Is it still a Buyers Market in Northwest Albuquerque?

Is it still a Buyers Market in Northwest Albuqeruque?

Yes and No.

They say that real estate is local. That means that homes for sale in Albuquerque can be selling at a faster or slower rate than they are in Atlanta or Appleton. That's why you have to be careful when you watch CBS Evening News or whatever your news program of choice is. When the national media says sales are up, they are looking at national numbers. Actual numbers in your local market can be quite different.

Not only do different markets across the country behave differently, so do different segments of the local market.

What do I mean by that?

Well let's examine five different price ranges (segments) in NW Albuquerque areas 120 and 121.

For each price range I have compared the number of homes "For Sale" on October 23 with the number of homes actually closed in September 2009. The ratio gives us the number of months of inventory.

The National Association of Realtors says that a 6 month home inventory is a balanced market. More than 6 months of inventory in a buyer's market, less that 6 months of inventory is a sellers market.

Relative to the other segments of the market, the $150,000 and under market has two months of inventory. According to NAR, that constitutes a sellers market. In a sellers market, there are too few homes to go around, so buyers compete for the available homes. Typically you will see shorter market times and sales prices closer to list price.

The $150,000 to $200,000 price range also qualifies as a buyer market. The segments of the market over $200,000 are buyers markets, meaning buyers can expect sellers to be more motivated and willing to deal.

The absorption rate is only one statistic that you should consider when you are pricing your home for sale. Also, there is no gaurantee the absorption rate indicates how fast or slow you home is going to sell.

If you think you deserve an Albuquerque Realtor who truly understands the market you should contact me. I'll be happy to explain the market to you so you can have realistic expectations when you put your home on the market.

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