Realtor Pauline Hofseth says, "Once a bedroom community of Anchorage, Eagle River has taken on its own community character. The area is bounded by Eagle River and lots of mountain park area. Eagle River has long been changing from a bedroom community of Anchorage into an area unto itself. For some time it has been a popular residential area for military families based at Elmendorf Air Force Base and Fort Richardson (Army)."
She continues, "More and more people want to get away from the crowds in Anchorage and so they choose to move to Eagle River, Chugiak and Peters Creek. Only 10 minutes from downtown, Eagle River residents are no farther away from downtown than those who live in south Anchorage. Eagle River has changed from a primarily military community to a community for everyone. If one rates the areas of town that draw higher sales prices, it would be combined south Anchorage at $307,142 and Eagle River at $281,980. That puts Eagle River sales 28.5 percent higher than east and downtown Anchorage sales and only 8.9 percent lower than the otherwise perceived growth in south Anchorage."
Realtor Cecelia Nims says, "Eagle River is now experiencing a sellers market, that is the demand for homes outnumbers the supply of homes currently listed for sale. Homes priced at market value, in price ranges below $350,000 sell quickly, sometime within days. Often these homes will see multiple offers and sell above the asking price. Low interest rates, fewer homes on the market and higher construction costs continue to drive the market upward. Homeowners have seen a steady increase in values. During the last 5 years home values have increased from 5.5 percent to 11 percent per year. The cost of new construction is dramatically increasing, due to the rising cost of land, materials and labor. The average sales price for a home is now $282,050 according to the Anchorage MLS, although it is difficult to find a newly constructed home in this price range."
"The supply of single family homes under $250K is very small, while at the same time we have lots of buyers for the price range," says Realtor Eva Loken . "The above $400K market has about 1/2 year supply relative to absorption. The $200-$300 K range is somewhat leaning toward sellers benefit, but "optimistically" priced homes are not selling. New construction single family below $200,000 is virtually non-existent. Attached town homes, site condos or regular condos are being built as fast as the builders can hammer. The condo-townhome market is flourishing. Prices are going up due to heavy increases in lumber and steel prices. Any raw land ready to build in the area starts at $90K, and up. Lower priced land typically needs more work before being ready to build, bringing the price up to aforementioned price level for ready to build. This holds true for large as well as small lots. Most buyers in the lower ranges are finding that The Mat Su Valley is the place to be for affordable homes. You get more land for the same price, but you pay in travel time to Anchorage or the bases."
