Keller Williams Realty is now home to over 94 of the top realtors in Alaska and is open for business in the Key Bank Building at 101 West Benson Blvd. Suite 503 on the top floor. After returning from the KW Mastermind event in Austin, Texas, which is a gathering of the top realtors in the country assembled to discuss the current market trends, and how to be more effective, we return armed with the latest graphs, videos, and training materials, unmatched in the real estate industry, we are pumped up and ready to take advantage of the current market.
Team Leader Cody Gibson announced the opening of our new Mortgage Company, Metro Alaska Mortgage, in the Key Bank building on the 2nd Floor. Mortgage Specialist Christie Hudson has just returned from extensive training and is ready to get our mortgage company rocking.
Real Estate activity has dropped off a bit, but still remains healthy as of 11/11/2007. Interest rates are bouncing between 6.0% and 6.5 %. It is still very busy, although it does look like we are seeing a few more price reductions than we have been seeing and inventory is rising a bit.Total residential sales as of 10/31/2007 were 2,141, compared to 2,348 last year at this time, or a 9% decline, but the average price increased from $315,768 to $330,412 for a 5% increase. Inventory was reported to be 5032 at the end of October compared to 4,920 at the same time last year, for a 2% increase.
This is the story for Anchorage at this time. Land prices, building materials and labor, are all increasing at a dramatic rate. Prices are flattening a little, but interest rates are holding, so if you are considering purchasing, waiting is not going to get you a better deal. NOW is the time to buy. Inventory is higher than last year, making selection and pricing more attractive.
Based on the numbers, it is still a sellers market, as evidenced by a 5 month inventory of homes. This applies to homes under $350,000. Between $350,000 and $500,000 it is slightly a buyers market, and over $500,000, it is a definite buyers market. It is considered a sellers market under 6 months of inventory and a buyers market at over 6 months of inventory.
Anchorage's market is very healthy and homes are still selling. There are more homes on the market which means you have to be in the lowest 20% of your price range on price, and the top 20% in condition. It seems to me that a lot of people would like to sell at this point and take their profits, but fear of being able to afford a replacement is keeping some people in their current home. I have witnessed some of my buyers, that bought in the last few years, cashing out and making a very nice profit on their investment. So real estate continues to be a solid performing asset, when it comes to investments. It is still possibly the best investment one could make! Call me and I will go over the return you can expect in the current market. IF YOU ARE WAITING FOR THE BUBBLE TO BURST, DON"T!