Spooky Season in Albuquerque: Haunted Houses, Real Estate Tips & Market Updates
From Episode 558 of Albuquerque Real Estate Talk
By Venturi Realty Group
It’s spooky season here in Albuquerque, a time when many locals and visitors alike enjoy exploring the city’s rich past. As Asel mentions on the show, even a simple ghost tour through our historic Old Town can be a fun way to learn about the city’s deep and sometimes spooky history.
This got us thinking about a question that comes up more often than you’d think, especially in a city as historic as ours: If you’re selling a house that you believe has paranormal activity, do you actually have to disclose that to a buyer?
On our latest podcast episode, Tego and Tracy tackle this ghostly gray area. But the spooky topics don’t stop there. We also dive into real-world “scary” situations, like the scariest things you can find on a home inspection report, the truth about ‘zombie homes’, and the real financial horror of overpricing your house.
Plus, we’ve got a key update on interest rates that you won’t want to miss. (Listen to the full episode below).
The Haunted Disclosure Dilemma
Let’s get the big question out of the way. If your house has a reputation for being haunted, are you legally required to tell the buyer? The short answer, according to Tego, is no.
New Mexico state law is specific about what *doesn’t* need to be disclosed, and it covers many situations that buyers might find unsettling.
“[The New Mexico statute says] a seller or a landlord, they’re not required to disclose these things. And is that if the home was a site of a natural death, the site of a homicide, suicide, assault, sexual assault, or any other crime punishable as a felony.”
– Tego Venturi
Why You Should Consider Disclosing Anyway
Just because you don’t *have* to disclose something doesn’t mean you *shouldn’t*. We almost always advise our sellers to over-disclose rather than under-disclose. Why? Because the neighbors will talk.
“Somebody buys a new house, the neighbors walk over and say, ‘Oh, that’s the house where somebody did X, right?’ … And honestly, it happens every time. Every time. Something catastrophic happened in the home, the neighbor wants to talk to the new buyer about it. So wouldn’t it be better just to disclose it up front?”
– Tracy Venturi
The Caveat: “Adverse Material Fact”
Here’s where it gets tricky. While you don’t have to disclose a *stigma*, you absolutely must disclose any “adverse material fact”. So, what does that mean?
“The definition of an adverse material fact is something the seller knows that would affect the value of the property, the desirability of the property, or the buyer’s ability to use it.”
– Tego Venturi
You can’t prove or disprove a ghost. But if the home’s *reputation* for being haunted is so well-known that it could affect its desirability or value, a buyer could argue it falls into this category. This is a gray area you don’t want to be in, reinforcing the case for disclosing upfront.
Albuquerque Real Estate FAQ
- Do I have to disclose if my house is haunted?
No. Legally, New Mexico law does not require you to disclose a “stigma” like a haunting, or even a death or crime that occurred in the home. However, you must disclose any “adverse material fact.” - What is an “adverse material fact”?
It’s defined as something the seller knows that would affect the property’s value, desirability, or the buyer’s ability to use it. A home’s strong *reputation* for being haunted could fall into this gray area. - What is a “zombie home”?
This is a real estate term, not a supernatural one! It’s a property where the owners have abandoned it during the foreclosure process. The house sits empty, often boarded up and uncared for, while it’s in legal limbo between the owner and the bank. - What’s a “scary” home inspection item that isn’t a big deal?
One of the most common is “reverse polarity” on an electrical outlet. It sounds alarming, but it’s often a $0 to $2 fix that just requires a simple wiring correction. - What’s an inspection item that *is* scary?
Seeing the word “MOLD” on a report. If you see this, don’t panic, but do get it properly tested by an expert to find out exactly what you’re dealing with and, most importantly, what the source of the moisture is. - What is the “horror of overpricing” a home?
When sellers overprice, their house sits on the market, which creates frustration. Data has proven that they might actually lose money in the end compared to pricing it correctly from the start.
From Ghosts to “Zombie Homes”
Sometimes, a house doesn’t have ghosts—it’s just a “zombie home.” This is a real term we use in the industry.
A zombie home isn’t supernaturally possessed; it’s a property that has been abandoned by its owners, usually after foreclosure starts. The owners leave, but the bank hasn’t taken possession, and the eviction isn’t complete. It’s a house in limbo.
“So that’s what a zombie house is. It’s basically a home that’s kind of in limbo… It’s on their [the bank’s] books, but they’re not doing anything with it. It’s just sitting there boarded up. So that’s what’s considered a zombie home.”
– Tego Venturi
The Truly Scariest Things in Real Estate
Ghosts and zombies aside, there are a few things that *really* give buyers and sellers a fright. Here’s what to watch out for.
1. Scary-Sounding Inspection Items (That Aren’t)
Home inspectors can find things that sound terrifying but are actually simple fixes. Our favorite example?
“’Reverse polarity’ on an electrical outlet. Oh my gosh, it’s got an electrical problem. Well, that’s like a $2 fix, right? … It’s a $0 fix in most cases. It’s just if you know what to do, putting the wires back in the right polarity.”
– Tracy & Tego Venturi
On the flip side, a truly scary word to see on an inspection report is MOLD. If you see that, don’t panic, but do take it seriously. You need to get an expert to properly test it and find out exactly what you’re dealing with.
2. The Horror of Bad Information
One of the scariest things we see is people making huge financial decisions based on fear and bad information, especially from “doom and gloom” posters online.
“You just scared all these people… into not participating in the most dynamic and appreciating real estate market in history because you just wanted to get a few more clicks on your YouTube video. It’s just, yeah. That’s scary. The bad information out there is scary.”
– Tego Venturi
3. The Nightmare of Overpricing Your Home
For sellers, the real horror story is overpricing. Pricing too high “to see what happens” is a strategy that almost always backfires.
“[That strategy] will backfire and create more frustration and actually maybe… data has proven that you might actually lose money in the end by overpricing.”
– Tego Venturi
It’s especially painful to see sellers who really need to sell make this mistake, as they statistically end up getting less than if they had priced it correctly from the start.
Market Update: Time to End the Fright of High Rates?
Finally, let’s talk about interest rates. If you bought a home in late 2023, you might have locked in a rate over 8%. Today, rates are in the low 6% range, and some buyers are even locking in at 5.75%.
If you’re one of those homeowners with a high rate, it is absolutely time to look at refinancing. You could significantly impact your monthly payment.
“I would call the person, like the local person that helped you get that loan and… talk to them because they can run the numbers very quick and easily for you to see how much you could save by refinancing.”
– Tracy Venturi
Don’t just call the servicer on your bill; talk to the local loan officer who helped you in the first place. They can give you the best advice.
Thinking of Buying or Selling?
We’re here to help you navigate the process, from spooky stigmas to market updates. Call us for a no-obligation consultation.
☎ Phone: (505) 448-8888
✉ Email: info@welcomehomeabq.com
📍 Address: 1119 Alameda Blvd NW, Albuquerque, NM 87114