What's going on in RE business in ABQ?

Hi!
Every day I have friends, clients, and associates ask me, “What’s going on in the real estate business in Albuquerque?” In fact, I have been asked this question so much lately that I thought I would send a letter explaining what I see happening in Albuquerque real estate.

Let me begin by saying the number of homes sold in 2007 is approximately 25% less than the number of homes sold in 2006. Many things have contributed to this decline, but I believe the largest contributor to be the decrease of consumer confidence caused by the failure of the sub-prime mortgage market. The media has focused on the increasing number of foreclosures across the country. Many of these foreclosures are the result of very aggressive lending policies created by the euphoria of a bull market.

In Albuquerque there were fewer foreclosures filed in 2007 than 2006! As an example, Phoenix posted 1 in 84 mortgages in foreclosure. Albuquerque improved significantly from 1 in 204 mortgages in foreclosure in 2005 (a record year for real estate sales), to 1 in 395 in 2007! I do expect the number of foreclosures to increase in 2008, but it seems we should come out of this correcting market sooner than most of the nation!

Contrary to what the media is saying, homes are still selling in Albuquerque! There is an abundance of very attractive 30-year mortgage programs available at historically low interest rates. The selection of homes available is outstanding and there is a good supply of buyers in our market. By all indications Albuquerque real estate continues to be a very sound investment.

As of today, there are less than 6,600 homes for sale in the Albuquerque area. We are selling approximately 500 homes per month. That would equate to an eleven-month supply of homes on the market. Still there are “pockets” of homes in Albuquerque that are selling at a faster rate and are appreciating in value as well!

If it is a great time to buy, can it be a great time to sell? I am convinced that it is the best time to sell! I have included my example which supports my belief. If you have any questions about this example please call and I’ll be happy to explain my thoughts. You should be aware that the only difference between a “High Market” and a “Low Market” is timing. It may take longer to sell in a low market so plan appropriately. As you can see, now is a great time to move!

Albuquerque is on the charts nationwide. We are getting really good looks from major industries. Many of these lookers are tired of the super high cost of living on the west coast! Albuquerque is a really good choice because of our environment, workforce and mixture of our cultures. Additionally, commute time is much more attractive than many other choices in the states!

If you have any additional questions regarding buying, selling, closing or financing real estate, please don’t hesitate to call me.

Sincerely,

Coldwell Banker Legacy, Realtors

PS. If you would like input about the specifics on your real estate, I’d love to help you!