Jackson Hole Real Estate Market Prices, Trends and Forecast in 2023

Jackson Hole is a popular tourist destination that attracts visitors from all over the world. Its stunning beauty and outdoor lifestyle make it an attractive place to live. If you are considering investing in Jackson Hole, keeping an eye on the trends for upcoming years is essential. 

This blog post will focus on how the Jackson Hole real estate market has performed in recent years and months. It will cover everything from the current state of home values and interest rates to how demographics affect real estate prices in Jackson Hole. It will also provide a glimpse of the Teton County housing market trends in 2023. Understanding how the market has performed will give buyers a better idea of what to expect. 

The Jackson Hole real estate market has witnessed record growth in the last three years. Total sales volume peaked in 2020 and 2021, the most busy years the market has seen since at least 2005. However, the recent escalation in interest rates, combined with overall economic uncertainty, has dampened buyer sentiment, leading to a market slowdown in 2022. Last year, sales volume fell short of 400 for the first time since 2010. 

Such trends have prevailed into 2023. More specifically, we have witnessed fewer transactions, a modest increase in inventory, and price levels stable enough to maintain the gains of 2020 and 2021. The number of sales is down 8%, while the total dollar value of $308 million represents a 22% decrease from Q1 of 2022. Even so, active listings are up 121% and taking 86% longer to sell, meaning buyers can be more selective.

Since 2005, Jackson Hole’s housing market has steadily increased in popularity. The variety of luxury real estate and proximity to brilliant natural wonders make Jackson Hole homes hot commodities. Overall, the course of the Jackson Hole housing market is expected to correct in the coming years as demand catches up with inventory.

At first glance, it would seem that property values are rising in Jackson Hole, where the average sales price for all properties climbed to $3.95 million in Q1 2023. The average increase is even more stark considering single-family homes, which sold for $5.6 million on average.

However, the overall market in Jackson Hole is not accelerating that fast. The caveat: those heady average prices are influenced by an ultra-luxury home that went for $48 million. The median sales price (a metric less susceptible to small sample size effects) in Q1 actually decreased by 27% year-over-year.

While it is difficult to predict what the future holds for the Jackson Hole real estate market, prices are expected to continue to rise in specific areas while leveling off in others. While slow lately, the local market for single-family homes should yield comparatively higher profits for sellers in summer 2022. The key distinction is that while homes should continue to appreciate, their market value is unlikely to accelerate like it did in the months following the global pandemic.

The Jackson Hole housing market, as with markets everywhere, may experience changes in 2023 due to fluctuations in mortgage interest rates. Major housing authorities predict that 30-year rates will sit between 6.1% and 7.16% for the first quarter of 2023. 

As mentioned previously, the Jackson Hole housing market is predicted to remain strong in 2023 due to high demand and low (though recovering) inventory. Still, individuals establishing Wyoming residency while looking for a home will likely need to rent. The lack of available land and properties means that investment properties will have a high price tag.  

The rental market is in high demand, especially for wealthy individuals looking for luxury rentals. Because of a dearth of competition, landlords can charge a premium. This, combined with the area's popularity, indicates the Jackson Hole rental market will continue to thrive in 2023.

Population changes have played a significant role in driving the market, as individuals of various backgrounds have flocked to the area for its scenic beauty, the lack of income taxes, and remote work capabilities. This has contributed to record-high real estate prices, with median and average prices for single-family homes, condos, townhomes, and vacant land all increasing. What remains to be seen is whether, as companies call for workers to return to their offices, we will see a reversal of the COVID migration.

Teton County's real estate market has shown a promising outlook in recent years, and 2023 is no exception. The current trends suggest that home prices will continue to rise in certain areas. However, in others, they are expected to flatten out. While active listings in Jackson Hole are up 121% to 128 total properties, inventory is still limited. And while houses are sitting on the market longer, multiple-offer situations would not be unexpected. 

The sellers market extends to plots and ranchland, which increased in value by 28% from 2021 to 2022. There's no sign of this trend stopping, and it's a clear indication that the real estate market in Teton County continues to thrive.

In 2023, the median sale prices for single-family homes, condominiums, and townhomes in Jackson Hole are expected to increase. Based on this, the real estate market in Jackson Hole is flourishing. This indicates that the Jackson Hole real estate market will remain strong in the near future. However, the market is not free from uncertainties, and unforeseen events can always impact the real estate market.

Investing in Jackson Hole real estate can be a mixed experience. The market cooled in 2022 due to rapidly rising interest rates, which had a neutralizing effect on sales. However, prices remained consistently high and increasing. Investors must research and understand the nuances of the Jackson Hole real estate market before making any investment decisions.

Finding the right Realtor is crucial when you begin your search for Jackson Hole homes for sale. Researching local real estate agents and choosing someone with extensive experience in the area is vital. Deirdre Griffith is a consistent top producer in Jackson Hole and can provide expert advice on the local housing market and help you make an informed decision. Contact her today to get started!