Anchorage Alaska RE Economy

[James Cash]

I just wanted to open up this discussion and see how everyone feels in the Anchorage, AK community of Real Estate here on BP.

It seems to me that a lot of people in the lower 48 feel a shift coming in the RE economy. Prices are reaching an all time high in Anchorage, sort of reminiscent of the '06 era.

I have my own thoughts as to how the economy will be shifting, but what do you guys and gals think?

[James Cash]

I think we are a unique market that is separate from the rest of the states.

Multi-family units are a very hot commodity right now, and going for top dollar. This is due to the rental market being so hot, and vacancy being so low. Unless we have a mass exodus of people, I don't see this changing anytime soon.

There are a lot of variable factors that go into population growth and reduction, beyond just the price of oil as it trades (as some would have you believe). Due to the complexity of these issues, it is hard to say how our real estate economy will perform (the changing of hands of property). In my view, when there is opportunity, there are deals, and real estate changes hands. I believe there is still a lot of opportunity in Alaska right now, and in Anchorage.

As long as renters need renting, and opportunity of decent paying wages are present, we should continue to be fine.