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Inventory Down, Sales Up
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Welcome to the thirteenth issue of The Star Valley Report. Published semi-annually, this data-driven report is the most accurate & trusted real estate news source, keeping all of Star Valley, Wyoming well informed on our ever-changing market.
Signs point towards a slow recovery: When looking at the numbers for the first six months of 2011, one has to wonder if we have finally hit the bottom and are starting to bounce back. Factors such as a small increase in numbers of sales, a higher number of properties under contract, and inventory numbers down slightly give us hope that we may be heading towards better times for our real estate market. This does not change the fact that we are still seeing foreclosures and short sales throughout the valley, and are still facing economic uncertainty. Despite this unfortunate reality, we have seen a surge in activity from buyers shopping throughout the valley. There have been, and still are, some unbelievable buying opportunities both in distressed properties and fair market sellers pricing competitively. Although the number of distressed listed properties does not make up the majority of the market, the number of distressed properties sold in the first half of the year accounted for close to 50% of the sales. This shows a large number of buyers are value driven.
Another aspect of the market we are seeing return is the high-end buyer. Although it is only a small percentage of our overall sales for the first 6 months, there were 9 sales closing at $400,000 and higher, with the most expensive being a home in the Alpine Airpark for $3,150,000. Though we are still seeing prices adjust for the reasons previously mentioned, the market appears to be working towards stabilization.
OVERALL MARKET IN STAR VALLEY: The overall market once again saw an increase in the number of sales (up 24%) in the first six months of 2011. While there was a 6% increase in the average sale price to $235,202, the median price sale price decreased 20% to $148,900. When looking at the rise in the average sale price, and the decrease in median sale price, two things come to light; the high end sales in the Alpine area have driven the average sale price up, and the amount of distressed sales have driven the median sale price down.
Current overall available inventory: Available inventory for the entire Star Valley area stood at 766 listings, down 14% from the previous year. The average list price was $309,696 (down 8%), and the median list price was $179,000 (down 17%).
Real estate currently under contract: There were 34 properties under contract (up 42%) as of July 1, 2011, with an average list price of $255,120 (up 2%) and a median list price of $235,000 (up 6%).
The Distressed Factor of the Equation: A significant portion of our sales in the first six months of 2011 was distressed properties. Of the 117 sales, 48% were either short sales or bank owned properties. The aggressive pricing by short sellers and banks continue to make it difficult for the fair market seller to compete with these properties. We all know that each and every property is unique. If the features of a listed property do not make it stand out in today’s market, the only real way to get it noticed is to make it an exceptional value, and pricing plays a major role in that.
This report was written and edited by Carlton and Cathy Loewer, Associate Broker/Sales Associate. For more information on the overall market in Star Valley or for a free comparable market analysis, please call the Alpine office at 877-654-7575.
Jackson Hole Real Estate Associates LLC is the largest locally owned and operated Real Estate Company in the region, and has served the Star Valley market for over thirty-one years. Our team is comprised of 95+ agents, appraisers and support staff. We also have a powerful database (one of a kind) that leverages information for our clients, and the daily tracking of every single real estate transaction in Jackson Hole and Star Valley. Combine all this with the worldwide reach of Christie’s International Real Estate, the simple fact remains: “We Know the Market Better than Anyone”.
It is very clear that buyers and sellers demand to stay informed of market conditions. We offer several services that will keep your finger on the pulse of our local real estate market, from daily email updates, weekly distressed properties list, a free market analysis of your property, to quarterly price updates on your Star Valley property. Please contact us to learn more about the programs and services we can provide. Be sure and also check out our new website www.jhreassociates.com for the latest listings and news about our local markets.
Today the Christie’s International Real Estate global network of affiliated brokers includes nearly 36,000 sales associates operating from 900 offices in more than 40 countries. The network’s combined annual sales topped $128 billion. The combined global networks of Christie’s, and Christie’s International Real Estate, both market leaders in the sale of luxury goods, create a world-class showcase for distinguished real estate. No other network offers this level of international visibility to proven buyers of high-value property.
