Market Conditions for Albuquerque, New Mexico Reported by Archie Saiz , CRS, ABR, SRES, GREEN Updated January 16, 2012.

Current Market Rating: 1 1 2 3 4 5 Buyer's Seller's

Current Price Trend: 2 1 2 3 4 5 Falling Rising

Happy New Year to everyone. May 2012 be prosperous for all of the hard working Americans out there. 2011 mortgage rates closed under 4.00%. Pending and closed sales have increased each month over the previous month and year which is encouraging. December numbers will be availabel around Jan 10th so come back for more information or visit www.findahomenewmexico.com for a full report.
*Pending homes sales in the Greater Albuquerque market are up 26.66% from November 2010 and down 4.97% from the previous month.
*The median sales price of single-family detached home sales decreased for the third consecutive month.
*Single-family detached home sales rose 4.90% from the previous month.

Albuquerque is showing an increase in the number of foreclosed properties. This "Shadow Inventory" is making its way into our inventory. It was reported that it is taking on average 671 days for a home to hit the market once the home is foreclosed. We could see another two years of shadow inventory since the homes that are foreclosed on today could take a year to almost two to be available for sale.
One out of every 735 homes in New Mexico received a foreclosure notice in August. One in every 471 homes in Bernalillo County received one. Nationwide one in every 570 homes got the notice last month. And while that's a 7% increase over last month, it's a 33% decline from August 2010. (Source: RealtyTrac.com)

Some housing experts say the increase in foreclosure activity actually could be good for the housing market. A faster turnaround in foreclosures could help clear the glut of shadow inventory hovering over the market, which many say has caused home values to plummet. I know of bank-owned homes in my own neighborhood, that have been vacant for more than a year, yet are finally up for sale. They are at a discounted price and that's painful for the non-bank sellers. But the longer these homes linger unsold the longer it will take to get back to an appreciating market.

Foreclosure is a tragedy for many homeowners, but it's also an opportunity for home buyers. I say let's rip the band-aid -- get them sold and start the recovery! Buyers should take advantage of the affordable housing that's now available -- and today's extremely low interest rates!!!

Housing continues to feel the brunt of news from Washington. When Lawrence Yun, Chief Economist, National Association of REALTORS®, was asked about the effect of downgrading the bond rating, he said, "Even if mortgage rates were to rise because of the downgrade, this fact is less important in light of the current overly stringent underwriting standards and the general lack of consumer confidence about the economy. A 30-year fixed rate rising from 4.3% to 4.6% will not change the housing game that much, but a return to normal underwriting standards and a boost to consumer confidence will be the true game changer."

Visit http://www.findahomenewmexico.com
for the complete latest housing statistics.

INTEREST RATES LOWEST in history. Consumers realize this and are making their move, especially in the price range from170,000 to 250,000. Luxury home buyers are also taking advantage of the lower interest rates and the higher inventory. Sellers are more competitively pricing their homes in this market.

The median and averages sales prices also continue to improve. "When compared to 2009, the median sales price for a single-family home increased year-over-year for the fourth consecutive month, and the average sales price increased year-over-year for the eighth consecutive month,

Until consumer confidence rebounds and the job market stabilizes and the Federal Government passes a financial package that means something it is anticipated recovery to be gradual and cautious. Housing inventory is rising which is typical for this time of year which really keep us in the buyers market. Serious sellers will price their homes at market and have them in pristine showing condition. Buyer's want quality and value. Supply is still outpacing demand. We have not moved out of the buyer's market yet and home prices are stable and the median home price has had an uptick. Compared to other cities around the nation the real estate market in Albuquerque and the surrounding communities is above the average. Home values are for the most part stable with some areas having slight appreciation and others showing a slight decrease.You really have to look at this market neighborhood by neighborhood.

Bottom line - record low rates are no longer available, but rates are still really low. It's a great time to buy!!

Call me today to set up a free buyer counseling session to discuss your personal needs and answer all your questions of buying a home. If you are needing to sell you need to talk with us about our marketing programs and our success in selling homes in this difficult market. 505-2507286

ZIP Codes: 87114, 87120, 87059, 87110, 87122, 87124, 87111, 87048

Approximate Location Boundaries: Albuquerque,RioRancho,Placitas,Corrales,East Mountains,Los Lunas,Belen

Location Characteristics: Albuquerque is the largest city in New Mexico with Rio Rancho being second. The two cities border each other with residents traveling between the two for work, shopping and recreation. Neighboring communites of Placitas, Bernalillo, Los Lunas and the East Mountains bring a combined population of aprox. 1.2 million residents. This region is known for it's quality of life offering something for everyone from rural to suburban. Bustling downtowns to pastoral rural farms and horse properties. Some of the best weather in the country is found here with many "Snow Birds" and second home buyer's calling this area home.

Advice to sellers is they need to price according to the market and realize that this is not the 2005/2006 market. The biggest impact for sellers are those that bought in 2005/2006 and are trying to sell. Even though there has been appreciation, after paying closing costs they are at or below a break even point. They need to have there homes in top condition and staged to show the home in it's very best light. For anyone nearing foreclosure they may be a way to stay in their homes. Call me for a free brochure that shows some alternatives to foreclosure.

With such a diversity, buyers need a Realtor that is truly aware of the inventory and the absorbtion rates. This is equally important for sellers so they can price their properties at market value. Sellers need to have patience in todays market. For details for a specific area contact me for a complete market anaylisis. Please call me with any of your Real Estate Questions and I will be glad to help.

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