Jackson Hole Market Report | 2015 Quarter 1

MARKET REPORT

OVERVIEW OF THE JACKSON HOLE REAL ESTATE MARKET | 2015 FIRST QUARTER

Christie’s International Real Estate GLOBAL AFFILIATE OF THE YEAR 2011 | 2014

Quick Facts

Jackson Hole Real Estate Market Report 2015 First Quarter

133 Total Number of Transactions

14% Increase from 2014 Q1

40%

MEDIAN SALE PRICE

AVERAGE SALE PRICE

13%

→

→

32%

18%

Overall Sales Volume Increased

Decrease in Inventory

27%

less sales under $1M

133%

increase in sales over $5M

Introduction On behalf of our team of dedicated professionals at Jackson Hole Real Estate Associates, we are pleased to present the 2015 first quarter comprehensive market summary for the Jackson Hole area. The lowest inventory in nearly 25 years, rising prices throughout every segment and increased confidence amongst buyers and sellers have favorably influenced the real estate market. The first quarter of 2015 started strong and indicators point to a robust real estate market in the coming months.

Overall Market The number of transactions ramped up in the first quarter with an approximate 14% increase. The increase in the number of transactions was coupled with a healthy increase in the average sales price, up about 32%, which translated into a near 40% increase in the total dollar volume when compared to the first quarter of 2014. The distribution of sales over various price ranges continues in an upward trajectory with more transactions taking place at higher price brackets. For example, there were about 27% fewer sales under $1 million in the first quarter of 2015 than a year ago, and the over $5 million price segment increased 133% from a year ago. The lower inventory was evident with an 18% decrease as compared to this time last year. In fact, every property type has decreased in inventory since last year.

Market Overview by Segment Single Family Segment The single family segment of the market made healthy strides in the first quarter of 2015. The number of transactions compared to the first quarter last year remained level with the total dollar volume rising about 9%. A combination of the inventory shortage and fewer lower priced sales moved the average sales price to over $2 million, 20% higher than this time last year. There were only 121 single family homes for sale at the end of the first quarter – down about 11% from the end of the first quarter of 2014. Only two of those were priced under $500,000. In fact, there were NO sales of a single family home under $500,000 in the first quarter. The $1 million to $2 million price segment gained market share, garnering about 37% of the transactions. The shortage of single family homes for sale has translated to market participants purchasing vacant land where options in most locations were more plentiful.

MLS #14-564 | $14,200,000

MLS #15-745 | $6,900,000

MLS #14-428 | $4,995,000

MLS #13-2715 | $4,595,000

www.JHREA.com | 888.733.6060 | 80 W. Broadway, Jackson, WY

Market Overview by Segment (continued) Condominium & Townhome Segment The condominium/townhome segment of the market experienced a tenacious beginning to the year. The number of transactions increased 11%, and the total dollar volume was up an astounding 67% due to rising prices and a shift in price level distribution. This large increase was directly related to the increase in number of transactions over $2 million, which accounted for 18% of the quarter’s sales, compared to only 5% in the first quarter of last year. This shift in the price level distribution has skewed the average sale price tremendously with calculations indicating an approximate 89% increase in the average sale price. A more meaningful calculation in this instance may be the median sale price which increased just 10%. Teton Village experienced a healthy number of sales during the first quarter of 2015 with 17 transactions, and the Town of Jackson remained level with 18 transactions. The condominium/townhome segment of the market has experienced the most extreme inventory shortage in the first quarter. The number of condominiums/townhomes for sale was down about 30%, when compared to the first quarter of 2014.

Vacant Land Segment The shortage of existing single family homes and condominiums/townhomes has taken its toll on the real estate market and has accelerated the vacant land segment of the market. The number of transactions increased 46% over last year. The vacant land segment has also experienced a shift in price level distribution, similar to the other segments of the market.

This has caused a nearly 25% increase in the average sale price. Properties over $1 million accounted for about 46% of the transactions in the first quarter. The effect of this shift translated into more than doubling the total dollar volume when compared to this time last year. The properties sold were located throughout the valley with no single area emerging as a focal point. The once sizable inventory of vacant land has continuously decreased with this quarter being no exception, decreasing about 17% when compared to the first quarter of 2014.

Sales Distribution by Type

Sales Distribution by Price Over $5M 3%

Other 9%

Other 9%

Vacant Land 21%

Single Family 32%

Vacant Land 26%

Single Family 28%

$2M - $5M 14% Under $500K 32%

$1M - $2M 17% Condo/ Townhome 37%

Condo/ Townhome 38%

Over $5M 7%

$2M - $5M 16% $1M - $2M 22%

$500K - $1M 35%

Under $500K 26%

$500K - $1M 30%

2013 Year End 2014 Quarter 1

2015 Quarter 1

2014 Quarter 1

2015 Quarter 1

Luxury Market Spotlight The number of luxury sales increased about 27% from this time last year. Primarily driving this increase was the number of high priced vacant land sales, where at least 6 parcels were sold for over $3 million. The number of luxury homes to sell during the quarter remained about equal to the previous year, not only in the number of transactions but also in the average sale price. Nearly 80% of the luxury transactions were cash deals.

Record Sale (Q1): $11,250,000* Average Sale Price Above $3M:

$5,575,000

Number of Sales Above $3M:

14 *listing price

The Vandewater Ranch | 14-553 | $24.5M | Sold 2014

www.JHREA.com | 888.733.6060 | 80 W. Broadway, Jackson, WY

Active vs. Sold by Market Segments (through 2015 first quarter)

200

151

150

Active

123

Sold

100 78 63

50

49 37

35 14

0

Single Family

Condo/ Townhome

Land

Luxury

21 6 Commercial

Jackson Hole Real Estate Associates exclusively owns and maintains the valley’s oldest and most comprehensive database. The Jackson Hole Real Estate Associates’ Market Report, unlike others in the valley, is derived from the JHREA proprietary, forty year old database (not just mls data) as well as decades of history and success making this the most trusted and accurate real estate report in the region. No other real estate company or agent has the resources available to offer this depth of expertise or insight regarding current or previous market conditions. The unmatched resources and knowledge of Jackson Hole Real Estate Associates, the largest and most dynamic real estate company in the region, combined with the largest luxury real estate affiliation, Christie’s International Real Estate, offer the ideal balance of local expertise and global reach. * The statistics used in this report are from the Teton Multiple Listing Service (MLS) and JHREA’s internal database. * This report does not go into detail on every segment of the market, but is intended to offer an overview of general market conditions. * All statistics are supplied by sources that have been deemed reliable but are not guaranteed.

Our Locations 307 733 6060 TEL 307 733 3483 FAX www.JHREA.com PO Box 4897 Jackson, WY 83001 80 West Broadway Jackson, WY 83001 270 West Pearl Jackson, WY 83001 Snow King Hotel Jackson, WY 83001

Jackson Hole Real Estate Associates was recognized as Christie’s International Real Estate Overall Affiliate of the Year 2014 for our excellence in branding, marketing and innovation. We are extremely honored and proud to be spotlighted for our commitment to the Christie’s brand and excellence within the industry. For more information on Jackson Hole Real Estate Associates or a market update in your area, please do not hesitate to contact one of our real estate professionals.

PO Box 3225 46 Iron Horse Drive Alpine, WY 83128 307 654 7575 TEL PO Box 846 235 South Main Street Thayne, WY 83127 307 883 7575 TEL 65 South Main Street Driggs, ID 83422 208 354 7325 TEL

www.JHREA.com | 888.733.6060 | 80 W. Broadway, Jackson, WY