For the most part, it hasn’t been a strong winter for the Near North Valley. We’ve seen a decrease in unit sales for February and for the first two months of the year (YTD) over last year, and we also see the median home sale price declining for the month and YTD, though we do see a bump in the average (mean) price of a home. Another bit of good news is the increase in the price per square foot of a home paid by buyers for February, at least.
On so few sales it’s hard to evaluate things like mean and median sale prices. Just not a large enough sample size to draw much real meaning. The low sample size itself is the issue here and with Albuquerque overall seeing an almost 7% increase in sales for February there’s no question the Near North Valley is under performing its encompassing market.
On the other hand, if you look to the bottom of our table you’ll see a sharp increase in February pending sales, homes that are in escrow and waiting to close. That suggests this area of the Valley may be simply suffering a lag and may come back nicely as we progress into spring.
I’ll be interested to see what happens in March and whether these pendings all get to the closing table. We’re also seeing an increase in listing prices in the Near North Valley. That probably has less to do with seller confidence and more to do with the clearing out of low end inventory over the winter. It seems the last few month had buyers snapping up deals on the lowest priced homes in the Near North Valley and a good bit of that inventory is gone. If this is true, we’ll see selling prices come up as we move into springs and summer.
There’s also been a decline in the number of foreclosed (REO) homes sold, with three so far this year and all of those in January. As of this writing and not represented in the table, there are only six REOs available in the Near North Valley, which is 4.35% of the current 138 homes listed for sale. That’s actually a slight improvement over Albuquerque’s 121 REO homes (4.76% of the total 2543 listings as I write this).
So perhaps, as we go through spring, we’re going to see not only a nice increase in sales, but some increasing prices.
A look at the Active Listing by Price Range table below shows the drying up of lower priced listings over last year and the price movement to the higher end of the range.
If you’re thinking about selling or buying a home and would like a more specific analysis of a particular area, neighborhood or home, drop us a line and we’ll put one together for you.
– Joe LaMastra, March 27, 2015