Everything is going up in our economy, including housing prices. But people are still finding ways to buy homes in Alaska. The reason why may not be what you think.

We’re going over our 2026 real estate outlook and how it can still be affordable to invest in or buy properties in Alaska.

Commercial Market Recap

1. Starting off, Lottie Michael shares her 2025 recap on commercial real estate. Industrial, office, and retail all had a healthy economic year.
2. She also shared her Walmart story. It took her a few years to sell the building, but now she’ll probably never sell that space again thanks to the new furniture store that is doing so well.
3. National brands are preparing for the market and investing in retail commercial leasing. The restaurant and hotel industries remain strong and continue to see success.

Residential Market Realities

1. Connie Yoshimura is finding the Anchorage housing market a bit boring, but that’s a good thing. It shows the market is healthy and strong.
2. Inventory is low: only 146 residential properties are for sale in a city of over 286,000 people. The limited choices allow homes to sell quickly, typically within 29–32 days.
3. The average closing price is 99.78% of the asking price.

AI’s Influence on Real Estate

1. AI technology is helping real estate photos look more appealing to buyers. Recently, Connie saw an agent use AI to add horses and chickens to his rural property for social media.

Valley vs. Anchorage: Market Comparison

1. Anchorage may have the luxury homes, but the Mat-Su Valley offers more homes for sale and additional benefits.
2. This is largely due to differences in population, new construction, home and land prices, and property taxes.
3. Boomers are also preferring not to live in multi-story homes and are looking for ranch-style homes, making them increasingly popular in the Alaska real estate market.
4. Maybe there is a reason why some Anchorage residents are willing to take the “commute” for more housing options.

Obstacles in Developing New Parks and Subdivisions

1. Mobile home parks often get a bad reputation, and that may never change. Surprisingly, developing new parks isn’t cheap, which raises the question of whether it’s worth it.
2. Much of the cost comes from regulations, and we share our thoughts on how these rules impact development.

“It’s a big mistake to think we can have four-, five-, or six-story apartment buildings. They might be full for a while, but you’ll eventually see turnover, because the permanent residents who live here simply don’t want to live like that.” - Connie Yoshimura

“So if we’re going four or five stories up with multifamily, stick-built apartments, we’re going to need some yard storage for all their outdoor toys. And honestly, I don’t know of any apartment or condo complex that provides storage for them.” - Lottie Michael

Timestamps

00:54 – Commercial Real Estate Market Overview & Retail Trends

01:55 – The Evolution of the Sears/Walmart/Furniture Mart Property

04:17 – Hospitality & Restaurant Business Adaptations

06:08 – Anchorage Residential Market: Inventory, AI, and Site Unseen Purchases

12:13 – Housing Supply Differences: Anchorage Versus the Valley

13:47 – Ranch Homes, New Construction, and Demographic Shifts

22:04 – Affordability, Regulation, and Mobile Home Development Challenges

Sponsorship

This episode is brought to you in part by Berkshire Hathaway HomeServices Alaska Realty. Transform your real estate journey with expert guidance. Check out their services: https://www.bhhsalaska.com/

Credits

©2025 Alaska Real Estate Podcast. All rights reserved. Music by SoundStripe