albuquerque housing market forecast 2022

Okay. In addition, the median home listing Roxanne Thomas recently closed on her new home in Albuquerque and says it was the happiest day of her life. And they always look and like, kind of give a forecast whats going on and what theyre saying for, you know, right now were somewhere around 3.1, 3.2% interest rates that, you know, it fluctuates obviously, but theyre saying through 2021, its going to stay pretty close to here in the low mid to low, to mid, to low threes. It even takes around 4 hours to reach it by driving from the nearest city. The donut shop has announced it has closed its South Valley and Northeast Heights locations. Its a supply and demand issue, said Sarah Griffin, an Albuquerque-based real estate agent with Keller Williams Realty. Earlier this year, interest rates and they vary from lender to lender on average were in the 3% and 4% range, according to Luke Ham, branch manager for VanDyk Mortgage in Albuquerque. Slightly over 30% of their active listings have had a price reduction and housing values have decreased 3.43% in August 2022. We now expect the first of three rate hikes this year to occur in March (previously we had expected a June start), though recent comments from Fed officials, such as St. Louis Fed President Bullard, suggest upside risk of four hikes. Real estate agents credited an influx of residents from other states, low interest rates and a shockingly low inventory of homes for the jump in prices. While it is too early to be certain that the COVID era is nearing its end, we expect the story of 2022 to be one of transition for both the economy and the housing market. There are actually markets where prices are down. Investor Trends: Albuquerque real estate investors, like homebuyers, will hurry to take advantage of relatively low interest rates before they get too high. Mortgage rates dropped to record-low levels amid fear of an economic contraction, which Venturi and other real estate agents credit for keeping the market strong. 2020 wasnt just a surprisingly strong year for Albuquerques real estate market. The local housing market still has some obstacles to overcome before realizing its full potential, but investors will have plenty of opportunities to capitalize on. Purchase volumes are expected to grow to $2.1 trillion in 2023, $27 billion higher than the previous forecast. It happens. De-extinction is a, Roundhouse Roundup: Paramilitary rules, youth parole, Rio Bravo Park cleanup will take longer than expected, More from KRQE NEWS 13 - Breaking News, Albuquerque News, New Mexico News, Weather, and Videos, Gun safety bill passes Senate, faces one more hurdle, Restaurants still struggling to recover from COVID, Roswell PD: Woman steals, drives wrong-way to get, State basketball tournament: Girls first round recap, BCSO: Kids were living in dirty home containing drugs, Whats happening around New Mexico Mar. As such, we could expect home sales to be about 1 to 2 percent lower than our published forecast over this next year if the recent rate increase holds. The trend continues in 2022, making Albuquerque promising for property investment. But industry professionals acknowledged that even they were surprised that the market stayed as robust as it did during a devastating pandemic. Albuquerque Real Estate Market Investing: Should You Invest? At their current level, foreclosures were up 1.0% from the previous month and 129.0% from the same time last year. Yeah. We dont foresee potential regional home price declines to be of serious concern for the macroeconomy, but nonetheless we believe meaningful regional house price risk exists for some metros. Fourth, Albuquerque may not be Miami where the sun shines brightly and warmly all day long. Their additional three locations remain open. We still expect strong appreciation for this year as inventories currently remain very tight and measures of buyer traffic remain robust. In fact, rehabbing and real estate flipping remained the preferred exit strategy for local real estate investors for a decade. Those houses are sold at prices of 3% higher than the offer. In March 2020, Nob Hill mainstay Zinc Wine Bar & Bistro closed due to the COVID-19 pandemic. That number is quite high that year but it is too small if you just invest it to sell in 2023. The number of pending sales increased 41.1% year-over-year, and the This cookie is set by GDPR Cookie Consent plugin. More people have found jobs, particularly at the state and federal levels. And they know theres a lot of bills floating around, out there in the house. Of course, there are risks to this assumption, as well as the possibility of new waves of future variants. As well. In particular, home values continue to test new highs as inventory levels fail to keep up with demand. For so many years,Albuquerque real estatehas had some areas that are considered the best for property investment. Cause now if that person saving a hundred, 200, 300, $400 a month on their mortgage payment, well, thats money that now can go back into the overall economy. So, what are the cons of investment properties in Albuquerque? Maybe were only getting an offer or two in. New Mexico Real Estate Market May 2022: Forecasts + Trends 1-833-225-3837 Find Agents Real Estate Blog New Mexico Real Estate Market New Mexico Real Saturday, April 23rd, 2022 at 7:11AM. These cookies will be stored in your browser only with your consent. When there are pros, there must be cons as nothing is perfect in this world. Indeed, some other cities in New Mexico overshadow Albuquerque; Santa Fe, Clovis, and Roswell. Since the beginning of the pandemic, the median home value in Albuquerque has increased by 36.7%. On the whole, however, we expect home sales to be dramatically lower, down 14.1% compared to 2022 as both buyers and sellers pull back from a housing market and economy in transition. Learn How To Start Investing In Real Estate, Register to attend a FREE online real estate class, building a proper rental property portfolio, https://www.zillow.com/albuquerque-nm/home-values/, https://www.bls.gov/eag/eag.nm_albuquerque_msa.htm, https://www.census.gov/quickfacts/albuquerquecitynewmexico, https://www.neighborhoodscout.com/nm/albuquerque/real-estate, http://www.gaar.com/images/uploads/statistics.pdf, https://www.macrotrends.net/cities/22908/albuquerque/population, https://www.attomdata.com/news/market-trends/foreclosures/attom-february/, https://www.sofi.com/learn/content/foreclosure-rates-for-50-states/. New crew from US, Russia and UAE arrives at CAPE CANAVERAL, Fla. (AP) -- A new crew arrived at the International Space Station on Friday for a