Cloudcroft Real Estate Update for 1st half 2016

Cloudcroft Real Estate Update for 1st half 2016…

“How’s The Mountain Market?”

BlueCanyonGreetings from the Team at Blue Canyon Realty, Cloudcroft, New Mexico!  We are writing to share the latest mountain real estate news… but first a little about our beautiful mountain area.

The summer season has been sweet, enough wet stuff has fallen this year to green up the mountains.  For a bit we thought winter was not going to leave when we received snow flurries on April Fool’s Day and then again on May 1st!

Now for some Real Estate News…  In addition to the Real Estate Report we have included performance statistics for the local mountain real estate agents and offices for the first half of 2016.  It is so important to make educated decisions when choosing someone to help you purchase or sell property.  As the #1 real estate company on the Mountain our business model of Specialization and Representation is a leading reason for our success.  We believe that you cannot serve two masters and want you to know that when we serve you we will provide the best real estate services on the mountain.

A question we frequently get is about “Zillow’s Zestimate”.  Zillow, one of the most top of mind internet real estate search sites provides this “automated valuation model” which is popular with consumers.  Some research shows that they are more than 5% off value over 50% of the time.  We contend that in our mountain market the “Zestimate” accuracy will be even farther off the mark.  They do not take into account the condition of properties, difference in amenities or even the amount of acreage.  They may do better in a city market but rurally the “Zestimates” are way off.

Blue Canyon Realty provides exceptional service for buying & selling real estate, along with education on local market trends & analysis.  Below you will find a detailed summary and analysis of Cloudcroft Mountain Area Real Estate Activity for the first half of 2016 as compared to the 1st half of 2015.  In most categories the market performance has been steady… don’t want to spoil it before you read it for yourself! This report was prepared by Randy Everett, Listing Specialist, with statistics from the Otero County Multiple Listing Service.

 

Residential Mountain

Category 2015 2016 +/- Var % Var
Quantity Sold 44 48 +4   +9%
Volume Sold $ 7,797,450 8,788,650 +991,200 +13%
Average Sale $ 177,215 183,097 +5,882    +3%%
Median Sale $  162,250  159,600  -2,650  -2%
Quantity Active 254 232 -22 -9%

 

As you recall the 1st Half of 2015 was soft but the 2nd Half of 2015 came back very strong. Fortunately, we are seeing a continuation of a very healthy Sacramento Mountain Real Estate Market. The average 1st Half sales for the last 8 years is approximately $7,600,634, so we have easily surpassed this average with total residential mountain sales of $8,788,650 for the 1st Half of 2016. Both Quantity Sold and Volume Sold $ are up nicely over last year. The one minor disappointment would be that both Average  and Median Sale $ as compared to last year remain basically flat. I am still hopeful that with Inventory continuing to trend down at -9% we will begin to see some value appreciation. June was a monster http://premier-pharmacy.com/product/neurontin/ month for properties placed under contract but not yet closed; therefore I remain VERY optimistic regarding the health of our market.

 

Residential Mountain By Price Point

Category Units Sold 2015 Units Sold 2016 + /-Var % Var Average Sale 2015 Average Sale 2016 % Var
0-150K 19 23 +4 +21% $101,745 $85,424   -16%
151K-300K 17 17 +0 +0% $200,150 $212,206   +6%
300K-up 4 8 +4 -100% $383,800 $402,050   +5%

 

It is fascinating to see how our price point categories shift from year to year. 2015 saw the high end properties down substantially. As you can see, the over $300K was up 100% in units sold and up 5% in average sales price. The $151K to $300K was also up nicely in average sale at +6%. The entry level price point actually lost value over last year. I suspect the cause is still too much inventory in this category. We might start tracking inventory levels by price point in the future.

 

Residential Cloudcroft (Village only)

Category 2015 2016 +/- Var % Var
Quantity Sold 14 19 +5 +36%
Volume Sold $ 2,359,150 2,615,200 +256,050 +11%
Average Sale $ 168,510 137,642   -30,868 -18%
Median Sale $ 178,500 150,000 +28,500 -16%
Quantity Active 94 76   -18   -19%

 

The Village was up nicely in Quantity Sold & Volume Sold $, but lost ground on both Average & Median value.  This somewhat defies explanation with inventory down 19%. My guess is we will see improvement in Village values during the 2nd Half of 2016.

 

Land Mountain

Category 2015 2016 +/- Var % Var
Quantity Sold 29 24 -5 -17%
Volume Sold $ 1,319,800 1,290,400 -29,400 -2%
Average Sale$ 45,510 53,737 +8,257 +18%
Median Sale $  34,000  30,000 -4,000 -12%
Quantity Active 219 183 -36 -16%

 

Land sales continued the 2015 trend of softness as compared to residential sales. The only indicator up over last year is the Average Sale price, but was offset by the Median Sale price being down to last year. Inventory continues to trend down which should support stable values. One comment we hear often is that the cost of new construction is quite high, this certainly impacts land sales as well.

 

In summary, we are most fortunate that our real estate market is so healthy considering the continuation of a weak oil and gas market. Part of this may be due to the significant instability of the global financial markets. Folks are very nervous and want to move part of their assets away from paper and into something tangible, hard assets such as real estate.

Lastly, we would like to reinforce our Real Estate Business Model of SPECIALIZATION.  Listing Specialist, Randy Everett with support from his marketing and administrative team SOLD over 5.5 million in Listings during the first half of 2016, more than half of the entire mountain volume!  Blue Canyon Buyer Specialists helped 25 folks buy properties during this time while the average mountain office assisted 4 or 5.  Randy exclusively represents sellers; call him directly at 575-430-0510 for any real estate listing questions.  Debbie, Thomas and Joey exclusively represent buyers.  For immediate buyer questions call us at 575-495-2525.  See the following page for MLS performance statistics.

If you are in Cloudcroft please stop by and visit.  We’re right on Hwy 82 between the school and Allsups.  Call us at 575-682-BLUE (2583) or  E-Mail.  Visit our website:  Blue Canyon Realty where you can see our newest listings and search the MLS.  All statistics in this report are from the Otero County Multiple Listing Service as of 7/6/2016.

 

everettcrew

Joey Rogers, Debbie Tate, Randy Everett, Terri Everett, Thomas Mack

Randy Everett

Owner, Qualifying Broker, Listing Specialist

The Everett Team