Given the current dynamics, determining whether Jackson is a buyer's or seller's housing market requires detailed analysis. While the dip in home prices may seem advantageous for buyers, the competitive nature of the market, coupled with the brisk pace of transactions, suggests a degree of seller leverage. Ultimately, the balance between supply and demand, along with individual preferences and circumstances, will dictate the prevailing market conditions in Jackson. Here's the latest market data and trends.
Jackson Housing Market Trends in 2024
How is the Housing Market Doing Currently?
According to Redfin, as of February 2024, home prices have experienced a notable dip, down by 43.4% compared to the previous year. This translates to a median price tag of $77K for homes in this area.
Despite this decline in prices, the market remains active, with 99 homes changing hands in February alone, marking a significant increase from the same period last year when only 55 homes were sold. However, it's worth noting that homes are lingering on the market slightly longer, with the average selling time now standing at 61 days, compared to 55 days in the previous year.
How Competitive is the Market?
In Jackson, the real estate scene can be described as somewhat competitive. Homes typically sell in around 55.5 days, showcasing a brisk pace of transactions. It's not uncommon for certain properties to receive multiple offers, especially those deemed as “hot homes.”
When it comes to pricing, the average home sells for approximately 7% below the list price, indicating room for negotiation. However, hot properties may command prices closer to the list price and go pending in as little as 20 days, reflecting the demand for well-situated and desirable homes.
Are There Enough Homes for Sale to Meet Buyer Demand?
The availability of homes for sale is a crucial factor in determining market dynamics. In Jackson, while the market remains active, there are signs of a balanced inventory. With 99 homes sold in February, there seems to be a sufficient supply to meet the current level of buyer demand.
What is the Future Market Outlook?
Looking ahead, the future market outlook for Jackson is a topic of interest for both buyers and sellers alike. While the recent decline in home prices may raise eyebrows, it's essential to consider various factors influencing the market.
One notable trend is the migration and relocation patterns observed in recent months. From December '23 to February '24, 33% of Jackson homebuyers expressed interest in moving out of the area, while 67% preferred to stay within the metropolitan vicinity. This suggests a mixed sentiment among residents regarding their long-term plans.
Furthermore, data on incoming migration reveals that a small percentage of homebuyers from outside metros are eyeing Jackson as their potential new home. Interestingly, individuals from Los Angeles, Chicago, and Dallas are among the top contenders considering a move to Jackson, highlighting the city's appeal to a diverse range of individuals.
Jackson Housing Market Forecast for 2024 and 2025
According to Zillow, as of February 29, 2024, Jackson, MS, presents a snapshot of 590 homes for sale, with 135 new listings added to the market. The median sale to list ratio, a crucial indicator of market competitiveness, stands at 0.952 as of January 31, 2024. The median sale price as of the same date was $66,500, while the median list price surged to $101,333 as of February 29, 2024.
Notably, 12.7% of sales surpassed the list price, while 69.8% of transactions were recorded below the list price as of January 31, 2024. Homes in Jackson go to pending in approximately 37 days, reflecting the pace of the local market.
Jackson MSA Housing Market Forecast
Turning to the macroeconomic forecast for the Jackson Metropolitan Statistical Area (MSA), the outlook is subject to analysis based on comprehensive data. The MSA, encompassing several counties including Hinds, Madison, and Rankin, serves as an essential economic hub in Mississippi.
The housing market within this MSA plays a pivotal role in shaping the regional economy and influencing broader real estate trends. According to projections provided by Zillow, the Jackson MSA is anticipated to experience a 0.1% growth by March 31, 2024, maintaining a similar trajectory by May 31, 2024. However, by February 28, 2025, a slight decline of -1.4% is forecasted, indicating potential shifts in market dynamics.
The Jackson Metropolitan Statistical Area, commonly referred to as the Jackson MSA, comprises several counties in Mississippi, including Hinds, Madison, and Rankin. Spanning a significant geographical area, this MSA is characterized by diverse demographics and economic activities.
With a population of over 500,000 residents, the Jackson MSA serves as a vital center for commerce, education, and culture in the region. Its housing market, reflecting the pulse of economic activity, attracts investors, homeowners, and renters alike. The size of the housing market in the Jackson MSA is substantial, with a wide array of properties ranging from single-family homes to condominiums and apartments.
Is Jackson a Buyer's or Seller's Housing Market?
In the current landscape of the Jackson housing market, the balance between buyers and sellers is nuanced. With a median sale price of $66,500 as of January 31, 2024, and a median list price of $101,333 as of February 29, 2024, it leans slightly towards being a seller's market.
However, the percentage of sales under the list price, standing at 69.8% as of January 31, 2024, suggests some opportunities for buyers. The decision between buyer's and seller's market dynamics often hinges on various factors such as inventory levels, interest rates, and local economic conditions.
Are Home Prices Dropping in Jackson?
