Current Market Trends:  I was asked this morning what my prognosis and thoughts are for 2008.  I am cautiously optimistic for 2008.  Our market has not taken the serious downturn as other areas across the country.  Residentially, our pendings sales and closed sales are keeping pace with new listing coming on the market for sale.  That’s a good trend.  That being said the market for homes over $300,000 is still a slow.  Land, Commercial and Multifamily sales are still lagging.  I expect this to continue into 2008.  I am thankful interest rates remain low (6% today for a 30 year fixed rate loan) and oil prices remain high.  That’s good for us here in Alaska.  Specific to the Valley, the new prison slated for the Knik area, new retail stores and restaurants in Wasilla, expansion of existing stores like Wal-Mart, and the continued growth in the hospitality and health care fields are also good for the Mat-Su area.  Early in January I will be evaluating all of the statistics for 2007 and drawing some conclusions and comparisons.  Stay tuned. 

Community Information:  This month’s Free giveaway is tickets for two to the Alaska Native Heritage Center along with a book from the center; great for friends and family that will be visiting this summer.  Also two gift cards for $20 each will be given away to North Star Bakery just down the street from my office.  Email me no later than January 15^th to be entered to win.  Also don’t forget about our warm coats—warm hearts coat drive for children.  Drop off at our office anytime this month.  Seniors and parents of seniors, remember we award 3 scholarships each year to high schools seniors $1500, $1000, & $500.  Email us for details.

Real Estate Update:  Bucking conventional wisdom, a trade group for real estate agents on Monday said the battered housing market is on the verge of stabilizing and inched up its outlook for 2007 and 2008 home sales. The revised monthly forecast from the National Association of Realtors, which followed nine straight months of downward revisions, calls for U.S. existing home sales to fall 12.5 percent this year to 5.67 million -- the lowest level since 2002. Last month, the association predicted 5.66 million existing homes would be sold this year. However, looking on the bright side-the Realtors' group also forecast sales will rise slightly in 2008 to 5.7 million, up from last month's prediction of 5.69 million. Keep in mind that these are national statistics. Alaska, especially our area, has not had the same dismal numbers as some other areas in the country.  In most price ranges under $300,000 we have a very stable market.  What that means is we have less than a 6 month inventory of homes.  A 3 to 6 month inventory is considered a normal, stable market.   

If you are thinking of selling your home in the spring, now is the time to start cleaning up and clearing out the clutter so you’ll be good to go in 2008!  If you are looking to buy, check out our best buy list, click here  Interest rates dipped below 6% this week on 30 year home mortgages.  If you have an adjustable rate mortgage, this would be a great time to convert to a fixed rate mortgage.