The Star Valley Report is published semi-annually. While others attempt to report on our market with MLS statistics only (MLS historically tracks 65-70% of the market) we track every single transaction in Northern Lincoln County. This data-driven report is the most accurate and trusted real estate news source in Lincoln County, Wyoming. If you would like to sign up for the semi-annual email updates, or need more detailed information about our market, feel free to either call or email us at one of the numbers below. You can also find “The Star Valley Report” online at www.starvalleyreport.com
Whether you are pricing your property to sell in this competitive market, or deciding when the right time to buy is; rest assured that when you are our client, you will have current market statistics, an impeccable level of service and personal attention that will give you the upper hand. For a free comparative market analysis please email info@jhrea.com
We hope this report has given you a snapshot of market trends and, as always, we would be glad to discuss them further with you. If you plan to list your property this fall, would like a more detailed analysis of specific areas, back issues of The Star Valley Report, or a professional Realtor to represent you in your next real estate transaction, please call or email one of the numbers below or write to PO Box 3225, Alpine, WY. 83128. Your “locally owned and operated” Real Estate Company is located at 181 US Hwy. 89 in Alpine, across from Tootsie’s Pizza. You can also visit our virtual office at www.jhreassociates.com or email us for more information at info@jhrea.com
Sincerely,
Jackson Hole Real Estate Associates LLC.
Alpine Branch
email: info@jhrea.com
www.starvalleyreport.com
locally – 307.654.7575
toll-free – 877.654.7575
* Overall means everything either sold or on the market in all of Star Valley, which includes homes, lots, condos, commercial, farm/ranch and multi-family.
* All statistics are supplied by sources that have been deemed reliable but are not guaranteed.
* All statistics quoted in this newsletter are based on sales in 2010 compared to 2011.
* The value of any individual property may, and probably will, vary from the average indicated in these graphs.
* Median sale price is the cost of a property that has an equal number of similar properties above and below it on the price scale.* Average sale price is the total combined dollar volume divided by the number of sales.
* This report is published and updated twice a year. Because of our fast moving market most of the statistics in this report are obsolete within two weeks. Therefore, you should not rely on this report to determine the value of a property, instead call me for a free market analysis.
© Copyright 2004 – 2011 by Jackson Hole Real Estate Associates LLC. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means without explicit written permission from Jackson Hole Real Estate Associates, LLC.
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Transactions on the Rise
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Welcome to the 12th issue of the Star Valley Report. Published semi-annually, this data-driven report is the most accurate and trusted real estate news source in Lincoln County, Wyoming. First, we would like to thank all our loyal readers, customers and clients for their continued trust in this report. Our ability to track every single real estate transaction, and then turn the data into historical knowledge, has made us the most sought after real estate experts in Star Valley.
While we may have officially “hit bottom” in 2009 when looking at the number of transactions, we are continuing to see declining prices throughout the valley. There are several reasons for the decline in pricing, but the most obvious reason is the increase in number of distressed properties. Out of all sales this past year, 24% (64 sales) were distressed at one point during the selling process. The distressed segment of the market continues to drive prices downward. Banks are pricing REO (bank owned) properties aggressively and short sellers are able to negotiate lower list prices, in turn making it more difficult for the “fair market” seller to remain competitive. The fair market sales in 2010 have had to adjust their prices in accordance with the distressed market in order to compete. Other contributing factors in the pricing decline include the virtually non-existent first time homebuyer due to the stringent lending guidelines, and a lack of existing homeowners trading up. Home values have decreased, thus affecting the locals’ inability to sell their primary residence and trade up.
The above scenario has created the perfect storm for the investment buyer, in particular those looking to diversify their portfolios by capitalizing on distressed real estate. Those looking for deals or second homes in the valley have been very successful. The Wall Street Journal stated this as a national trend, “Sales in many vacation communities across the U.S. soared to levels not seen since boom times, driven by deep discounts, cash purchases and buyers’ rising stock portfolios.” (January 10, 2011). Despite the decline in values, the good news in 2010 reflects a significant increase in the number of transactions! 2010 brought the first climb in number of sales since the years 2005/2006, when we were at our all time high in number of sales. We have seen an increase of 50% more sales when compared to 2009. Our current market has definitely shifted the scales in the buyer’s favor, resulting in the substantial increase in the number of transactions in 2010.
