My New Blog

Greetings!

State Economist Neal Fried spoke at the chamber the other day and talked about growth in the Valley. He talked about jobs, which no matter where you are jobs are one of the most important economic indicators. Long story short – the Mat-Su Valley is looking good for the near future. The state however has some serious challenges, which will ultimately affect the Valley. The slope is running out of oil, there is really no market for natural gas, it’s too cheap other places. The cost of our electric is going to go way up without cheap energy. These are facts we have to face. On the bright side the legislature wisely appropriated money for the rail spur to the port (jobs). They cleared the environmental hurdle for the Knik arm bridge (jobs). They are building the prison at Pt. MacKenzie (jobs). There is going to be a new Native Medical center at the corner of KGB and Palmer-Wasilla Hwy extension (more jobs). Mat-Su had more job growth than any other part of the state. We are a resource rich state. As long as we can get those resources to market we should do fine.

Real Estate wise we are still in pretty good shape. According to the Alaska MLS there were 1,111 homes that sold in the Valley in 2010. In 2009 1,090 homes were sold. The average sale price was $217,153 in 2009. In 2010 it was $220,247. In 2009 and 2010 the average days on market were the same at 85. We are seeing more short sales and bank owned (foreclosed properties) hitting our market which will more than likely affect the prices of the homes that are for sale. There are some GREAT buys out there. According to the state economist Neal Fried homes are more affordable than they have been in decades. Now is a great time to buy! This is due in part to low interest rates and the fact that home prices have come down. Underwriting criteria for getting a loan is still tough. So a good credit score is more important than ever. If your credit needs repairing, we may be able to help. Give us a call. Interest rates are still incredibly low, as of January 14^th they are approximately 4.5% for a 30 year fixed loan, according to bankrate.com. 44% of the experts believe that interest rates will rise in the next week, 56% believe they will remain unchanged.

Finally, I want you to know that you may call on me for any reason. And please let me know if a friend, family member or neighbor needs a caring, competent real estate professional to help with buying or selling real estate. Don’t forget to keep us updated with your latest contact information (phone number, address and email address). You can email us at kibe@mtaonline.net or call 357-4663. I truly appreciate your friendship and referrals!

All the Best,

Kibe Lucas

Quote: “No act of kindness, no matter how small is ever wasted.” Aesop