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Market Conditions for El Dorado in Santa Fe, New Mexico
Reported by Peter Kahn, CRS, CDPE, RSPS, SRES
Updated May 3, 2012.
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Current Market Rating: 2
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Current Price Trend: 2
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Falling
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With 48 homes on the market (5.1.12) Eldorado saw eleven homes purchased in April at about 10% below the original asking price. This discount appears to be near normal for Eldorado properties; normal meaning prior to the collapse in housing prices that began in 2007.
I'll continue to track this to see if there is a positive trend emerging here.
Twelve properties are under contract and five of those are distressed properties.
Of note is the fact that of the 48 homes available, 5 are distressed properties either owned by a bank or being sold for less than what is owed on the property (a short sale.
Most of the active properties have experienced an average price reduction of about 5% and inventory at the moment would suggest that Eldorado is still a buyers' market with average days on market (DOM) for the sold properties at 175. This DOM is less than many other areas of the Santa Fe market reflecting Eldorado's continued desirability as well as the fact that three of the solds were bank owned properties or short sales and priced accordingly.
Based on current activity, the Eldorado market may be showing signs of stability. Active properties have been on the market for an average of 179 days.
This is another area where long term rentals are desirable.
ZIP Code: 87508
Location Characteristics: Once a 17,000 acre ranch, the Eldorado community dates to the 1970's and consists of about 2600 homes on 6000 acres. Green belts are spread throughout and no full perimeter fencing is allowed, giving a sense of much larger spaces. Minimum acreage per lot is one acre.
Eldorado's History
Eldorado lies entirely within the Canada de los Alamos Grant, a Spanish land grant which dates back to 1785. In 1883, the entire grant was sold for US$2,000. As recorded in 1894, and patented by the US government, the size of the grant was about 12,068 acres (49 km2).
In 1901, the Onderdonk Land & Cattle company bought both the Canada de los Alamos Grant and the adjacent Bishop John Lamy Grant for $10,000. The Lamy Grant was about 16,546 acres (67 km2) when patented by the USA in 1874.
The Onderdonk Ranch operated both grants as a cattle ranch into the 1950s. The ranch was sold to the Simpson family in 1956, who continued to operate the ranch until 1969, when the Simpsons sold out to the American Realty and Petroleum Corporation (AMREP) for $3.2 million, or about $118.50/acre.
AMREP proceeded to develop about 6,000 acres (24 km²) of their 27,000-acre (109 km2) purchase as Eldorado at Santa Fe, selling the first lots in 1972. For the first ten years, development was slow—only about 200 houses were built. After 1983, when AMREP won a lawsuit over water rights, the pace of development quickened. Many passive solar houses were built, and Eldorado remains the largest solar community in the USA.
AMREP platted about 2700 lots in the original Eldorado subdivisions. At present (2007) the original Eldorado subdivisions are essentially built-out, with only a few vacant lots on the market. There are large areas of vacant private land adjacent, but concerns over an assured water supply have, so far, precluded any new large-scale deveolopments.
There are an additional 20 or so newer subdivisions along U.S. Route 285, locally called the 285 Corridor, between Eldorado at Santa Fe and Lamy. Most of these offer larger lots and more expensive houses than Eldorado. Most are served by the Eldorado community water utility. Informally, the adjacent subdivisions, such as Belicia, Dos Griegos and The Ridges, are also called "Eldorado", but they have different covenants and no formal ties to the original AMREP subdivision [6].
While some homes enjoy private or shared wells, there is s community water system in place. Other community amenities include Eldorado Elementary School, a library, swimming pool, tennis courts, a 4000 wilderness area for hiling and horses, a small stable area, walking trails, and a shopping center that includes a supermarket, bank, restaurants and other services. A gas station is nearby as well as a planned multiscreen theater and other retail and office space.
For More Information:
View Market Conditions of other areas served by Peter Kahn
Navigate: Top > New Mexico > Santa Fe > El Dorado
These reports reflect the views and opinions of their authors and are not necessarily the views and opinions of Realty Times.
