2016 was a very good year for the Albuquerque real estate market. Home sales were strong and home values were definitely moving in the right direction – for homeowners that is. If you’re a home buyer, the market is becoming very challenging!
Total Home Sales
It was the best year for home sales since 2006! As you can see on the graph below the market has been steadily improving since 2011. It wasn’t until 2015, however, that the Albuquerque real estate market saw the same level of home sales seen since the market downturn in 2007. Home sales surpassed that level in 2016 and were similar to the level of sales we saw in 2004, a really strong year for Albuquerque real estate.
Average Sales Price
The average home sales price hasn’t recovered as nicely, although home prices have been steadily on the increase since 2011. While this might seem surprising, I’ve noticed in the past that home values tend to lag behind market conditions. This was the case in 2007, when the market downturn began, when home sales were on the decrease yet home values continued to increase.
What Will The 2017 Real Estate Market Perform
It’s impossible to say for sure what will happen to the market in 2017, but there are no indicators yet that the real estate market is slowing down. In fact, inventory levels are low right now, so without an influx of new listings, I expect to see an increase in the average home sales price and a decrease in the days on market.
We’re already seeing multiple offers on homes that have been made ready to sell by their owners. I expect this to continue throughout the year.
If you’re thinking of selling your Albuquerque or Rio Ranch home, this would be a great time to contact me about listing your home for sale.
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