Alaska Real Estate Trends

4/13/2009

We have finished the 1st quarter of 2009.  How has it effected you?  Did the press influence how you spend your income? 

At a local level my first impression of the economy is that it is good.  Do you agree? or Disagree?

In Eagle River Alaska the economy seems good, and the real estate numbers reflect that statement.  The number of homes sold are up 15%.  Our office was up 152% in the first two months of the year, and march was a plus month but not by as much.  When I read the different publication, Alaska Journal of Commerce, the Petroleum News, and The Anchorage Daily News, I get a different sense. 

There are good positive stories that show we are moving forward, but there are more spelling out the gloom.  The best number I've seen is only a slight up tic in unemployment, and a drop in Foreclosures.  The number of homes on the market is less than last year and the market time is staying pretty consistent.  We have seen a slight drop in value in some price ranges and this is expect with some of the deflation we've seen.

The Stock Market is moving up and I am glad to say I have seen positive growth.  As spring quickly approaches the out look is good.  There will be good deals, and interest rates are at an all time low.  The low interest rate are allowing home owners to lower their payments.  The real estate market appears stable for now.  A bright spot is the new construction segment.  as inventory levels there is a small amount of renewed interest in building homes.  Lot sales are up and there are several new homes under construction in Eagle River.

All in all I believe the the sky is not going to fall.  We all have to work a little harder, spend our money more wisely, and save a little for the future.

Eric Bushnell Comment