Current Oceanview Real Estate Sales Data

The information in this summary report regarding current Oceanview listings and sales activity is updated at least weekly.  For the purposes of this blog, and in order to effectively research the MLS database, I have defined Oceanview Homes as having a legal description beginning with either “Oceanview” or “Flying Crown”.  There are a total of 556 single family homes in the Oceanview neighborhood meeting this definition.

As of February 2, 2017 we have one Oceanview home currently listed for sale in the Multiple Listing Service.  Click on “Oceanview Homes for Sale” in the black Menu Bar above to access the link to daily updated, interactive listing reports for all MLS listed Oceanview homes currently for sale.

Here is a recap of activity over the past couple of months:  On November 3rd, the list price for 701 Harbor Circle was reduced by another $5,000 to $369,900.  On November 4th, 12911 Admiralty Place was listed for sale at $379,000.  On November 8th, it became a pending sale after 4 days on the market.  On November 10th,  the sale of 1325 Oceanview Drive closed and recorded.  On November 15th, 12741 Kayak Drive was listed for sale at $335,000, 12807 Nora Drive became a pending sale after 176 days on the market and the sale of 211 Galleon Drive Drive closed and recorded.  On November 16th, 211 Mariner Drive became a pending sale after 93 days on the market and the list price for 711 Bounty Drive was reduced by another $10,000 to $329,700.    On November 22nd,  the sales of 13106 Beach Circle and 620 Clippership Court closed and recorded.  On November 28th,  the sale of 12911 Admiralty Place closed and recorded.  On November 30th, the listing of 701 Harbor Circle expired.  On December 1st, 800 Lighthouse Court was listed for sale at $395,000.  On December 9th, 12741 Kayak Drive became a pending sale after 24 days on the market.  On December 12th, 120 Bree Avenue became a pending sale after 223 days on the market.  On December 16th, the list price for 800 Lighthouse Court was reduced by $5,100 to $389,900.  On December 19th, the sale of 211 Mariner Drive closed and recorded.  On December 20th, 800 Lighthouse Court became a pending sale after 18 days on the market.  On December 29th, the sale of 12807 Nora Drive closed and recorded.  On January 9th, the sale of 120 Bree Avenue closed and recorded.  On January 11th, the sale of 12741 Kayak Drive closed and recorded.  On January 13th, the list price for 711 Bounty Drive was reduced again by $2,000 to $327,700 and it became a pending sale on January 25th, after 191 days on the market.  There are currently two Oceanview homes listed as “pending” sales in the MLS, meaning they are under contract with a buyer and should close within the next month or two.

In the past twelve months, a total of 32 Oceanview/Flying Crown Subdivision single family homes were listed in the MLS and sold.  The multi-million dollar sale of 960 Coral Lane is left out of the following numbers in order to get true averages.  The average home sales price in Oceanview/Flying Crown Subdivision was $399,999.  The median sales price was $374,000.  These homes sold in an average of 85 days from their original listing date to their sale pending date, at an average reduction of $30,665 from their original list price.  In 20 of the 32 sales, the seller paid an average additional $6,903, assisting in buyer’s closing costs.  Just remember, these are average numbers.  Some sales went much faster, with little or no price reductions.  Others took much longer, with major price reductions.  Location, condition, price and marketing are major factors in the final result.

Because of the following: a. Alaska is a “non-disclosure state”, b. the MLS is a private database, and c. this is a public website…..I cannot provide additional private, Oceanview sale specific information, including sales price.  With that said, the MLS does have a public website with listing reports, photos, etc., of all MLS listed homes currently for sale, along with limited sales statistics and numerous informational links.  Click on http://www.alaskarealestate.com/ to go this site.

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2016 Year-End Anchorage Area Real Estate Market Analysis

As of January 6, 2017….. the full-year local real estate sales data for 2016 has been compiled and released by the Alaska MLS.  As a result, the following is my analysis of last year’s Anchorage area real estate market activity:

A. Residential Single-Family Homes

21st Century History: The Anchorage area real estate market appreciated strongly from the beginning of 2000 through 2007.  During that time, we saw an average single-family sales price increase of over 86%, from $175,590 to $327,070.  However, from 2008 through 2011, the market was quite timid and moved down slightly with an average single-family sales price reduction of 1.6% to $321,958.  We saw price stagnation in the low to middle price ranges (up to $400,000) and depreciation in the upper ranges (above $500,000).  We finally broke through again in 2012 with moderate, but steady sales price increases through 2015 in the low to mid-range price (up to $500,000).  We ended our somewhat stagnant 2016 with an average single-family home sales price of $366,080.  This was a decrease of $756 from 2015, but a 13.9% increase over the past five years.