six-month mission, after overcoming trouble with Stocks jump as Wall Street cruises to best day NEW YORK (AP) -- Stocks rallied Friday to send Wall Street to its best day in six weeks. But some others are indeed less popular like Albuquerque. Here are some of the new Albuquerque real estate market trends benefiting todays rental property investors: Interest rates on traditional loans are historically low, Years of cash flow can easily justify todays higher acquisition costs, Inventory shortages will increase rental demand. Most forecasts are calling for local home values to increase an average of 15.6% because of more buyers competing over fewer homes. Taking advantage of low interest rates and in many cases work-from-home arrangements, many households pulled forward their moving plans. The durability of changes in work, schooling, and housing arrangements is yet to be seen. Newcomers in the city are mostly only local and there are only a few immigrants who live here. Jessica Garcia is a realtor in Albuquerque and says, It is slowing down so homes are listed on average now 10 days, 14 days instead of 2 or 3 days.. In the case where national house price growth is expected to be decelerating, some of these changes can lead to regional price declines. Median List Price: $400,117 (+14.0% year over year), Median Home Value (1-Year Forecast):15.6%, Inventory Of Homes For Sale: 523 (-40.8% year over year), New Listings: 1,136 (-13.2% year over year), Closed Sales: 1,020 (-12.7% year over year), Days On Market Until Sale: 17 (-19.0% year over year), Median Rent Price: $1,274 (+16.4% year over year), Unemployment Rate: 4.4% (latest estimate by the Bureau Of Labor Statistics), Median Household Income: $53,936 (latest estimate by the U.S. Census Bureau). I think it was higher than that, but that was a few shows ago now. The cookie is used to store the user consent for the cookies in the category "Analytics". The report looks backward at the period of December 2000 or more than 20 years ago. It means that more people are interested in buying houses than the supplies. According to a February 2022 report from the Greater Albuquerque Association of Realtors, the average home price stood at $367,566. We also use third-party cookies that help us analyze and understand how you use this website. So Freddie Mac does a quarterly forecast where they look into Freddie Mac, you know, as one of the the, the big government sponsored mortgage funds basically. Bishop said he expects the inventory of new homes to remain chronically low for another 12 to 18 months. 1119 Alameda Blvd NW Albuquerque, NM 87114. Meanwhile, you can get a profit of around $104,060 in 2027 by investing $100,000 in properties today. Low income homeowners that have mortgages refinance because whats happened. Meanwhile, if we look at it in the past, from 2000 to 2010, the population of the metropolitan area increased by 21%. At that time, real estate in Albuquerque boasted a median home value of $170,000. So anyway, its interesting that, that this is that theyre doing it, that theyre offering a $15 Valor credit right now. In March 2020, Nob Hill mainstay Zinc Wine Bar & Bistro closed due to the COVID-19 pandemic. Some of the behavioral and structural changes from the past two years may prove to be long-lasting. Get the Android Weather app from Google Play, NBA opens investigation after Ja Morants social, Chase Elliott out of NASCAR indefinitely after tibia, Athlete dead in shipwreck left Pakistan to help disabled, Skier Shiffrin locks up overall title, still chases, Olympic ticket sales for Paris Games get off to rocky, New Mexico Gas Company leaders explain high winter gas bills, San Juan County sheriff who shot a dog tells his side of the story, New Mexico man sentenced for trafficking 45 lbs of meth from Mexico. Our ongoing monitoring of MBS issuance data continues to show an upward trajectory in the average back-end debt-to-income (DTI) ratios of borrowers, particularly for first-time homebuyers, indicating growing affordability pressures on borrowers. For housing, the past year's demand surge was driven by a combination of factors, including low mortgage rates, down payments supported by stimulus checks and other savings, and a pandemic-driven reshuffling of preferences and move timing on the part of many households, all of which are expected to wane. Some of the houses and properties mentioned above are known as hot homes, including in the hot list, meaning that they will be sold out faster. The severity of the variant appears to be lesser than prior waves, and most high frequency economic indicators suggest a smaller change in consumer behavior compared to the 2020-2021 winter wave of COVID. Click to register for our FREE online real estate class! Albuquerque currently has a relatively high unemployment rate. The cookies is used to store the user consent for the cookies in the category "Necessary". Based on the latest Census in 2020, the population of the city was 563,165. So, do you want to try to invest your money in this city? Those locations have many factors to make properties more valuable. After many offer rejections, she finally has a place to call her own after closing on a home in Albuquerque. The population is approximately 558,000 and theAlbuquerque metro populationis 903,000. While nothing is ever guaranteed to happen, theres a great chance home prices in Albuquerque will increase each month for the rest of the year. What are the experts saying? https://www.zillow.com/research/data/ As of April, the average rate on a 30-year fixed-rate loan was 4.72%, according to Freddie Mac. As more people continue to compete over the little available inventory, home prices will only keep rising. We expect these drivers to wane moving forward, leading to a progressively softening pace of sales in coming quarters. However, its unknown to what extent the reshuffling becomes a longer lasting phenomenon. But comparing it to cities like Los Angeles or even Miami, it is still lower. I know. In the past month, from May 26 to June 26, 2022, there are 753 houses sold in Albuquerque. According to ATTOM Data Solutions February 2022 U.S. Foreclosure Market Report, a total of 25,833 U.S. properties received a foreclosure filing (default notices, scheduled auctions or bank repossessions) over the course of February. Thus, the economy appears to be entering the mature stage of the business cycle, during which growth decelerates toward the long-run trend. While no one has a crystal ball to help predict how long the pandemic will continue, most real estate agents arent expecting a huge change to the underlying market conditions in 2021.