JACKSON, Wyo. — Do you ever look around and wonder where you were 10 years ago? What about five years ago? We tend to have a short memory span that keeps us in the moment and focused only on recent history, but sometimes it can be helpful to see how things have changed.
The Jackson Hole real estate market and global economy were marred by the 2008 “Crash.” Transactions ground to a halt and certain neighborhoods took a hit.
Let’s take a look at the past 10 years in Rafter J Ranch, just south of the Town of Jackson. This neighborhood includes a mix of single-family homes and townhomes, most of which were built in the 1980s and early 1990s.
In January 2009, the average 30-year fixed mortgage interest rate was 5.1 percent (source: Macrotrends.net) and there were seven total sales in Rafter J for the calendar year per Teton Board of Realtors MLS. It’s important to note that prices were still DECLINING at this point in the market. The average sale in Rafter J was $573,000 at an average of $325 per square foot. The average sale time was 229 days on market from listing to close with homes selling for about 78% of the original list price.
Fast forward five years to January 2014 when 30-year interest rates had decreased to 4.32 percent. There were 14 MLS sales in Rafter J with an average price of $634,657, with an average price per square foot of $379 and an average of 363 days on market from listing to closing.
By January 2019, interest rates had crept back up to 4.46 percent, although they steadily declined throughout the year to follow, reaching historic lows of 3.65 percent in January 2020. In 2019, there were 17 MLS sales in Rafter J with an average price of $940,441, an average price per square foot of $566 and an average of 102 days from listing to closing with homes selling for an average of 96.5 percent of their original listing prices.
So much can change when shifts in consumer confidence, buying power with low interest rates and high construction costs place an added premium on existing improvements. Do you have a neighborhood or sector of the market that you would like to have reviewed in a similar way? Contact The McPeak Group via email at [email protected] or call (307) 222-9898.