As the Albuquerque real estate market picks up steam I thought I’d take another look at one of our classic builders. There are a number of quality builders who have left their mark on Albuquerque but few are recognized as widely as Fred Mossman. With his son-in-law, Edward Gladden, Mossman is credited with building well over 7,000 homes in Albuquerque, the vast majority in the Northeast Heights.
Starting in the 1940’s and building into the 1980’s Mossman built homes with a reputation as a hands-on builder with an eye to detail, driven to construct solid, top quality homes designed for middle income families. Mossman-Gladden homes are well laid out and tend toward openness and light – an updated Mossman home can look as though it were designed in the last decade rather than the 1950s.
The vast majority of Mossman homes will be found in the Northeast Heights neighborhoods bounded by Wyoming Blvd to the east, Menaul Blvd to the south, San Mateo to the west and Osuna Rd to the north. There’s another significant cluster of Mossman homes in Bear Canyon Village, bounded by the triangle of Wyoming Blvd, Academy Rd and Truchas Drive. Jane Mahony, in a February 2013 article for the Albuquerque Journal also points out there were another 2,500 Mossman Gladden homes built in Farmington, New Mexico.
So, with a solid reputation among both homeowners and real estate brokers, you might be curious whether Mossman Gladden homes fetch a higher price than other, similar homes in the northeast heights. Let’s take a look:
I ran the numbers on both active and sold homes in the northeast heights. I started with a search of just Mossman Gladden homes and used that to define the area I’d use. I ended up with essentially a polygon that covered the area discussed above. Then I added some limits on square footage, beds and baths in order to keep the number of non-Mossman homes as close as possible to Mossman homes. Since the majority of Mossman homes were between 1,200 and 2,800 square feet in size and had at least two bedrooms and bathrooms, I used those limits.
Covering the 12 month period that ended on June 30, 2015, I ended up with about twice as many non-Mossman homes, both for sales and active listings. While that’s enough of a difference in sample size to raise the question of significance, I think it’s close enough for comparison sake.
There were 83 Mossman homes sold and just about twice as many non-Mossman homes in that period. On average (and by average, I’m using the statistical mean) a Mossman home sold for $234,820, a 12.77% premium over non-Mossmans. On the other hand, the Mossmans averaged 2,013 square feet, 7.59% larger than non-Mossmans. (In that same ABQ Journal article Mahony points out Mossman tended to build generously, especially closets and storage.)
Factor out the difference in size by looking just at sold price per square foot and you find Mossmans average $116 per square while non-Mossmans sell for about $111, a 4.05% difference. A Mossman sells slightly, though not significantly, slower at 84 days to non-Mossman’s 82 days.
Interestingly, only 12 Mossman homes sold at or above asking price, that’s 14.46% of Mossman sales, while 43 non-Mossman homes, or 26.22%, sold at or above asking price. While that might suggest buyers are more willing to pay full price for a non-Mossman home, I think it actually says sellers and their brokers are more confident in Mossman home values, tend to price higher and thus end up discounting more often.
Alternately in fact, 51 of those 83 Mossman sales went for at least 97% of the asking price (61.45%), while 70 of the 164 non-Mossman homes sold for at least 97% of asking price (42.68%), telling us Mossmans on the whole get closer to their asking price even if they don’t get it exactly.
If you look at active listings, you see many of the same trends born out. Mossmans make up almost exactly half of the active listings. Sellers are asking 11.71% more for their Mossman homes, which run about 6.25% larger. By the square foot, Mossman sellers are asking a 5.17% premium for their homes. As a result, perhaps, Mossman sellers are waiting about 5 days longer to sell.
When I talk about active listings, I’m talking about homes that are actively for sale on the market and also homes that have gone under contract and are in escrow but not yet closed. That latter group is very likely to close but since they haven’t yet and there’s the possibility they’ll end up back on the market, as well as the fact we don’t yet know their selling price, I include them as actives. An interesting number that’s not in my chart: 24 of the 82 active non-Mossman listings (29.27%) are under contract and pending close. By comparison 18 of the 42 Mossman homes (42.86%) are pending close, a much higher ratio. I think that says something about demand.
It’s clear from my numbers that Mossman-Gladden homes do get a small but (likely) significant square foot premium when they sell of roughly $10,000. As for simple gross selling price, based on Mossman-Gladdens’ interest in building roomier homes, Mossman Gladden homes sell at a premium that reaches well into the $20,000 range. As builders, Mossman-Gladden indeed left a legacy in the Albuquerque home market as regards their reputation, and that translates to real dollars.
Want to know the value of your Mossman or non-Mossman home? Drop Lisa or me a line and we’ll be happy to work up a no obligation comparative market analysis for you.
– © Joe LaMastra, August 10, 2015