Cloudcroft Real Estate Update for 1st Half 2011 “How’s the Mountain Market?”

Summer Greetings from The Everett Team at Prudential Blue Water Real Estate in Cloudcroft, New Mexico.

Below is a detailed summary and analysis of the 1st half 2011 Cloudcroft Mountain Real Estate activity.  Looks like some ups & downs on our mountain this year.  This report was prepared by The Everett Team and we will keep you updated quarterly throughout the year.

Cloudcroft Area Real Estate Update 1st Half 2011

The Everett Team at Prudential Blue Water Realty not only provides exceptional service for buying & selling real estate, but we also strive to provide education in regards to local market trends & analysis.  To that end we have provided market statistics, for the 1st half of  2011 as compared to the 1st half of 2010.

Our analysis & summary of this information follows:

Residential Mountain

Category 2010 1st Half 2011 1stHalf +/- Var % Var
Quantity Sold 39 34 -5 -13%
Volume Sold $ 7,073,747 4,849,366 -2,224,381 -31%
Average Sale $ 181,378 142,628 -38,750 -21%
Median Sale $
Quantity Active 243 269 +26 +11%

As you recall, 2010 was a fairly stable year for Residential Real Estate in The Sacramento Mountains.  Performance for 2011 is beginning to reflect the softness in the economy.  The number of homes sold is down 13% to last year.  However, the primary concern is the average sales price per home is down 21% to last year.  I do not believe that this is an indication that our values have fallen by 21% across the board.  What this reflects is a very sluggish market for the “high end” homes.  The market for properties below $200,000 remains stable; perhaps losing some value, but this is where the sales are.  I remain encouraged that our inventory levels are only up 11% over last year.  This is the key indicator of future value stability.   Demand has softened considerably for the expensive homes while our “bread & butter” properties, vacation home getaways for the middle class, remain in demand.

Residential Cloudcroft (Village only)

Category 2010 1st Half 2011 1stHalf +/- Var % Var
Quantity Sold 12 11 -1 -8%
Volume Sold $ 2,397,490 1,564,800 -832,690 -35%
Average Sale $ 199,790 142,254   -57,536 -29%
Median Sale $ 209,500 106,000 -103,500 -49%
Quantity Active 70 74 +4 +6%

We have a greater concentration of  “high end” homes in the Village of Cloudcroft; therefore the trend mentioned above is disproportionally reflected in the Village.  As you can see, the number of homes sold is only down 8% to last year, but the average sale per home is down 29% to last year.  The median sale being down 49% to last year is proof positive of this trend…below $200k is relatively stable…above $200k has all but disappeared so far this year.  Once again, inventory levels up only 6% are a great indicator of future stability for the Village.  We are hopeful that “high end” buyers will return in the near future.

Land Mountain

Category 2010 1st Half 2011 1stHalf +/- Var % Var
Quantity Sold 13 21 +8 +62%
Volume Sold $ 1,275,500 2,670,500 +1,395,000 +109%
Average Sale$ 98,115 127,167 +29,052 +30%
Median Sale $
Quantity Active 382 287 -95 -33%

Remember the “high end” buyer who disappeared from our housing market…they STRONGLY showed up in land sales.  These numbers are VERY strong; quantity sold up 62%, volume sold up 109%, average sale up 30% & most interesting, quantity available down 33%.  This is a classic case of supply decreasing & demand increasing, resulting in higher land prices.  As I said in the 2010 report, the “hard asset” play is on…folks are swapping their paper (stocks, bonds, currency), for something tangible…land!  This is not a “land rush”, but it is definitely healthy for mountain real estate!

In summary, we continue to believe that our little slice of heaven remains a safe & stable place to not only invest your hard earned money, but to enjoy the tremendous quality of life as well!  Our purchase of a vacation rental cabin through our Self Directed IRA is proving to be a great investment.  As you can see, the Everett family is “walking the talk”.

Lastly, I would like to reinforce our Real Estate Business Model of  SPECIALIZATION.  In a more challenging market, you need a Specialist!  We look forward to serving your Real Estate needs as SPECIALISTS in what we do.  Randy exclusively represents sellers; give him a call at 575-430-0510 to discuss any real estate listing questions.  Georgia & Crystal exclusively represent buyers; call Georgia at 575-430-8520 & Crystal at 575-308-9111.   If you are in Cloudcroft, stop by and visit The Everett Team at our Prudential Blue Water office.  We’re in the Burro Street Exchange Building on Burro Avenue.  We can also be reached via e-mail at:  Everett.Team@gmail.com .  Take some time and visit our website at:  www.CloudcroftRE.com where you can see our newest listings and search the MLS.

Randy                          Georgia                      Crystal                 Terri