The overall number of sales is down 46%, and the dollar volume down 22%. This dramatic decrease comes from a multitude of issues not necessarily locally driven. Home mortgage interest rates nearly doubled, inflation hit a 40-year high in June, stocks suffered their worst first half of the year since 1970, and cryptocurrency took a big hit. Locally, the lack of affordable homes and condo/ townhomes under $1 million has cut the number of Buyers by more than 50%. For example, just 12 months ago, the first six months of 2021 registered 112 sales under $1 million. In 2022 we had a total of 18 sales under $1 million in the first six months. Step back to 2013 and there were 220 sales under $1 million by the end of June. NOTE: While the number of sales is within 10% of pre-pandemic levels, the dollar volume is double what we were seeing pre-pandemic with just over $1 billion in the first half of 2022.
Even with a 46% decrease in sales the average and median sale prices are still breaking records across the board. The average and median sale price for a single-family home increased 13% and 9%, respectively; the average and median sale price for a single-family vacant lot increased 9% and 27%, respectively; and the average and median sale price for a condo/townhome increased 70% and 66%, respectively.
Overall properties under contract are down 24%, yet the average list price is breaking another record at $4.23 million. NOTE: There were 76 overall properties under contract at the end of Q1 2022, yet only 58 today. This slowdown could reflect the multitude of issues mentioned above and/or the fact that the airport was closed this spring.
Available inventory at the end of June 2020 registered 323 overall listings, and yet today, we only have 167. NOTE: Just three months ago, at the end of Q1 2022, there were only 65 active listings overall. While the increase in listings is expected this time of year, it’s still half of the normal available inventory for the end of June. Regardless, it’s good news for Buyers as there is almost three times as much to choose from just three months ago.
While we normally do not focus on commercial activity in this newsletter—as the activity is usually too small—we feel it necessary to bring to our readers’ attention the fact that 31% of the dollar volume to date in 2022 was commercially driven. This was mainly due to four motel/hotels selling. Three were in the Town of Jackson and one was in Spring Creek Resort. The overall commercial dollar volume was $307 million, up 126% from the first six months of 2021.
Looking ahead, we are seeing a softening of demand with inflation, rising interest rates, and lack of inventory in the lower price ranges. However, the softening is taking us from a frenzied market to one that is less so. Inventory is increasing and prices will start to moderate into a slower growth curve. While inventory levels are still at historic lows, without more Buyers in the market, some sellers will have to lower their expectations if they want to close in 2022