The median sales price actually gives a truer picture of market activity.  The median sales price in 2014 was $321,000.  In 2015 we finished up 2.49% at $329,250 and 2016 saw a slight increase of 0.23% to $330,000.  Median sales price gives us the price wherein the same number of homes sold above that price as below it. In comparing the minor annual percentage differentials between average sales price and median sales price, it tells us that the majority of single-family homes sold for less than the average sales price and a few ‘million dollar plus’ sales boosted the average sales price. This helps to confirm the fact that Anchorage has made some positive sales and property value progress over the past five years, but definitely slowed down in 2016.december-residential-sales-average-sales-priceThe number of single family homes listed for sale in 2016 was up 25.5% over 2015.  That’s a huge jump over the 5.3% increase we saw in 2015 over 2014.  The number of homes actually sold was actually down 1.9%.  That’s another definite shift from 2015 when sales were up 6.3% over 2014.  In addition, single family homes in 2016 sold 13% slower than they did in 2015 with an average time on the market of 51 days.  With that said, 51 days is not a bad timeframe for those homes that sold.  However, we definitely saw a market shift in 2016, down somewhat from the positive single family home sales trend we began to see in 2012, giving us strong sales four years through 2015.  It’ll be interesting to see what 2017 has in store for us.  Just like I said in last year’s report at this time……”although we’ve seen a recent significant drop in oil prices, the retail/commercial sector of the Anchorage area market continues to grow”.  This year we’re facing another significant state budget deficit, and an interesting political arena attempting to mitigate the issue.  With that said, Alaska’s deficit is far less than the Federal Government budget deficit!  It’ll be interesting to see if there are any positive effects on Alaska as a result of our new president and his administration.  At least Alaska now has among other things, a Permanent Fund balance in excess of $50 billion as of January, 2017.  I strongly believe that we’re not looking at a repeat of the mid 1980’s crash, but with that said, time will tell if and how much the real estate market is actually affected.  So far, the actual results have been good, but we definitely saw slowing in 2016!december-residential-active-listing-inventorydecember-residential-sales-number-of-unitsdecember-residential-properties-a-look-at-supply-and-demandToday’s interest rates (as of February 1, 2017) for a conventional 30 year mortgage are currently at 4.25%, up 0.25% from this time last year.  Rates were moving up in 2013, but slowly came back down in 2014 and slowly rose again in 2015, then back down in 2016…..until Donald Trump was elected…..and we saw them spike up almost a full percent to their current rate.  Hopefully, rates will stay where they are, or move up slowly if they continue to rise.  When you look at the 30 Year Mortgage Interest Rate Graph below, you get some instant appreciation for current rates.  A fixed rate loan guarantees the rate is locked for the life of the loan.  If you have a variable rate loan, or wait a while to buy while rates move up…… just a one percent increase means you pay $250 more per month on a 30 year, $300,000 loan!  With that said, loans are more difficult to qualify for now than they were just a couple of years ago.  If you are a buyer who qualifies for a loan in this market, it’s a great time to be looking and buying, due to current rates.  I remember back in the 1980’s when I had to pay a 9.5% rate on my 1st mortgage and 13.5% on a 2nd mortgage.  That was ridiculous!  We should all have a long term goal of eventually paying off all mortgages and living debt free.  I’m there, and I’d like to help you get there if you have any questions.2016-mortgage-interest-rates-graph2016-30-year-mortgage-history

B. Condominiums

After years of merely limping along, Anchorage area condominium sales finally took off in 2013 with a 15.5% upswing in the number of units sold.  2014 sales were up 4.25%, but we saw a minor 1.1% drop in 2015 and a 5.3% drop in 2016.  Back in 2013, condominiums sold 22% faster than 2012.  2014 continued the momentum with sales averaging 55 days, 12% faster than 2013.  In 2015, sales averaged 58 days and 60 days in 2016.  Frankly, that’s still a very good market time number with inventory numbers still in a very reasonable range.  And, the average sales price in 2016 was almost identical to 2015.december-anchorage-condominium-number-of-unitsIn 2016, the average condominium sales price was $213,058 vs. $213,071 in 2015.  The 2015 price was up $7,291, or 3.5% over 2014.  Average sales prices were also up 1.2% in 2014 and 4.2% in 2013 when they finally jumped out of the $190,000-199,000 range they’d been hovering in from 2008 to 2012.  december-anchorage-condominium-average-sales-priceCondominium sales vary considerably from complex to complex. Sales success rates are very dependent upon available financing, i.e., is the complex FHA, VA and/or AHFC approved?  Is the homeowner’s association well-managed with reasonable dues and adequate reserves for future capital expenditures such as roof replacement? Is the complex in a reasonable location and make for a nice neighborhood? Is it new, newer or old construction? Is it apartment style, attached, detached, covered parking, garage, etc?december-anchorage-condominium-a-look-at-supply-and-demand

