flee?