Patience is the Key! – Albuquerque Home Buying Secrets

by | May 5, 2021 | Albuquerque Real Estate Talk | 0 comments

Patience is the Key! – Albuquerque Home Buying Secrets

(Transcript Snippet): “Tracy:

You know, the, the topic Tego that we wanted to talk about, we can jump right in. Right. you know, stay calm. Right. The market’s hard for home buyers right now.

Tego:

You know, one of the things that we’ve seen a lot of, and if you are a home buyer or know somebody that’s, you know, looking to buy a home right now, a frustration seems to be the key term. Right? Right.

Tracy:

Yeah. It’s an emotional roller coaster, right. Being a home buyer, you go, you look at houses, you pick your favorite one. You get that offer in right away. That seems like a good offer. And you don’t get selected. And you F you know, you go back out and look for more homes and find another one, and you get all your hopes and dreams in that house. And my family’s going to be here and, and you put in an offer and you might not get it. You know, that could happen several times. It can be very frustrating. But it seems like lately Tego, especially, I’ve always said this, but I’ve seen a few instances in the last few weeks where the house, the person didn’t get the first time the house that they ended up, being able to buy and being selected to buy is really the better house. You know, it was like, meant to be

Tego:

Times over the years, we’ve seen that Tracy and we, we can personally attest to that as well that, you know, we lost out on a house. We were purchasing and turns out the home we ended up buying was even better.

Tracy:

Yeah. Oh my gosh. I’m so glad for what we ended up with versus the offer that didn’t get accepted. Yes.

Tego:

So, so I think, you know, I think the, the takeaway for, for buyers right now is patience, patience, patience, you know, it, it is going to take some time or you might get lucky, right? You might decide, okay, now’s the time I’m going to go talk to a lender. I’m going to get my pre-approval, I’m going to be ready to go to buy. And you start looking and all of a sudden, Oh, well, there’s the perfect home. And you get it.

Tracy:

And you ended up being able to buy it,

Tego:

Buy it. However, more today it’s people are having to put in multiple offers. You’re going to have to spend a lot of time watching new home listings as they come on the market to be, be there, ready to go, to go look at it. As soon as it’s as available to hit the ground running with the offer and in a great realtor, Tracy, we’re going to, we’re going to talk about the realtor community here. And I know we’re kind of preaching. We’re talking about ourselves here, but having a great realtor is key, right? Because what’s that realtor going to do for somebody that that’s looking for that home?

Tracy:

You know, the realtor is going to go to their experience of works, you know, the communication and the strategies and tactics to help our buyers get their offers selected. And it’s not all about price. There’s a lot of human element in it, unless we’re working with a seller that’s, you know, a company or something, even then the agent has some human element involved. But yeah, patience is the key. Don’t, don’t lose faith. It’ll happen.

Tego:

Well, there’s the, the story we talked about last week, I’m just going to circle back to it because I think it’s, it’s part of this conversation is how come there’s so few homes on the market? How come we don’t have more homes on the market? I saw a chart.

Tracy:

I was going to say, I’m sure you have a chart for that. Yeah.

Tego:

And what it looked at was how many homes were built by decade. And so it went back, gosh, it went back, you know, from, yeah, actually actually the thirties to forties, the forties to fifties, 50 to 60 and so on. Right. All the way through. So in, in 2000 to 2009, for example, so during that 10 year period, there were 27 million homes built in the United States that 10 years before that the nineties, it was 26.7 and then 25 million and the eighties and 26 million in the seventies. Well, in the, the teens, let’s say from 2010, until 2019, there were only 5.8 million homes built in the United state, which is like, what’s the math on that? Less than a third, a quarter, it’s less than a quarter. Right. And it, and so we, we have underbuilt for the last 10 years, that’s nationwide, Albuquerque in particular. And along that line, I can talk about the journal article that came out last week that I was quoted in. And that, you know, Albuquerque actually for, for new construction is way behind many other markets in the country on new new residential construction.

Tracy:

So let me just recap that Tego from 1970 to 2009, each 10 year, decade, there were over 25 million homes built each year in the United States, 2010 to 2019, there were less than 6 million. So you’re right. Less than a quarter of what we were seeing all those other decades. So that contributed, we’ve been calling it the lost decade. And you know, all of those homes that didn’t come on the market, we have all these buyers. Now, interest rates are low. It’s a favorable time to buy, especially with people who’ve been in apartments, in multifamily. And with COVID being stuck there with, you know, not stuck with kids, but home with a full house bustling trying to do school, perhaps work from home, realizing it’s time to get a house that works for my family. We have a lot of people looking for her

Tego:

Well with the favorable interest rates that do not look like, and we’ll get to the the Fannie Mae, or is it Fannie Mae or Freddie Mac, Freddie Mac housing forecast and, and, you know, interest rates don’t look like they’re going to go down. Substain are, excuse me, go up anytime

Tracy:

They have gotten back down a little bit though, in the last week, that’s true. They did. They’re more favorable. Well,

Tego:

So just to wrap that up, if you, if people are looking to buy a home this year, get yourself a good realtor, that’s really gonna work with you and bird dog for you as well. Because we do hear about coming soon listings homes that aren’t on any of the national websites or any of the public websites. The other day, there were 60 homes in the local Albuquerque MLS that were in coming soon status, which means they’re there, they’re in the pipeline, but they haven’t gone out to what we call syndication in the MLS world. Haven’t gone out to all the websites that show up.

Tracy:

They’re not public yet. They’re not public yet. It’s giving us as realtors, the heads up that they’re coming, but they’re not public.

Tego:

So a good realtor patience

Tracy:

A good realtor is just a broad stroke though, too. I mean a good realtor. There’s a lot of good realtors. What makes one, but we won’t go into that. So a good lending strategy, a great local lender. Yep. So, yeah,

Tego:

And all those things, man. And there’s, yeah, we can name a hundred different things that are going to make a difference or two to winning that, that offer.