The June real estate market numbers have been published by the Greater Albuquerque Association of Realtors, and they do not look great for homeowners. Home sales are down, listings are up and it remains a buyer's market.
Albuquerque Home Sales Stats
- New listings are up. 9% more homeowners put their houses on the market this June than last June.
- Pending sales are down. The number of homes that went under contract last month was down 2%.
- Closed sales are down. Closed sales were down 4.5% this June compared to last June.
- Home inventory is up. 14% more homes are available this year than last.
- Average sales price was down. About 2%, however the
- Median sales price was up almost 3%
Rio Rancho Home Sales Stats
- New listings are up. 14% more homeowners put their houses on the market this June than last June.
- Pending sales are down. The number of homes that went under contract last month was down 12%.
- Closed sales are down. Closed sales were down 19%.
- Home inventory is up. 22% more homes are available this year than last.
- Average sales price was up. In spite of the other bad numbers, the homes that actually sold averaged about 5.5% more.
- Median sales price was up a surprisng 9%.
There were some seemingly contradictory numbers out there last month when it comes to home prices. When sales are down, common sense would tell you that prices would be down as well.
I think what we are seeing here is a market that is changing, and in a changing market home sales prices tend to lag behind market conditions. Make no mistake, if home inventory continues to build like it does every summer, the glut of homes on the market relative to buyer demand will eventually drive prices down. This balance between homes on the market and buyers in the market place is called the absorption rate.
Read more about absorption rate.
What Does this Mean to Home Buyers?
It means there are more homes to look at, but it also means sellers will be holding tight to their list prices, even though those prices were probably determined using real estate stats from 3 or 4 months ago. Those stats are now meaningless, but sellers are traditionally slow to reduce: except for the homeowners that are truly motivated to sell.
Homewowners who are truly motivated will face the reality that the market has changed and they will reduce the price of their homes to sell, but it's going to take time for them to realize that.
In conclusion, it's a great time to buy, but keep your eyes out for the good deals. They're going to be hard to find.