The Greater Albuquerque Association of Realtors has released their home sale report for August 2012. August was another strong month for home sales, the second highest month of home sales in 2012.
Home Sales Up 13% From Last Year
Closed sales increased from 646 sales in August 2011 to 731 sales in August 2012. This is the second highest number of home sales in 2012 (there were 737 in May). This is the highest number of total home sales in six years. You'd have to go back to 2007 to find a better August for total home sales.
This was a terrific month and to help put it in perspective, there have not been more than 738 closed home sales in any month going all the way back to the summer of 2007.
Home sales were the strongest in the city of Albuquerque, the east mountains, and Valencia County in that order.
Pending Home Sales Up 17% From Last Year
There were over 1,000 pending sales were reported in August. Pending sales were up in all areas except Valencia County, with Rio Rancho leading the way. In Rio Rancho, pending sales were up 28%. Pending sales don't always translate into closed sales, some will fall out of escrow before closing, but it's still a real good indicator of market activity.
Homes On The Market Down by 17%
There were fewer homes on the market in all areas but especially in Albuquerque and Rio Rancho were listings were down around 20%. This is the lowest number of homes on the market in five years going back to August of 2006.
House Values Up Very Slightly
House values were up very slightly in Albuquerque and the east mountains. However, the median sales price in Valencia County was up a surprising 14.4%. In Rio Rancho, the median sales price was down 2.42%.
It was disappointing to see that home values didn't see significant increases in all areas, but it still seems very clear that the direction of the market is still up. It's not unusual to see home values lagging behind market conditions, and it may take many months of increased sales activity until prices show a consistent recovery trend.
This upward market direction could be disrupted, however, if the shadow foreclosure inventory is unleashed upon the market soon, or if home owners, sensing an improved market (from their perspective, anyway) begin to list their homes for sale and flood the market with inventory.
These statistics were compiled from the Greater Albuquerque Association of REALTORS®data on 09/11/2012. This data is reflective of homes which were listed on the Albuquerque MLS; private sales are not included. View GAAR's complete report here.