Albuquerque’s Most Wanted — Home Sellers!
We’ve just studied the latest area real estate statistics, for April, released by the Greater Albuquerque Association of REALTORS® (GAAR).
Yet again, these statistics reflect the current health of the economy and job prospects, with impressive levels of year-on-year growth.
Indeed the GAAR reports that homes that are well presented and accurately priced for market conditions are selling fast, often attracting offers above list price! And the Association also says that there are absolutely no signs of buyer demand subsiding in the immediate future.
All in all, it’s an extremely rosy picture right now. Detached pending sales showed a very impressive annual increase of 23.2%, with a 10.6% improvement in the first five months of 2017 alone. Detached median sales price rose by 5.1% on the same period last year to $194,500, while the average detached price demonstrated an even better 8.8% rise in the same timeframe, to $235,875, comparing with April 2016’s figure of $216,838.
Right now, detached home sellers are receiving an average of 98.3% of asking price.
While all this is nothing but great news, there’s still one major, and developing, area of concern — shortage of available homes for sale.
In fact, you could definitely argue a case for saying that, right now, Albuquerque’s most wanted persons are home sellers.
As impressive as the current stats are, given that there is less choice across the market at the moment, it certainly begs the question if things would even be better if buyers had more properties to choose from?
April 2017 new detached listings were down by 3% on the same period in 2016. Not good news, of course, but the more dramatic, and concerning, figure is that overall inventory of available detached homes for sale has declined by almost a quarter in just one year (24.8%).
At the end of April, there were just 3001 detached homes for sale. Contrast this with 2015, still a busy time for home sales, when availability stood at 4,674. That equates to roughly a 35% drop in two years…
What this means is that we currently have only about three months of supply in the market at the moment, given the rate of sales over the past 12 months — a 29.5% fall in a year…
As we’ve mentioned before, there is no silver bullet reason behind the lack of new listings. It’s essentially a combination of a myriad of circumstances, not least that people gave up on selling a home during the years of recession and have never revisited the possibility, plus the fact that many sellers are happily locked into low mortgage rates.
But if you’ve been on the fence about selling and, for example, may be considering upgrading, or even downsizing after the kids have left home, these latest figures demonstrate that there has rarely, if ever, been a better opportunity to get the best possible return and in the shortest possible timescale.
There’s much less competiton around and extremely enthusiastic buyers chasing fewer homes. It’s the perfect sellers’ market.
Whatever your situation, why not contact us at The Romero Team today for an informal discussion of how we can assist you in making the very best of the great current scenario.