For the buyer, now is a great time to be shopping. With inventory levels remaining steady, and motivated sellers in every segment of the market, opportunities are abundant. For those looking to take advantage of the distressed properties we have seen sales in vacant land for less than original developers pricing and in certain home sales, less than replacement costs.
For sellers, now is the time to ask the question “do I really need to sell”? If the answer is yes, then competitive pricing is going to be the key to getting your property shown and possibly sold. If you do not need to sell right now, then your best bet is to wait until we see signs of prices stabilizing. One of the downfalls of having to wait this time out is the fact that it may be years before we see the market begin to climb in price again.
The overall market in Star Valley remains soft. While the number of sales rose this past year in the valley, both the average and median sale prices fell once again. The average price fell 14%median price fell 10% ($195,000 in 2009 down to $175,000 in 2010). Again, the biggest contributor to this decline in sale prices has been the aggressive pricing of distressed properties and buyers making “value” buys throughout the valley. ($232,671 in 2009 down to $200,377 in 2010) and the
Current overall available inventory: At the close of 2010, our current inventory was up 4% when compared to the end of 2009 (695 listings, up from 668). When looking at our current inventory of 695 listings, and comparing it to what is currently under contract, Star Valley has a 43-month supply of real estate available for purchase. At our current pace of sales, and no new listings coming onto the market, it would take roughly 3.5 years to sell the inventory on hand. This is another indicator that we are in a buyer’s market and will remain there for some time.
Real Estate currently under contract: At the close of 2010, there were 16 properties under contract (up 23% from 2009) with an average list price of $239,344 (down 59% from 2009) and a median price of $199,000 (down 3%). Of the real estate currently under contract, 44% are distressed properties.
This report was written and edited by Carlton and Cathy Loewer of Jackson Hole Real Estate Associates, Alpine Office. For more information on the overall market in Star Valley, or for a free comparable market analysis, please call the experts in the market at our Alpine office (877-654-7575).
Jackson Hole Real Estate Associates LLC is the largest locally owned and operated Real Estate Company in the region and has served the Star Valley area for over thirty years. Our team is comprised of 90+ agents, appraisers and support staff, as well as, a powerful database that leverages information for our clients, daily tracking of every single real estate transaction in Star Valley. Combine all this with the worldwide reach of Christie’s International Real Estate, the simple fact remains: We Know the Market Better than Anyone. Jackson Hole Real Estate Associates LLC located at 181 US Hwy. 89 in Alpine, Wyoming across from Gunner’s Pizza. You can also visit our virtual office at www.starvalleyrealestate.com or email us for more information at info@jhreassociates.com.
It is very clear that buyers and sellers demand to stay informed of market conditions. We offer several services that will keep your finger on the pulse of our local real estate market, from daily email updates, weekly distressed properties list, a free market analysis of your property, to quarterly price updates on your Star Valley property. Please contact us to learn more about the programs and services we can provide. Be sure and also check out our new website www.starvalleyrealestate.com for the latest listings and news about our local market.
Christie’s, the world’s leading art business, has recently announced a corporate name change for its exclusive property brand Christie’s International Real Estate www.christiesrealestate.com, formerly Christie’s Great Estates. The prime and super-prime sectors of the property market—where Christie’s International Real Estate operates exclusively—have a global clientele. The name change will instill in these consumers a more immediate grasp of the company’s mandate and clarify that Christie’s and its real estate arm are one and the same.
