Average Home Sale Price in Alaska Rose 8.9% in 2021

ANCHORAGE, Alaska (AP) — The common house sale worth in Alaska rose 8.9% final yr, pushed by excessive demand and low stock, in line with a state report.

The common house worth was a document $388,648 in 2021, the report from the Alaska Division of Labor and Workforce Improvement stated.

The market stays sturdy regardless of rates of interest rising in the previous couple of months, realtors informed the Anchorage Day by day Information.

Decrease 48 residents on the lookout for houses or land in Alaska add to the demand. Restricted land for constructing in Alaska, together with hovering building prices, assist push house costs greater.

“It’s your traditional macroeconomic love affair, the place excessive demand meets low provide and costs go up accordingly,” stated Invoice Bolling, a co-owner of Gateway Metropolis Realty in Ketchikan.

Ketchikan, the place the common worth was almost $440,000, had a 16% enhance, which was the most important enhance within the state, the report stated. Bolling stated some individuals have bought houses in Ketchikan however work remotely for employers within the Decrease 48.

The costliest place to purchase a house in Alaska was the state capital of Juneau, the place the common worth was $475,000. In Anchorage, the state’s largest metropolis, the common worth for a house was simply over $436,000.

In Juneau and Anchorage towards the top of 2021, 5 houses have been bought for each one listed, the report stated.

“In order that they have been being bought even earlier than they have been being listed,” by means of means like word-of-mouth, stated Rob Kreiger, an economist for the state who wrote the report. “That’s not one thing I’ve seen earlier than, at these multiples. That’s most likely the clearest indicator that demand is outpacing out there provide.”

Copyright 2022 The Related Press. All rights reserved. This materials will not be revealed, broadcast, rewritten or redistributed.