The median price of a home sold in September was $195,000. That’s a rollicking jump of 11.43% over last September’s $175,000 and is likely a result of our somewhat tight inventory. The mean price of a home sold in September was up a more modest 5.17% to $225,514 from last September’s $214,438. That says Albuquerque was strong in the middle but not so much at the top of the selling range.
There were 705 homes sales in September, a modest 3.68% increase over last year’s 680 homes. Year-to-date (YTD) there have been 6,302 homes sold in Albuquerque with a median price of $185,000. That’s a 7.89% increase over the 5,841 homes in the first three quarters last year and a more modest 2.83% increase over last year’s $179,900 median price.
Homes are selling at a median price of $110 per square foot YTD as of the end of September. That’s a solid increase of 2.80% over last year’s $107 per square foot and closely tracks the general price increase.
Note the median price per square foot of homes sold in the month of September was $112, a 4.67% increase over last September’s $107, but not as much of a jump as the actual median selling price noted above. That means buyers bought slightly larger homes in September and got a better deal by the square foot.
So far this year, 1,966 homes have sold at full price or higher. That’s just under a third of all sales. In September 224 homes sold at full price or higher, also just under a third of all September sales.
Homes continue to sell very quickly in Albuquerque. Half the 705 homes sold in September went into escrow in 27 days or less. That’s substantially faster than the 39 days to escrow in September 2015. For the first three quarters of 2016, half of the 6,302 homes sold were in escrow in 31 days or less, also a substantially quicker pace than the 44 days it took in 2015.
As of September Albuquerque had a four month supply of homes. The real estate industry generally agrees that a six month supply is a neutral market and that once we drop below five months inventory, we’re in a seller’s market. The low inventory and quick pace, as well as the increased number of full price sales say we are on the seller side of the market.
In fact, in September of 2015 Albuquerque had a 4.77 month supply of homes available. This September’s 4.03 month supply is a 15.51% tighter market. Great news if you are a seller, not so hot if you’re a buyer.
As of September there were 2,691 homes active on the market. Same time last year there were 2,907. That’s a 7.43% reduction in inventory. There were also 688 homes pending sale (in escrow) in September, a 7.17% increase over September 2015’s 642 homes.
However, 1,040 homes came onto the market in September, 6.23% more than came on last year. My guess is some sellers who’ve been waiting out the weaker market of the last few years and now testing the water and taking their shots. That slight increase in new listings doesn’t look to be enough to have a significant impact on the tight inventory we’re seeing.
Below are some price range tables – for sales and for active listings. The general trend is a reduction in sales and availability of homes in the $200k and less part of the market.
In that low range you can see a bump in the $80k – $90k segment. When I first saw that, I figured it was driven by condo and townhome sales but that’s a wrong assumption. There was a fairly even distribution of condos, manufactured homes and single family homes (many bank owned) that simply went cheap.
If you want more detailed information than my above charts, info on your own neighborhood specifically, or an analysis of your own home’s value, drop me a line.
– Joe LaMastra, Realty One of New Mexico, October 24, 2016