It is Monday, March 27th, 2023. Let’s take a look at the Albuquerque Housing Market data. I’ve got updated data that came in over the weekend as well as just what’s been going on in the real estate market nationally. And the big national story is mortgage rates. Let’s go ahead and pull up that chart. All right. We’re looking at a big move here in the last week or so. Mortgage rates have pulled back. There was a point where we were flirting with over 7 % and they’ve pulled back. Again, this is average as though these are the best rates that people get. But good news is mortgage rates have pulled back and they’ve been volatile up and down. But it’s something to keep an eye on if you’re buying or selling and just know what’s going on out there. The next chart I want to look at is our market tracker. And what this shows us is the active homes for sale in the market. It gives us a real good feel of where we are and as well as where we may be going. I’ve got some pretty good insights here in this week’s report.

And over the weekend, we got the data. And what we see here is the market action index, which is just an algorithm that tells us, are we buyer’s market seller’s market? But what you can see, the black line here is this year and we are trending up, meaning less supply, a little more demand, and that continues to be going. When we look at the number of homes on the sale for sale, we can see for sale, we can see why. And that is because we just don’t have a lot of homes on the market. You can see we’re above… Let me pull this up so we can see that. You can see in 2021, 2022, and then 2023. Now, we have more than both ’21 and ’22, but you can tell at the beginning of 2020 and the beginning of 2019, which were still solid years in real estate, we’re still down quite a bit. Just not as many people listing their homes. And we can see that in the data here on new listings. This is a weekly look at the number of homes coming on the market in the Albuquerque area. And again, the black line you can see, lowest it’s been.

And that trend has been happening since last year and going into this year. Just people aren’t putting their homes on the market as much. So it’s affected the supply of homes on the market. A lot of reasons for that. I’m not going to get into it here. But one of the beliefs out there is that people that have low mortgage rates right now, people that got those 3.5 %, 4 %, even 4.5 % mortgages, aren’t too excited about jumping into a 6.5 %, 7 % mortgage rate now. So that may be part of it. We’ll see here in the next few weeks, because generally in the next few weeks is when we do see a surge in people putting homes on the market, and as well as school gets out, we’ll see more homes coming on the market. We hope, we hope. So we’ll see. Prices. This is what I want to really unwrap here is, prices have continued to get pushed up. I just looked at the March so far data, and looks like we’re going to have a year over year home price increase March versus March, about 5 %, 4.5 %, 5 %.

We’ll see how it shakes out. But home prices have continued to increase and the February to March numbers have increased as well. So at this point, there doesn’t seem to be any relief for home buyers that are looking for lower prices or home prices going down. And we look at this data, which is looking forward, this is what homes are being listed for. You can see this week list price, again, at another all time high. It was at an all time high last week. So median list price is 445,000. And then price for square foot, which is a different way to look at pricing, also, again, all time high, $213 per square foot. Another pricing indicator is the number of homes taking a price reduction. What this is looking at is the total number of homes that are on the market in Albuquerque right now that have reduced price from when they first listed it. We’re at 31 %, which is really pretty much in line with normal. We did see this really bump up back in November and December, but it’s pulled back and we don’t see a lot of urgency for price reductions from sellers.

The other cohort I look at here is median list price of new listings as homes come on the market. How confident are sellers feeling about the market and are they pushing the prices higher? And at this point, yes, they are. They are. Again, I think this one… Let’s look here. Yeah, that is an all time high for the week for median list price of new listings. And just one other little data set I keep an eye on is the number of homes that are relisted. These are homes that came off the market for whatever reason, usually because they were pending and came back on the market. So we’re not seeing a huge number of fall throughs, pretty much right in line with normal. And then just one last thing. If you want to dig deep into this data, I have it on our website right here and you can find it under Market, under… Where am I? Here we go. Real Time Market Conditions. I have every city bookmarked here as well as every zip code in the city and you can see what’s going on in each individual zip code. If you want to look at that data, it’s there.

My take away this week based on what we see this week as well as obviously everything we’ve seen in the past is, mortgage rates are moving in the right direction, or at least they did last week. That’s good for home buyers and the affordability crunch that they are seeing. Home prices are continuing to increase. That’s not good news for home buyers, but there’s no indication anywhere in the data that we see home prices pulling back. We’ll see how that plays out. But right now, based on the list price data that you just saw, home prices are continuing to be pushed higher. Number of homes for sale is still pretty constrained, pretty limited, and we’re not seeing as many homes coming on the market than we’ve seen in years past. If you need any help with your real estate needs, obviously, that’s what we do. I do these reports just because I want to know what’s going on in the market and I watch it every week. I figured, well, let’s do a video and share it with the community. Any questions about real estate, again, it’s Ventury group at Reel Broker, 505 448 8888. Thanks.

Take care.