The Jackson Hole Report, a quarterly market report prepared by my colleagues David & Devon Viehman at RE/MAX Obsidian Real Estate, provides insights into the local real estate market. Below is a quick summary of their 2015 Year End Report. Click HERE to read the full 2015 Jackson Hole Report.
In 2015, the real estate market in Jackson Hole (including land, condos, single family and commercial) saw 12% more sales than in 2014. Dollar Volume of those sales was up 36% from 2014. The luxury market ($3+ million) saw even bigger increases over 2014, reporting a 39% jump in sales and a 37% jump in dollar volume. This trend of increasing sales over the past few years has left the market with very little inventory – current available listings at the end of 2015 were the 3rd lowest level in 25 years (2014 saw the 2nd lowest level).
- Total real estate sales: 684
- Total dollar volume: $1,095,000,000
- 52% of all sales in 2015 occurred under $1 million
SINGLE FAMILY HOMES
- Single family homes accounted for 36% of total sales in 2015
- Dollar Volume ($501 million) was up 26%
- Average Sales Price was up 23%
- Hot Spot: The Town of Jackson had 67 single family home sales, selling on average for $832,615.
There were 99 homes sales under $1 million in 2015. However, currently inventory is thin, with only 24 homes available under $1 million (and only 2 under $600,000). Homes over $1 million were up too, reporting 125 sales in 2015 (up 25% from 2014).
- Condo and townhome sales were up 17% in 2015
- Dollar Volume was up a staggering 79%!
- Average Sales Price was up 53%
- 59% of all condo sales were over $500,000
- Hot Spot: Teton Village sales increased 88% in 2015, with an average sales price of $2.13 million
Why the increase? Condos and townhomes were the first to recover after the recession, especially in the entry level market (under $300,000). Many entry level condos have appreciated as much as 100% in the last 5 years. As an example, in 2012 there were 50 condo sales under $300,000. Currently, there are zero!
- Lot sales were up 16% in 2015
- Dollar Volume was up 33%
- Average Sales Price was up 15%
- Hot Spot: Lots sales over $1 million increased 16%, with sales volume up 33%
Land sales have been on the rise as the construction industry strengthens and people’s desire to build a home in Jackson continues. Unlike the diminishing inventory in the single family home and condo market, the existing inventory for vacant land is healthy. There are 61 lots currently for sale in Teton County priced under $1 million. Given the low inventory for built homes, demand for vacant land should continue to grow in 2016.
LOOKING TO 2016: Prices should continue to rise as we enter 2016 due to the low inventory and steady demand. But how much well-priced inventory will be available for local buyers? Will there be a breaking point? Will the market stall out or plateau if/when prices get too high? The next few months may be relatively quiet, given the low inventory levels. Much of the state of the Jackson real estate market going forward will depend on the amount and price point of new Spring inventory, which usually hits the market in May. Stay tuned…..