C. Conclusion

We had a solid year for Anchorage real estate in 2016.  As mentioned above, the drop in oil prices, state budget deficit, presidential election results, etc., have created some areas of concern in the local economy, so it will be interesting to see how things play out in 2017.  Due to vacant land shortage, we continue to see more and more high density new construction in the form of condominiums, townhouses and multi-story complexes.  Long term predictions are difficult to make since there are so many factors over which we have no control, but history tells us that real estate is one of the best long term investments you can make. With a consistently growing population, housing in Alaska and the U.S. in general will continue to be in demand. Baby boomers may be downsizing, but younger generations are looking to upsize. Tastes will change, housing will change, etc., etc., but the overall demand will be there.

The Municipality of Anchorage is a rather diverse market with significant differences in various areas and price ranges. As always, ‘location, condition and price’ have a significant bearing on how quickly a home sells! Not to mention…..make sure you have information and expertise with a good and caring Realtor helping you buy or sell your home!

The charts and data used in this publication are copyrighted by AK MLS, Inc. No portion may be reproduced, redistributed or retransmitted without the express permission of AK MLS, Inc. Further, AK MLS, Inc. does not warrant the accuracy of the information or data contained herein.

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Old Seward/Oceanview Community Council Meeting 7:00pm, February 15th

Notice:  Old Seward/Oceanview Community Council meetings are  held in the library at Oceanview Elementary School, typically on the fourth Wednesday of the month at 7:00pm, except during summertime when school is closed and the occasional month when it happens to be on the third Wednesday of the month due to holidays or other events.  The next meeting will be held on Wednesday, February 15th at 7:00pm.  Plan on attending to get more connected with what’s going on in your neighborhood!  Click here to go to the Old Seward/Oceanview Community Council website where you can  access agendas, meeting minutes, bylaws, archives, etc.

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October 18, 2016: Johns/Klatt Road Intersection Roundabout Conversion Update

The intersection at Klatt and Johns Road has been shifted back to the more normal two lane, four way intersection format that we’ll see until Spring, 2017.

History:

We’re seeing considerable changes take place at the intersection of Johns Road and Klatt Road as it undergoes reconstruction, converting it to a roundabout.  We’re also seeing considerable changes in the time estimates as to when construction related road closures will take place and when this project will be completed .  Per my previous conversations with the Alaska Department of Transportation and QAP (primary contractor), this project was initially scheduled for completion by the end of October, 2016, but is now scheduled for completion by June 30, 2017.  Work is currently on hold during winter.  Normal traffic will continue with no construction activity again until Spring, 2017.  At that time, they currently predict at least another eight weeks of work, including at least three weeks of full intersection closure in order to complete construction by the end of June, 2017.

The project managers I spoke with indicated that there are several causes behind delays moving the projected completion date to the middle of next year.  They said delays YTD revolve around the extensive amount of utility relocation, as well as work-limiting rainfall.  They also said that extensive concrete work (including retaining walls and the center of the roundabout), as well as application of a high friction asphalt surface treatment cannot be done in cold weather.  The asphalt surface friction treatment requires a 30 day above freezing temperature cure time and concrete cannot experience freezing temperatures while curing.

