Real Estate Information Archive

Simply put, an Investment Property is a property that a homeowner uses to generate income and build equity. A second home, on the other hand, is a property where a homeowner lives for a part of the year. So, if you’re using the property to make a profit then it would be considered as an investment property.

Here are some examples of investment properties:

A home that is being rented

A vacation home by a resort area, beach, golf area or ski area

A property that your fix-up and flip

If you’re going to finance an investment property be ready for higher interest rates and larger down payments due to a higher risk for the lender. For flips cash is a great options.

You can get traditional financing on an investment property but it would need to be an owner occupant, that you would have to buy a multi-unit or an apartment building and live in one unit (year-round-living). You should be able to finance the property the conventional way with low rates and low down payment. 

Pete Veres has over 25 years of real estate investment experience and says that real estate is one of the best ways to build wealth. There are so many ways to do this, for example you can even buy, flip and hold properties in a Self-directed IRA ( make sure you consult with a specialist), set up cash flow properties and even do an Airbnb. For example if you own a rental the tenant pays down your loan and over time you will increase your equity. Contact Pete 505-362-2005 to discuss what option would work best for you. 

We’re a few months into the year and many potential buyers and sellers are wondering, is this a good year to get into the market? Many current homeowners are thinking about the value of their homes, even if they’re not thinking of listing anytime soon.

The information I’m sending this month provides an overview of what’s in store for the American real estate market this year based on expert predictions and current price and sales data. Please click here to view: What will the market look like this year? These forecasts provide insight into current trends and paint a picture of what may happen this year. Please note that this is an overall update of the national market, local and regional factors may play a role in specific forecasts for our market.

If you’d like to know more about our local market, want to know how much your home is worth or are thinking of buying or selling, give me a call. I’d love to discuss the market with you and assist you with all of your real estate needs.

Home prices have gone up recently and the reason behind it is that there are a lot more home buyers than homes that are on the market. You may be thinking that this isn’t a good thing, but it actually is.

What’s good about the increase in prices, according to CoreLogic’s US Economic Outlook, is that the average American home has gained equity over $11,000 over the course of last year. This is a national average. In Albuquerque our market average was 4.13% but the prices are area specific.

People are investing their new-found equity on themselves and on their home which is excellent. Investing it on their home is a lot better than spending it on depreciating assets.

This equity helps people put their kids through school, invest in business and even pay off their mortgages earlier.

It is predicted that home equity will appreciate by 5% next year.

Here are some stats for Albuquerque.

The average annual sales price for single-family detached homes rose 4.13% to $224,230

The median annual sales price for single-family detached homes grew 5.42% to $189,755

The number of attached and detached home sold jumped 7.65% to 11,764 transactions this year

Inventory of the 3,247 existing homes for sale is at its lowest level since May 2006

Here’s the complete Albuquerque 2016 Yearly Real Estate Summary:  2016 Market Report

If you are thinking of selling this may be a great time. First thing is to get a market analyisis to see how homes are priced in your area. Contact Pete Veres at 505-362-2005 for your free market analysis.

Track the Market: Get the latest market updates here: www.abqmarketinfo.com

With the free market snapshot, you’ll get real-time real estate updates sent directly to your email.

The 2016 Market Statistics are in and we wanted to share those with you. Our market continues to show improvement. We are still seeing some excellent buying opportunities in some areas but inventory is dropping which means the market will start to favor sellers. Here are a few stats and if you would like the complete Albuquerque 2016 Yearly Real Estate Summary please click here: 2016 Market Report. In addition, if you would like to track the Homes for Sale, Homes Pending and Homes Sold in your Area go to www.AbqMarketinfo.com for your Free Market snapshot.

A Few Stats for the 2016 Greater Albuquerque area housing market:

The average annual sales price for single-family detached homes rose 4.13% to $224,230
The median annual sales price for single-family detached homes grew 5.42% to $189,755
The number of attached and detached home sold jumped 7.65% to 11,764 transactions this year
Inventory of the 3,247 existing homes for sale is at its lowest level since May 2006

The numbers are in for 2016. We saw a good year overall with the overall average market increase of 4.13% in residentail homes values, average home price up at $224,430. Our overall market inventory is dropping which is a good sign. We do need to remember that sales numbers are still very area specific. Most areas saw an incearse in the avergae home price but some are still adjusting. Please stay tuned for the specific area numbers coming soom. To track the price of home for sale, homes pending and homes sold in your area, go to www.AbqMarketinfo.com for your Free Market snaphot. Also feel free to call Pete Veres - Certified Residentail Specialist at 505-362-2005 for your specific questions.

