What is the Best Time To Buy an Albuquerque home?
People all across the country purchase homes every day. Buyers often ask, what is the best time to buy an Albuquerque home? Regardless of the season, economy, or world events, homes sell every day of the year, including Holidays. So the question of the Best Time To Buy an Albuquerque home is entirely up to the buyer. What is bringing you as a buyer into the real estate market? A job transfer or a growing family? A change in income allowing a larger home? Downsizing after the children have left home? A buyer will choose to enter the real estate market for many reasons. Below are some solid reasons why now is a great time to purchase a home.
Inventory and Selection: Inventory is in constant flux; higher inventory may mean more options and opportunities and possibly more affordability due to competitive pricing. Regardless of the price range and buyer desires, there are typically plenty of homes from which to choose. Just a few years back, resale inventory dropped significantly. Buyers were forced to compromise and often lost their dream homes to other bidders. There is good availability of single-family detached homes, condos, and townhouses.
Fewer bidding wars: During the peak of the Albuquerque Real Estate market, one buyer client made an offer on six different homes. They lost the first five to the ‘feeding frenzy’ that existed. Other buyers were bidding the properties up substantially over the original asking price. There were escalation clauses where buyers authorized their brokers to outbid other offers by thousands of dollars. Currently, little competitive bidding is happening. Yes, if a great home arrives on the market and is priced correctly, you may likely see more than one competing offer.
You can make a reasonable offer: Today, the selling price versus the list price ratio is about 97% to 99%. Most sellers have been educated by their Broker and Realtor® about today’s market, so it’s not uncommon for a below-asking price offer to be considered.
Patience is tolerated: Everything was rushed during the hot seller’s Albuquerque Real Estate market. Find a house before other buyers did. Hurry up and make the offer. Today a home buyer can take a bit more time during their Albuquerque Home Search. Look at several homes in the Albuquerque and Rio Rancho Real Estate market and carefully consider your decision. But again, a home priced well and shows well may not last long.
Du-diligence is expected: We always encourage buyers to obtain home inspections; however, In the past, many buyers waived these contingencies to gain an advantage when the seller was considering multiple offers. No inspections open the buyer to risk of some egregious defects. Always do your due diligence and get those inspections that are important to you.
Bank Owned (REO) and Short Sales: Albuquerque Foreclosed Properties and Short Sale properties (homes being sold short of their mortgage balance) are available. Foreclosures provide an excellent opportunity for qualified buyers to take advantage of these often deeply discounted properties. A buyer in these scenarios will typically need additional cash for closing and should prepare with a healthy dose of patience. However, the discounted sales price should easily outweigh the cash outlay. Remember that repair contingencies are normally not considered in these types of transactions, so be sure you get a good home inspection to know what repairs will need immediate and long-term attention.
Repair requests are considered: After a buyer completes a home inspection, their contract allows for objections to those inspections. In the past, a seller might insist the home was being sold ‘as is’ or offer very little toward that repair concession. Sellers may now be more considerate of these requests.
Fewer investors: It’s estimated that one-third of all Albuquerque Home Sales in 2005/2006 were to investors. These non-owner-occupied buyers caused the market to inflate and affordability to decline. Unfortunately, mortgage fraud had become commonplace. So, it’s a great time to buy without competing with hundreds of prospective landlords with deep pockets.
Location, location, location: Today’s buyers can find homes closer to work and in neighborhoods that fit their needs and lifestyles. In this healthy Albuquerque Real Estate market, reasonably priced homes are often within biking or walking distance to schools and shopping.
Genuine Financing is available: The ‘wink, wink’ zero down, no documentation, adjustable, subprime loans are long gone. Fixed rates are back. FHA financing, first-time homeowner grant programs, and particular loans for teachers and police officers are also back. Interest rates are higher than in recent years; however, they are in line historically. Many buyers will purchase their home now, even with a bit higher rate, with the action plan to re-finance the loan when rates settle.
So What is the Best Time To Buy an Albuquerque home?
If you are considering purchasing a new home, consider your many advantages today while inventory is good and sellers are ready to sell. The best time to buy an Albuquerque home is when you have the need, the desire, the finances, and the wise goal of homeownership. Consider this article about how we help you as an Albuquerque Home Buyer. You can also read and download our Buyer’s Guide.
For more information on how to start the buying process, call us, and let’s have a great conversation about your real estate dreams and goals.