This project had been in a planning phase for the past three years.  The contract was awarded to QAP, Quality Asphalt Paving, the same firm that completed the Johns Road upgrade several years ago. Both Klatt and Johns roads are owned by the state, so the Construction Project Manager is Erica Moore with the State Department of Transportation.  Work started on June 20, 2016.  The initial estimate was that the first six weeks of construction activity would primarily involve relocation of the numerous utilities buried in the area.  This required a temporary widening of the southern portion of Klatt Road to allow two-way traffic to continue.  The northern side of the roadway was closed in order to allow workers and heavy equipment to bury utilities and bring in landfill.  A three week-long, full intersection closure was initially forecast to start in the last week of August, then it was changed to September 6th, but now it’s been changed to SPRING 2017.  The State DOT also initially estimated that the northern portion of Johns Road would be closed until the first week of August, but eventually changed that to October 10.  It was finally opened as we neared the end of October.  The Johns Road closure from Deerfield to Klatt was initially scheduled from 6:00am September 6th to 6:00am September 13, but changed to 8:00pm September 9th to 6:00am September 12th and 6:00am Saturday, September 24th through 6:00am Monday, September 26th.  This made for weekend only closures that I think reduced safety issues for School Bus drivers having to alter their routes into more dangerous weekday driving conditions during the initially scheduled weekday closure.  Example: Turning north onto the Old Seward Highway from 120th.

The DOT has opened a Klatt Road and Johns Road Roundabout and Improvements Website with promises of weekly project updates, including roadway closure notices.  Go to: http://www.alaskanavigator.org/projects/klatt-road-and-johns-road-roundabout-and-improvements to view the latest project updates.

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2016 3rd Quarter Anchorage Area Real Estate Market Update

The Alaska MLS compiles statistical information regarding local real estate sales activity on a monthly basis and makes it available to real estate licensees by the 15th of the following month.  The following is my analysis of Anchorage market statistics through the end of September, 2016 for single-family homes and condominiums.

Statistics for the first nine months of 2016 show that we continue to have a good Anchorage area real estate market for single family homes in the price range up to $750,000.  This is true even though there are currently approximately 14% more homes for sale than this time last year.  With that said, there’s less than 3.9 months of inventory for sale under $500,000 and 5.4 months of inventory in the $500,000 to $750,000 range.  That meets the definition of a seller’s market up to $500,000 and a normal market in the $500,000 to $750,000 range.  It’s also a reflection of the fact that we’re beginning our annual movement into the slower winter real estate season.  It’s still a buyer’s market above $750,000 with 8.4 months of inventory in the $750,000 to $1,000,000 range and 31 months of inventory above $1,000,000.

The number of homes sold in all price ranges in January were down 17% from last year.  February and March were down less than 1% from their respective months in the previous year.  April was down 9%.  May was down 5%.  June was down 9%.  July was down 4%.  August was up 16% and September was down 11% from each of their respective months last year.  Overall year to date, the number of homes sold is down 3.86% to the same period last year.  The average marketing time (listing to accepted offer) has taken 48 days year-to-date.  That’s about 6% slower than last year, but still a good number.  These homes are also selling at an average sales price very close to last year…..down just less than 1%.  The average single family home sales price for the first nine months of 2016 was $365,467, vs. the 2015 first nine month average of $369,047.

Bottom line, the number of homes sold year-to-date and their average sales price are down somewhat from the same period last year, but up from the same period in 2014.  The charts below spell out some of this information out in more detail.  Statistics can vary considerably month to month, but overall it gives us a pretty good picture of how things are currently looking.

september-residential-active-listing-inventoryseptember-residential-sales-number-of-unitsseptember-residential-sales-average-sales-priceseptember-how-much-does-a-home-in-anchorage-cost-todayThere are currently 30% more condominiums for sale than this time last year and the number of sales YTD are down 10% from the same period last year.  With that said, current inventory for sale is still within the normal range of 4.85 months at current sales rates.  However, inventory numbers can vary considerably in different price ranges, such as 2.9 months of inventory in the $150,000-$170,000 range and 8.75 months in the $300,000 to $400,000 range and 11.1 months in the $500,000+ range.   The average condominium sales price year-to-date is $211,276, vs. last year’s $211,901 for the same time period.  Therefore, the average YTD sales price is down, but less than a half percent to the same period last year.  The average time on the market is 57 days vs. 59 days for the same period last year.  These numbers tell that so far, there’s been a climb in inventory and sales are down somewhat from last year, but condominiums are not really taking any more time to sell and sales prices are hanging in there.

september-anchorage-condominium-number-of-unitsseptember-anchorage-condominium-average-sales-priceAn item that I continue to watch closely is mortgage interest rates.  Current rates for 30 year fixed rate conventional mortgages are 3.5%.  30 year FHA & VA mortgages are at 3.25%.  That’s historically very low!  Bottom line, current interest rates are very low and have a positive impact on the market.  Here’s an example of the difference in monthly principle and interest payments for a $300,000 mortgage at 3.25% and 5.25%:  3.25% monthly P&I pymt – $1,305.62   5.25% monthly P&I pymt – $1,656.61.  That’s a difference of $350/month for 30 years.  It definitely adds up over time!  I can’t make a future rate forecast due to the numerous unforeseeable financial, political and world event factors that can impact rates.  It’s even more interesting this year due to the political arena surrounding our presidential election.  Rates may remain stable for a while, but I definitely foresee them going up sometime in the future.  This concludes my 2016 YTD analysis.

