The Gem State is fueled by the small and medium enterprises that have been spared from the brunt of the financial crisis. However, the large companies involved in technology and retail have laid off a significant portion in their workforce. This year, more employees are expected to receive support from unemployment insurance following the 12,000 job cuts in December alone. RealtyOutlook.com expects foreclosures to rise along with more nonfarm jobs vanishing in the state. However, this should be mitigated by borrower-friendly mortgages that can be availed by troubled homeowners.

After a polemic dispute between mining employers and laborers that led to the downfall of the entire Kellogg mining industry in the 80’s, the city is poised to sustain its growth with the proliferation of skiing resorts, hotels and golf courses. But the recent retarding of the travel industry has reduced the number of tourists in the city. As a result, home sales will remain low throughout the year with home values dropping by 13 percent.

Boise, the most populous city in the state, is making a comeback in the property markets with a reported plunge in home inventory of for sale homes and foreclosures. It’s a sign that the local market may have reached the bottom but in terms of home prices, the city’s impressive 50 percent hike until 2006 will still take more than a year to rebound. Expect an 11.5 percent fall in home values this year.

Nampa’s situation isn’t any better at all. In fact, the second largest city in the state’s real estate market has been slowing down since early last year. The high incidence of foreclosures has forced mortgage providers to restrict their lending. Overall, consumer confidence has dwindled and until now, no indications of recovery are apparent. RealtyOutlook.com expects home prices to deflate by 12.5 percent.

The healthcare economy of Idaho Falls may escape the impact of the recession but home sales are suffering terribly. It is forecasted to remain languid all throughout the year with a 10.5 percent further drop in values. Also, fewer migrants are expected to relocate in the Eastern Idaho region.

The city of Coeur d’Alene has been struggling with its real estate industry. Construction of new homes remains sluggish as unemployment incidence has gone up. Locals are making ends meet by launching startups no matter how dire the economic landscape is but his won’t be enough however to spur home sales. RealtyOutlook.com forecasts a 10.5 percent drop in home prices until the last quarter of the year.