Christie’s International Real Estate is the only real estate network wholly owned by a fine art auction house. The network is uniquely positioned to follow the footprint of its parent company, Christie’s, into the growing markets of the Middle East, Russia, and China, as well as established economies across the world, most notably North and South America and Europe. The new name further underscores that the values that distinguish Christie’s—commitment, expertise, integrity, discretion, and five-star customer service—are likewise embedded in the company’s luxury residential property specialists.
Christie’s International Real Estate represents some of the most prestigious trophy properties in the world, which include estates, resort properties, second and third homes, and super-prime new-build developments. Properties have included Lord Andrew Lloyd Webber’s Trump Tower Residence in New York City; Lyons Demesne, the historic Irish landmark fully restored by Dr. Tony Ryan; Ingmar Bergman’s island retreat in Sweden; and the Astor Beechwood Mansion in Newport, Rhode Island. Among the most valuable properties currently in the Christie’s International Real Estate portfolio are Palais Montmorency on Avenue Foch in Paris, France, valued in excess of US$100 million, and Cornwall Terrace, the historic Grade I–listed Regency terrace in The Regent’s Park, London, which was recently voted the most significant luxury property development in the United Kingdom.
Jackson Hole Real Estate Associates is the region’s largest locally owned and operated real estate brokerage. As the exclusive affiliate of Christie’s International Real Estate, Jackson Hole Real Estate Associates provides access to a worldwide audience with more than 1000 real estate offices in 42 countries and transactions resulting in over $125 billion annually. The reputation of Jackson Hole Real Estate Associates for exemplary client service and market knowledge combined with the power of Christie’s International Real Estate, the largest network of independent real estate firms, offers a synergy between local strength and global networking. By cultivating this unique balance of worldwide scope with a personal touch, through Christie’s International Real Estate, Jackson Hole Real Estate Associates has become a global authority on the effective marketing of fine properties. Finely tuned marketing services, and a commitment to the business philosophy established by Christie’s in 1766, define a brand based on trust, integrity, discretion, and excellence.
The Star Valley Report is published semi-annually and posted on the world-wide web. While others attempt to report on our market with MLS statistics only (MLS historically tracks 65-70% of the market) we track every single transaction in northern Lincoln County. This data-driven report is the most accurate and trusted real estate news source in Lincoln County, Wyoming. If you would like to sign up for these semi-annual email updates, or need more detailed information about our market, feel free to either call or email us at one of the numbers below.
Whether you are pricing your property to sell in this competitive market, or deciding when the right time to buy is; rest assured that when you are our client, you will have current market statistics, an impeccable level of service and personal attention that will give you the upper hand. For a free no-obligation comparative market analysis please email info@jhreassociates.com
We hope this report has given you a snapshot of market trends and, as always, we would be glad to discuss them further with you. If you plan to list your property this fall, would like a more detailed analysis of specific areas, back issues of The Star Valley Report, or a professional Realtor to represent you in your next real estate transaction, please call or email one of the numbers below or write to P.O. Box 3225, Alpine 83128.
Sincerely,
Jackson Hole Real Estate Associates LLC.
Alpine Branch
email: info@jhreassociates.com
www.starvalleyrealestate.com
locally: 307.654.7575
toll-free: 877.654.7575
* All statistics are supplied by sources that have been deemed reliable but are not guaranteed.
* All statistics quoted in this newsletter are based on sales in 2009 compared to sales in 2010.
* Median sale price is the cost of a property that has an equal number of sales above and below it on the price scale.
* Average sale price is the total combined dollar volume divided by the number of sales.
* The word “Overall” in this newsletter refers to all sales in northern Lincoln County combined (homes, lots, condos, commercial and ranch).
* The term “Market Value” means; the value of a property in terms of what it can be sold for on the open market; current value.
* While other local Real Estate Brokerages attempt to report on the local Star Valley real estate market, Jackson Hole Real Estate Associates LLC is the only company to track every single transaction. Therefore, if you want the most accurate information to help guide you through your next real estate transaction, call us today. “We are the Experts”.
© Copyright 2004 – 2011 Jackson Hole Real Estate Associates LLC. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means without explicitly written permission from Jackson Hole Real Estate Associates LLC.