Albuquerque, NM  (December 12, 2016) – The Greater Albuquerque housing market has remained consistent throughout 2016.  In year-over-year comparisons, the number of homes for sale has dropped in most Central New Mexico communities while homes sold faster and for higher prices. The housing market improvements in Albuquerque have occurred with enough regularity and time to make it a trend for the entirety of 2016.

The 798 detached homes sold in November 2016 marked an 18.2 percent increase over the same period last year, and the 79 attached homes sold represented a 23.4 percent increase over 2015. Pending sales are also up 25.7 percent for detached homes and 34.3 percent for townhomes and condos, indicating that the market is not slowing down much for the market’s typical cold-weather off-season.

While the total inventory of homes for sale in the Albuquerque metro market was down again to 18.8 percent compared to the same period last year, the 979 detached homes newly-listed for sale in November represented only a 6.4 percent year-over-year decrease. Newly-listed townhomes and condos increased by 5.7 percent compared to November 2015.

The median sales price in the metro area increased 2.8 percent to $185,000 for detached homes and increased by 23.8 percent to $151,000 for townhomes and condos. The average sales price for detached homes increased by 2.7 percent to $218,795 as the average price for townhomes and condos jumped 21.4 percent to $164,526.

“Financial markets were volatile in the days surrounding the presidential election,” said Jon Schnoor, 2016 President of the Greater Albuquerque Association of Realtors. “The market has since self-corrected and reached new heights. Long-term indicators of what it will be like to have a real estate developer for a President remains unclear. Prior to the election, a national shift in housing trends was hard to come by, and unemployment rates have not budged since August 2015.” He also noted, “Post-election, mortgage rates are up and opinions in the industry are that a national, and possibly local, trend shift is likely in the near future.”

To see the full Great Albuquerque Market report for November 2016, Click Here.

Are you thinking of buying a home anytime soon? Your FICO Score plays a very important role in qualifying for a loan and then the terms of the loan. The better the score the more you will benefit. Pete Veres would like to share the following quick video from one of our preferred lenders.

Sellers may be slightly disappointed in the appraised value of their homes, unless they live out west, so agents should prepare sellers for possible disappointment. 

Appraisals on average are coming back nearly 2 percent lower than what homeowners expected, according to Quicken Loans National Home Price Perception Index. Western cities bucked this overall trend though, appraising significantly higher than homeowners thought they would. The highest difference between perception and reality was in Denver, where appraisals came back more than 3 percent higher than homeowners expected. San Francisco, Portland, Los Angeles, San Diego and Seattle all appraised out better-than-expected. Pete Veres local CRS Specialist states “We have seen two deals this year appraise under the sales price, the key is not to over price and place close attention to the comps. 

On the opposite end of the spectrum, homes in Detroit, Philadelphia and Baltimore all appraised more than 3 percent lower than what homeowners expected. 

“Perception is everything. It can make or break a home sale or mortgage refinance,” says Quicken Loans chief economist Bob Walters. “That’s why it’s so important for homeowners to realize how they perceive their home’s value could vary widely from how an appraiser views it. If the estimate is lower by just a few percentage points, the buyer could need to bring as much as another several thousand dollars to the table to avoid having to restructure the loan.” 

It’s not all bad news for homeowners and agents who find themselves outside the hot West. Nationally, appraised values are still growing, according to the Quicken Loans Home Value Index (which is based on appraisals, not sale prices). Home values rose more than .8 percent since spring, but have grown a healthy 4 percent year over year—though again there are regional discrepancies. The West saw more than 6 percent growth, while the Northeast had just 2 percent. 

“Demand for housing coupled with a lack of choice for buyers pushed home values up yet again,” Quicken Loans chief economist Bob Walters says. “This is a narrative we have heard for quite some time. Many owners aren’t moving on from their current homes, which is holding back available inventory for both first-time and move-up buyers. With values on the rise, this could prove to be an ideal time to sell – especially in the hot markets where owners could get more than they expected.” 

Pricing it right

          Setting the proper price at the very beginning is extremely important for a quick sale. Pricing your home too high may take too long for your home to sell. If you’re thinking of pricing your home high then lowering it when it fails to sell will cost you time and money. Many buyers and their agents may shy away just by looking at the price. The activity that your house is going to get in the first 30 days of it being on the market is the best you’re going to see so to get more people interested, the price has to be market specific.. Always get your agent to do a formal market analysis and benchmark your home with specific comparables.

