Key Takeaways
- Boise’s housing market sees an 11% price increase and 9,000+ new residents, sparking an aggressive investor pivot toward rental developments.
- Build-to-rent (BTR) communities are dominating investor attention, especially in fast-growing submarkets like Meridian and Nampa.
- Tight inventory and low rental vacancies are creating strong cash flow opportunities, with cap rates holding between 5.5% and 6.4%.
Boise, ID — The Boise housing market is once again flashing red-hot.
According to new data from the Idaho Housing Alliance, the city saw a staggering 11% increase in median home prices year-over-year, driven by a fresh wave of out-of-state buyers and a deepening supply shortage.
The city’s population grew by over 9,000 residents in the past year, fueled by inbound migration from California, Oregon, and Washington.
With housing inventory down nearly 18% and new listings struggling to keep pace, investors are rapidly shifting their attention toward build-to-rent (BTR) communities and suburban multifamily projects.
Build-to-Rent Boom Gains Momentum
The BTR model is emerging as a primary play for real estate investors hoping to tap into Boise’s rapidly evolving rental market.
Several new BTR communities are under development just outside city limits, including in Meridian, Nampa, and Kuna.
Boise Market Metrics (Q1 2025):
- Median Home Price: $468,000 (+11% YoY)
- Rental Vacancy Rate: 2.3%
- Population Growth: +9,130 residents
- Top Investment Zones: West Boise, Southeast Meridian, Nampa outskirts
High Demand, Low Inventory = High ROI
With renters outnumbering available units, cash flow in Boise’s rental properties is climbing.
Cap rates remain healthy in the 5.5%–6.4% range for small multifamily and BTR assets. Investors entering now can capitalize on the wave of demand before supply chains catch up.
Assessment
Boise is proving itself again as a real estate magnet for both residents and investors.
While the supply crunch creates challenges, it also opens the door for strategic development plays, especially in the build-to-rent space.
Investors who move quickly and think beyond single-family acquisitions can ride this demand wave to strong, sustainable returns in one of the Northwest’s most dynamic markets.