Despite the nuances in the Jackson housing market, the data indicates a downward trend in home prices over the past year. The average home value in Jackson has decreased by 22.3% compared to the previous year, settling at $57,808 as of February 29, 2024. While this decline may raise concerns among homeowners, it could also present opportunities for prospective buyers seeking affordability in the market.
Will the Jackson Housing Market Crash?
The question of whether the Jackson housing market is at risk of a crash is a topic of speculation among industry experts. While the recent decline in home prices and fluctuations in market forecasts may raise concerns, it's essential to consider various factors influencing market stability. Economic indicators, employment rates, and government policies play crucial roles in mitigating risks associated with a housing market crash. As of now, while there are fluctuations, there's no definitive indication of an imminent crash in the Jackson housing market.
Is Now a Good Time to Buy a House in Jackson?
For potential homebuyers contemplating whether now is a favorable time to enter the Jackson housing market, several factors warrant consideration. The current landscape presents opportunities for buyers, with prices showing a downward trend and a percentage of sales recorded under the list price. However, individual circumstances such as financial stability, long-term goals, and personal preferences should guide the decision-making process.
It's essential to note that real estate markets are influenced by a multitude of factors, and predictions are subject to change based on economic, social, and environmental shifts. Prospective buyers and sellers are encouraged to consult with real estate professionals for personalized advice tailored to their specific situations.
Is Jackson a Good Place to Live?
Deciding if Jackson, Mississippi is a good place to live involves considering various factors, including lifestyle preferences, career opportunities, cost of living, education, safety, and more. Here's an assessment to help you weigh the pros and cons.
1. Cost of Living
One of the key advantages of living in Jackson is its affordability. The cost of living is generally lower compared to many other cities in the United States, making it an attractive option, especially for budget-conscious individuals or families.
2. Employment and Economy
Jackson has a diverse economy with sectors like healthcare, manufacturing, education, and government playing significant roles. However, the city has faced challenges like a declining population and a high crime rate that can impact the overall economic landscape.
3. Education
Jackson has various educational institutions, including public and private schools, colleges, and universities. While there are options for education, it's important to research and choose schools that align with your educational goals and standards.
4. Community and Lifestyle
Jackson offers a vibrant cultural scene, with events, festivals, museums, and theaters. Additionally, the city has beautiful parks and outdoor recreational opportunities. However, the high crime rate may affect the overall sense of safety and community well-being.
5. Health and Healthcare
The city has numerous healthcare facilities and medical services, providing adequate healthcare options for residents. Access to healthcare is an important aspect when considering a place to live.
6. Overall Safety
While Jackson has a relatively high crime rate, it's important to note that safety experiences can vary by neighborhood. Researching and choosing a safe neighborhood is crucial for a better living experience.
Is Jackson, Mississippi a Good Place to Invest in Real Estate?
Investing in real estate is a significant decision, and assessing the potential of Jackson, Mississippi as a real estate investment destination requires a careful examination of various factors, including market trends, economic stability, housing demand, and potential for returns.
1. Affordability and Property Prices
One of the compelling reasons to consider Jackson for real estate investment is its affordable property prices. The cost of real estate in Jackson is notably lower than in many other parts of the United States, making it an attractive option for potential investors, especially those looking to enter the market without a substantial initial investment.
2. Rental Market and Demand
Jackson has a steady demand for rental properties. The city's affordability attracts renters, including young professionals, students, and families. Investors can capitalize on this demand by acquiring rental properties, potentially ensuring a consistent income stream.
3. Economic Diversity and Stability
The economic diversity in Jackson, with a mix of industries including healthcare, manufacturing, education, and government sectors, provides a sense of stability to the local economy. A diverse economy is generally considered beneficial for real estate investments, as it can mitigate risks associated with over-dependence on a particular industry.
4. Potential for Growth and Development
Jackson is investing in new infrastructure and development projects, which can enhance the city's appeal and potentially drive property value appreciation. These initiatives, coupled with ongoing efforts to address the crime rate and improve livability, may attract more residents and businesses, positively impacting the real estate market.
5. Neighborhood Analysis
Conducting a thorough analysis of various neighborhoods within Jackson is essential. Some neighborhoods may have higher demand, better growth prospects, or a more favorable appreciation rate. Identifying neighborhoods with potential for growth can be key to a successful real estate investment in the city.
6. Risks and Challenges
It's important to acknowledge the challenges, such as the city's high crime rate and a declining population. These factors can affect property demand and neighborhood desirability. Investors should carefully evaluate and choose neighborhoods with relatively lower crime rates and potential for growth.
Jackson, Mississippi presents investment opportunities in real estate, primarily due to its affordability, potential for growth, economic diversity, and ongoing development efforts. However, investors must conduct thorough due diligence, analyze specific neighborhoods, and consider the associated risks before making investment decisions.
References:
- https://www.zillow.com/home-values/32179/jackson-ms/
- https://www.redfin.com/city/9165/MS/Jackson/housing-market
- https://www.realtor.com/realestateandhomes-search/Jackson_MS/overview