The information or data used in this publication is copyrighted by AK MLS, Inc. and no portion may be reproduced, redistributed or retransmitted without the express permission of AK MLS, Inc. Further, AK MLS, Inc. does not warrant the accuracy of the information or data contained herein.

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Crime in Your Neighborhood – How to Learn More

We all want to understand what’s happening in and around our neighborhood and ensure that we’re living in a safe area.  Communication with our neighbors gives us some information, but considerably more data is available through the web.  Occasionally, we’ll see something posted on our neighborhood’s  nextdoor.com website, but to get real-time detailed information, our Municipal and State websites contain vast amounts of timely public information regarding our neighborhoods.  This article is oriented toward monitoring criminal activity, but will also give some information on other aspects of our neighborhood.  Lets get started with an overview of the primary information sources, beginning with some website feeds from the Anchorage Police Department.  This article contains various links, as well as information regarding how to navigate these sites.

In 2014, APD  switched their crime information feed website to Raidsonline.com.  Raidsonline.com is the public side of a rather large crime data sharing system used by various law enforcement agencies.  APD officers also have access to the private side of the system to access additional non-public information.

Once you’ve clicked on Raidsonline.com, in the menu bar on the left hand side of the map you can either enter an address or scroll down in the “Jump To City” link and click on AK-Anchorage.  Now that you’re at the selected location, you’ll see crime symbols on the map from events occurring in the past couple of weeks.  In addition, via the menu bar to the left, you can expand or define the search by type of crime, offender, search radius, date range, etc, etc.  All you have to do is click on the crime symbol to get the case number, type of crime, date/time and location.  All addresses are rounded off to the hundred range of that block.  No exact addresses are given.  Please note: If you wish to submit an anonymous tip regarding a specific crime, simply click on the link at the bottom of the data window that pops up when you click on the crime symbol.  You can click on the satellite link on the upper right of the map display to go to a satellite photo rather than map.  Keep in mind that crime locations are not shown at the exact address on the satellite photo either.  The symbols are located within a block of the actual location.  I know this because I personally spoke with the APD crime analyst responsible for this website transition.  You can also get a list of the crimes on the map by clicking on “Data Grid” in the bar at the top of the map.

Since criminal charges do not necessarily mean convictions, additional public information is somewhat limited.  Per the APD website at http://www.muni.org/departments/police/pages/default.aspx, copies of individual crime reports may be requested by citizens.  However, requests may be denied or redacted (information removed or blacked out) due to victims rights, public records exclusions, and/or active arrest, prosecution or investigation.  Report costs are typically $6.00 per report.  Requests may be made by phone, e-mail or in person.  By the way, the above link to the APD website has lots more additional information and links…..too much to go over here.

You may have noticed on the Raidsonline.com website that they offer a “Signup” for crime alerts in your area via e-mail as well as a mobile app for iPhones.  The Anchorage Police Department however has a public information program that gives up-to-date information alerts and advisories about criminal events of significance in and around your neighborhood via Nixle.  You can elect to receive these alert/advisories by text/e-mail and/or web message, or you can go to https://local.nixle.com/anchorage-police-department to read the latest alerts and advisories.  View the APD Poster below for signup information.  If you elect the text alert option you can dictate the timeframe within which you’ll receive texts so you’re not woken up in the middle of the night!  If you select the e-mail/voice alert option via www.nixle.com you’ll have more alert options via the Nixle full alert services.  All of this is at no cost to you.  I signed up a couple of years ago and have since received text alerts about crimes of significance, road shutdowns due to police investigations, fire responses, etc.  The majority of the texts contained a link to the Nixle website site which instantaneously gives me additional information about the events.  Enjoy!

APD Poster

Now…..on to the last website in this article.  The Municipality of Anchorage website at http://www.muni.org/Pages/default.aspx is actually rather impressive and can give you vast amounts of information on various topics.  For the purposes of this article, click on the “My Neighborhood” link in the light orange bar in the upper right hand corner http://neighborhood.muni.org/  Once there, enter your address and choose the category you’d like to search.  The neighborhood search categories are: Education, Health & Family, Local Services, Political, Property Info, Recreation and Public Safety.  The “Public Safety” link however just brings you to a blank map with some links below to Raidsonline.com and municipal websites.