Curb appeal matters

          The first thing buyers will see is how your house looks from the outside. A good looking house will always get buyers interested. You don’t have to spend a fortune to make your home look good. A few simple ways you could enhance your home’s curb appeal is by painting the front door, adding some flowers or replacing the mailbox. Make sure the rest of the paint looks good, add outdoor lighting fixtures and most important keep it clean.

Updates

          One of the services Pete Veres provide his clients is a free in home consultation to see what enhancements can be done to your home for the least amount to maximize your return. Adding new fixtures, repainting the interior and keeping it modern or attuned to what’s in style will help you sell your home fast. If you’re planning on updating, it’s best to set a budget and make sure you don’t overspend on items that are too expensive. Research or ask your realtor if the updates you’re planning on adding will be a wise decision. You may lose money if you spend too much or you may get more and it all depends on what updates and if they will increase your home’s value. Pete Veres says spend wisely for the desired updates.

Clean and clear

          Buyers always envision themselves living in a home they look at. Having a clean home matters a lot. Clear out any knickknacks or any other items that may distract potential buyers. It is also wise for you to depersonalize your home. Removing family pictures, clutter any personal items may help the buyers envision living in it better. Be sure to clean every nook and cranny as buyers can be meticulous. Also make sure the home smells fresh and clean.

 Staging

          One of the best, proven methods to faster sales is a process known as “staging.” Staging uses design and conceptualization techniques. The objective is to have potential buyers walk in and envision the property as their home. They can see themselves living and entertaining there. It’s all about creating a space that makes buyers connect emotionally to it. They should feel as if they were the owner, not a guest. As a seller, In order to do this effectively, you need to make your house as impersonal and attractive as possible to stimulate the buyer’s visual acuity. Some sellers don’t want to invest in staging but it can help sell your home fast and for top dollar.

Be flexible on showings

          One of the best things you could do is to be flexible when it comes to showings. Make it very easy for people to view your home. Be ready for early morning, late night and weekend showings. Some showings might also be on short notice. It is also wise for you not to be there so that buyers won’t feel rushed and would really get a feel for the home. They can also discuss freely with their realtor about what they like and dislike about the home. These opinions from buyers, positive and negative, can really help you find out what you need to do to get your home sold faster.

No pets

            Everyone loves their pets. They are a part of the family. But when it comes to selling your home, it is wise to remove them when there are showings. Remove their paraphernalia as well. The home should look as if there hasn’t been a pet in there at all. Make sure all pet orders are gone.

Your home advertised online

          You have to be sure that your home is listed almost everywhere online. Your realtor can help you with this. Almost all realtors advertise their listings online like Zillow, Trulia and Realtor.com. Social media is another place realtors use to advertise your listing. With the popularity of Facebook, Twitter, Instagram and other social media sites, it’s quite easy for realtors to reach people and show your home.

Excellent photos

          Today, everybody seems to be online. The most popular place buyers look for homes is online. The first things they will see when they check out your listing are the pictures. The pictures have to look excellent. Buyers who look online would want to see your home if the pictures are great. Show the best features of your home. There are other media you could use like a 3d virtual tour of your home where buyers can see your home as if they were there by using their mouse to look and walk around. Make sure your agent hires a professional photographer. It’s amazing that some agents use their smartphone to take pictures and use those to market their listings.

Neighborhood

          Your listing should also include information about what’s in the neighborhood. Where’s the nearest hospital? Any good restaurants near your home? Where’s the nearest school? What are the available activities in the area? These are also very important for buyers as some of them make their decision based on this info.

These tips can help you sell your home fast. You don’t need to follow all of them. Follow the tips that you think can help you. If you need help selling your home, I’m here to help. Pete Veres, CRS – Certified Residential Specialist can help get your home sold quickly in a timely manner. www.peteveres.com

More than 80% of Americans live in counties that have experienced a weather-related disaster.* Do you have a plan?

A weather-related emergency or disaster can occur any time. While they may be difficult to predict, it is possible to prepare. In fact, the more prepared you are, the more comfortable you’ll be when putting your plan into action.

Pete Veres would like to share the following. The information I’m sending this month offers tips on how to create a plan that will help you and your family in the event of an emergency. Please click here How to Prepare for an Emergency. It covers everything, including: deciding on a meeting location, collecting documents and practicing your plan on a regular basis . You may not be able to control if or when an emergency will happen, but you are able to control your preparation for it; and preparation equals safety.

Although we may not want to think about what would happen in the event of an emergency, it’s necessary to plan for such an occasion. I enjoy serving you and care about the well-being of you and your family.