Bodes Well for One of Teton County’s Most Populous Residential Areas

A 2,200 square foot home sold in Rafter J Ranch at the end of March for approximately $345 per square foot. This is noteworthy as it is evidence of the continued price growth of living opportunities in one of Jackson Hole’s largest mid-priced subdivisions (and one which is often considered a barometer for all more moderately priced homes in Teton County).  This property is located in the newer, western portion of the development, which has historically contained some of the stronger price points in Rafter J.  Comparing home sales from this area in recent history, it is noted that this latest price continues an upward price trend that started in 2011 and places this metric at approximately 94% of the 2007 – 2008 average.

Andrew Cornish | Broker
PO Box 9467 | 155 E. Pearl Avenue, Suite 10
Jackson, WY 83002
(307) 733.8899 | (307) 413.7799 cell
Linkedin

Access to the most comprehensive sales database anywhere
from the leading brokerage and appraisal business in Teton County.

Andrew Cornish MAI, SRA
www.rmappraisals.com

Price Gains are Evident Through First Month of 2014
Less Inventory Contributing to Slightly Lower Sales Volume

Residential – Observing data compiled through the end of January of 2014, it is noted that the number of residential real estate sales (single-family homes, attached homes, and vacant lots) are down slightly from 32 total sales during the first month of last year to 26 sales during the same period of this year. A lack of inventory is the most obvious culprit to the decrease in sales volume. While the sales volume as measured by number of sales decreased over 18%, an over 19% increase in average sales price mitigated much of the loss in dollar volume of sales, with this measure only showing an approximately 3% decline.  Observation of active listings in mid-march showed that the available inventory was down approximately 18% from March of last year, with 370 active listings being available currently, as compared to 451 listings being active at this time last year.

 (click on tables/charts to see enlarged view)

Andrew Cornish | Broker
PO Box 9467 | 155 E. Pearl Avenue, Suite 10
Jackson, WY 83002
(307) 733.8899 | (307) 413.7799 cell
Linkedin

Access to the most comprehensive sales database anywhere
from the leading brokerage and appraisal business in Teton County.

Andrew Cornish MAI, SRA
www.rmappraisals.com

Offering Insight Into West-Bank Single-Family Home Value Patterns

The Teton County market began its price recovery in mid-2011, with this market inflection being most easily observed in more moderately-priced market segments where sales volume was most likely to be ample enough to have trends be more easily observed. This is especially true for single-family homes where differing levels of finish, condition differences, and fluctuations in underlying site value greatly reduce the meaningfulness of metrics such as price per square foot.

The Teton Pines Cluster Homes offer one valuable exception to this rule, in that these upper-end living opportunities are relatively similar in exterior design and are located on identically-sized lots. Granted, differences in view, interior finish, and golf proximity do cause variations in price point between such homes. However, these differences aside, the observation of price growth from 2003 – 2008 in these units; their subsequent price correction through mid-2011; and their most recently-observed price gains offer corroboration for the hypothesis that West Bank single-family home prices are trending in a manner similar to that of many Teton County properties.

– Andrew Cornish

Andrew Cornish | Broker
PO Box 9467 | 1315 S. Hwy 89, Suite 201 Jackson, WY 83002
(307) 733.8899 | (307) 413.7799 cell
Linkedin

Access to the most comprehensive sales database anywhere
from the leading brokerage and appraisal business in Teton County.

Condominiums have long been a way to provide Teton County market participant an opportunity to own their piece of Jackson Hole without the maintenance responsibilities of a detached, single-family home.

In 2001, this concept was expanded for Teton Village market participants when the Snake River Lodge and Spa introduced its units known as the “Residences.”  The owners of these units benefited from the receipt of a portion of room revenues generated through the front desk, as well as the hope of gains through appreciation.

Condominium hotel units (condo-tels) increased in popularity over the next several years, with projects such as Teton Mountain Lodge and Hotel Terra being developed to meet the consumer demand.  Using Teton Mountain Lodge and Hotel Terra as a gauge of this market, the value of these types of units were noted to increase steadily through 2007. However, the mortgage credit crisis of mid-summer 2007 took its toll on these units, with financing becoming challenging and purchaser concerns over rental revenue playing a large part in a decline that was noted to extend through 2012.

2013 brought the welcome reversal of this trend, with the average price of Teton Mountain Lodge and Hotel Terra Units increasing over 30% during this period.  A reported on-going strengthening of revenue per room in these units bodes well for the continued recovery of Teton Village condo-tel units.  If you have an interest in Teton Village condo-hotel property, or any property in Teton County, don’t hesitate to contact the Cornish | Lamppa Realty Group today.

– Andrew Cornish

Andrew Cornish | Broker
PO Box 9467 | 1315 S. Hwy 89, Suite 201
Jackson, WY 83002
(307) 733.8899 | (307) 413.7799 cell
Linkedin

Access to the most comprehensive sales database anywhere
from the leading brokerage and appraisal business in Teton County.

I was initially given pause last year during the course of a casual conversation when it was remarked that, “you can’t really find a decent lot in Teton County for less than $5,000,000.” My surprise at this comment was somewhat lessened when the definition of a “decent lot” was further classified as being three acres or larger, within 15-20 minutes of Teton Village and uniformly comprised newer high-end construction.

Learning that my acquaintance’s definition of “high-end construction” referred to homes of the finest quality in the valley, my surprise lessened again, but did not disappear, as I was aware of lots fitting this bill having sold for less than $2,500,000 the previous year.

However, when I later reviewed the available inventory of lots fitting this somewhat refined criteria, I was surprised to find that there was truth to the claim that there were not homesites available for less than a rounded $5,000,000 when setting your sites on luxury homesites large enough to keep very large homes situated in a secluded fashion. Once more, it was interesting to note that the lot I had been using as my yardstick for value was, at that time, listed for over 2.5 times its previous year’s acquisition price. While this hope for a windfall by the lot-flipping entrepreneur was ultimately not successful, the fact remained that better opportunities were not readily available.

This was particularly true for those market participants who did not embrace the eclectic feel of a Jackson Hole neighborhood that may include a historic log cabin (or perhaps not so historic….) as a neighbor. Notably, opportunities for such buyers can often be found, but require the research of an agent willing to locate sellers who have not openly listed their property for sale. In recognition of such changing market dynamics, it is becoming increasingly important for prospective buyers to ally themselves with competent representation to locate and acquire their definition of a Jackson Hole dream location.

– Andrew Cornish

Andrew Cornish | Broker
PO Box 9467 | 1315 S. Hwy 89, Suite 201 Jackson, WY 83002
(307) 733.8899 | (307) 413.7799 cell
Linkedin

Access to the most comprehensive sales database anywhere
from the leading brokerage and appraisal business in Teton County.