In Idaho, when they worship the ground they live on, falling home prices are history.

True story.

Call it the "Temple Effect."

In Twin Falls, Idaho, after they broke ground on a Church of Jesus Christ of Latter-day Saints, vacant lots around the temple site doubled in value and demand for housing surged, according to the Twin Falls Planning and Zoning Commission.

The same thing happened further north, in Rexburg, where a temple dedication is due in February this year.

Wherever Idahoans approve a Latter-day Saints temple, the faithful grab land nearby and flock to the area to buy homes.

There's really nothing mysterious about it. What appears to be a heavenly hedge against falling home prices is simply a matter of supply and demand housing economics.

Just as some home buyers want to live near good schools, the faithful like to congregate near the limited number of Mormon temples. Unlike those who visit Mormon chapels in the 13-million member church, only Mormons in good standing with the church are allowed full access to a temple.

But only four of the 124 Mormon temples in the world are in Idaho. Two older temples are in Boise and Idaho Falls.

Idaho Falls, by the way, had the nation's sixth fastest appreciating housing market in the third quarter, according to a federal home price index. The state of Idaho itself ranked sixth in home price appreciation among all the states in the nation.

Realtors can't use temples as a selling point because of the Fair Housing Act, but motels and other developers can boast a "view of the temple."

A temple's soaring spires are architectural eye candy and the Mormon faith is a powerful draw in Idaho, but the "Temple Effect" doesn't get all of the credit for rising home prices in the Gem State.

Natural resources, a strong economy and job growth in major population centers also help boost home values.

Published: January 11, 2008

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Broderick Perkins parlayed a career in old-school journalism into a contemporary digital news service that really hits home. The award-winning consumer journalist, originally from Wilmington, DE, is founder, publisher and executive editor of the bootstrap DeadlineNews Group, a Silicon Valley-based editorial content and consulting service specializing in residential real estate, consumer news and related editorial consulting services. The DeadlineNews Group includes the website, DeadlineNews.com, offering real estate editorial content and consulting services, and its back shop, the Deadline Newsroom, an open house on news that really hits home. Perkins obtained his formal journalism education from University of Delaware and a journalism boot camp, the Institute of Journalism Education at the University of California-Berkeley. He went on to 20 years of service as a daily newspaper journalist at the Wilmington, DE News Journal and San Jose, CA Mercury News. Perkins covered housing on the San Jose Mercury News reporting team which earned a General News Reporting Pulitzer Prize in 1989 for coverage of the Loma Prieta earthquake. He has also produced real estate, consumer and small business content for the Wall Street Journal, Los Angeles Times, RealtyTimes.com, Nolo.com, Better Homes and Gardens, the National Association of Realtors, Homestore/Move and Intuit/Quicken among more than three dozen publications. In addition to managing the DeadlineNews Group, Perkins most recently served as chief editorial consultant for Nolo's Essential Guide To Buying Your First Home, Nolo, and writes real estate television scripts for RealtyTimes.com.