Trending along with the nation, Taos market conditions are changing. But some things don't change.   As a leading Taos Realtor, Joel agrees with the Wall Street Journal's advice.  The reasons why you sell and the process of buyers choosing your home are universal. 

1.  Seller's regret.  According to Zillow, 84% of those who sold a home for the first time between late 2020 and 2022 wish they did something differently.

2.  Ask yourself:  Why sell?  What is your time frame?  Need to sell fast for relocation for work?  Or retiring needing to maximize the nest egg?

3.  Hire a Realtor who is deeply experienced in the local market and sells properties like yours.

4.  Have a CMA report done on your home's current value, based on location , age, size, construction, style condition and comparable properties in your neighborhood.

5.  Upgrades boost the value of your home.  Focus on recent sales, pending contracts for amenities and square footage, bedrooms and baths.

6.  Mortgage rates are affecting buyers.  The typical monthly mortgage payment is up 26% compared to a year ago... Consider the rates when coming up with your asking price.

7.  Develop a strategy:  Choose the price at, below, or above perceived market value.  Determine a "best possible price" along with a "value proposition". Reassess after two weeks on the active market.  

 

Above Photo link:  In-Town. Valverde Commons - Over 55 Co-Community

The Taos market has slowed as the national trends reflect the same. The market is more stable  in pricing, our support industries are more timely in services delivered and we return to a more normal market.   According to RISMedia's Real Estate magazine 9/23, "The housing market is stabilizing after the turbulence of the pandemic....price appreciation is back to normal after a short reset, but that means buyers still face serious cost challenges and competition, especially for the affordable house...."

Stats for Q3 Single Family Homes:  Active listings (136) are more than 2021 (89) at this time, but less than 2022 (164) due to less frenzy of the market, days on market being longer and sellers not listing.  There are fewer pending contracts (31), down from 2021 (135) and 2022 (78).    There are fewer sales (67), down from 2021 (112) and 2022 (104).  The average sales price ($548,336) is down from 2021 ($603,538) and 2022 ($572,438).  The absorption rate is increasing from 3 month inventory in 2021 to 6.1 months in our Q3 2023.

Luxury Homes of $1M+: Currently with 29 active listings, 4 unit sales since the beginning of Q3 (7/1/23)  with 5 pending contracts up to $3.2(TSV).  The absorption rate is now 21.7 months.

FYI: Condos sales average $441,675.  Building sites of <5 acres average $79,903 (top sales being $367,450).  Total Taos Valley Market had 146 unit sales this quarter. 

Above photo link:    Your Base Camp between Angel Fire and Taos  

Who wants to make an investment that doesn’t yield a return? Certainly not real estate investors. They have formulas to assure their success as much as possible. One favorite is the one percent rule.

Rocketmortgage.com explains that the one percent rule “measures the price of the investment property against the gross income it will generate.” That means that an investment must generate at least 1% or more in rental income based on the original purchase price. The rule continues as the investment property appreciates in value, which means the potential for profit in the form of higher rent is even greater.

If you want to buy an investment home for $300,000, you should be able to collect $3,000 in rent. Ask Joel's Team to provide a comparative market analysis of nearby similar properties so you can compare purchase prices and rental prices for those properties.

For greater accuracy, include the costs to renovate and repair the property, and to bring it up to modern building codes for safe habitation. 

Above photo:  Taos Mountain Vista Subdivision Lots: Selling Near Taos Country Club, UNM, and Rio Grand Gorge

The garden is put to bed.  I look out the window and just see the asparagus ferns, horseradish plants and the old sunflowers that the birds are enjoying.   

The squashes are perfect to cook up and freeze for pies and soups.  The tomatoes this year were happy in a new warm and protected place next to our shed.  We HAVE tomatoes!  I found a wonderful French recipe for Tomato Tart using a Pillsbury crust smothered with Dijon mustard and sliced tomatoes.  

Gardens are a lot of work, but Joel finds that the plants don't talk back, with only a snake that might slither over to the next plant.