Finally, if you ever want to find the outcome of an event, you can go to the Alaska State Court System website to look up information and outcomes of individual civil and criminal cases.  That’s just a matter of clicking on http://www.courts.alaska.gov/.

 

 

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2016 Anchorage Area Real Estate Market Mid-Year Report

The Alaska MLS compiles statistical information regarding local real estate sales activity on a monthly basis and makes it available to real estate licensees by the 15th of the following month.  The following is my analysis of Anchorage market statistics through the end of June, 2016 for single-family homes and condominiums.

Statistics for the first six months of 2016 show that we continue to have a good Anchorage area real estate market for single family homes in the price range up to $500,000.  This is true even though there are currently approximately 38% more homes for sale than this time last year.  With that said, there’s less than 3.9 months of inventory for sale under $400,000, 4.4 months in the $400,000 to $500,000 range and 6.4 months of inventory in the $500,000 to $750,000 range.  That meets the definition of a seller’s market up to $500,000 and a normal market in the $500,000 to $750,000 range.  It’s still a buyer’s market above $750,000 with 10.7 months of inventory in the $750,000 to $1,000,000 range and 30 months of inventory above $1,000,000.

The number of homes sold in all price ranges in January were down 17% from last year.  February and March were down less than 1% from their respective months in the previous year.  April was down 9%.  May was down 5% and June was down 9% from each of their respective months last year.  Overall year to date, the number of homes sold is down 7% to the same period last year.  The average marketing time (listing to accepted offer) has taken only 47 days in the past 6 months.  That’s slightly faster than the past several years.  These homes are also selling at an average sales price very close to last year…..down less than 1%.  The average single family home sales price for the first half of 2016 was $365,811, vs. the 2015 first half average of $368,489.

Bottom line, the number of homes sold year-to-date and their average sales price are down somewhat from the same period last year, but up from the same period in 2014.  The charts below spell out some of this information out in more detail.  Statistics can vary considerably month to month, but the first six months of this year give us a pretty good picture of how things will be looking by year end.

June Residential Active Listing InventoryJune Residential Sales - Number Of UnitsJune Residential Sales - Average Sales PriceJune How Much Does A Home In Anchorage Cost Today

There are currently 3% more condominiums for sale than this time last year.  Inventory for sale is still within the normal range of 4.7 months at current sales rates.  With that said, numbers can vary considerably in different price ranges, such as 2.5 months of inventory in the $200,000-$224,999 range and 8.5 months in the $300,000 to $399,000 range.   Although inventory is up 3% year to date, the number of sales are down 8%.  The average YTD sales price is also down, but less than 1% to the same period last year.  Average sales price year-to-date is $211,574, vs. last year’s $213,071 for the same time period.  The average time on the market is 60 days vs. 59 days for the same period last year.  These numbers tell that so far, there’s been a slight climb in inventory, and sales are down somewhat from last year.  With that said, condominiums are not really taking any more time to sell and sales prices are hanging in there.

June Anchorage Condominium - Number Of UnitsJune Anchorage Condominium - Average Sales PriceAn item that I continue to watch closely is mortgage interest rates.  Current rates for 30 year fixed rate conventional mortgages are 3.25%.  30 year FHA & VA mortgages are at 3.125%.  That ‘s lower than they’ve been for some time, and near record lows!  Bottom line, current interest rates are very low and have a positive impact on the market.  Here’s an example of the difference in monthly principle and interest payments for a $300,000 mortgage at 3.25% and 5.25%:  3.25% monthly P&I pymt – $1,305.62   5.25% monthly P&I pymt – $1,656.61.  That’s a difference of $350/month for 30 years.  It definitely adds up over time!  I can’t make a future rate forecast due to the numerous unforeseeable financial, political and world event factors that can impact rates.  It’s even more interesting this year due to the political arena surrounding our presidential election.  Rates may remain stable for a while, but I definitely foresee them going up sometime in the future.  This concludes my 2016 YTD analysis.

The information or data used in this publication is copyrighted by AK MLS, Inc. and no portion may be reproduced, redistributed or retransmitted without the express permission of AK MLS, Inc. Further, AK MLS, Inc. does not warrant the accuracy of the information or data contained herein.

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