Monday Market Memo, March 3, 2008
Here are the Wasilla Real Estate statistics for the past week. These numbers include Palmer, Wasilla, Talkeetna, Willow, Sutton and the rest of the Matanuska-Susitna Borough.
We had a slight increase in inventory but a pretty sharp increase in new pendings. There are some definite signs that spring is on the way.
Of the 35 pendings for the week, seven of them were new construction. That is a sign of continued health in the market. New construction can still compete with existing homes.
Although prices do appear to be weaker than they have been in past years, builders are still able to compete in this market. If prices were to drop dramatically there would be such a large gap between new construction prices and existing ones that builders would not be able to make a profit. At this time, there is still a profit to be made in new construction. But, the only builders that can compete are those with very sharp pencils.
There do seem to be a few more foreclosed homes on the market this year. I have not been keeping close track of them. I intend to add a feature to this site that will show all the foreclosed listings on the MLS system. Check back tomorrow for that.