Home prices are climbing

Santa Fe is beautiful. Santa Fe is enchanted with no natural disasters to speak of. It is the best, friendliest, most fascinating and quaint town to be found anywhere. So, when I tell you home prices are going up, surely you are not surprised. From my front-row seat, I can see that 2017 will be the year home values increase significantly.

Realtors have a new spring in their step, as do current homeowners. After a few years of stagnant values, fair pricing will ensue. As the market rights itself, increased inventory becomes available, giving potential buyers more to look at, more to choose from. “Yes, home prices improved slightly last year and appear to be on target to continue their upward trend,” said Sotheby’s International Real- tys’ Shane Cronenweth, onf of Santa Fe’s prominent brokers.

Real estate by it’s very nature cycles up and down as markets, stocks, bonds, and futures cycle. As with anymarket funded by investors, many outside influences determine the way the wind blows. Santa Fe has been stuck. We have not experienced our rightful increases since the 2008 mortgage debacle. But, hallelujah, times are changing.

Francesca Stedman with Sotheby’s described the change in market value as it affected a listing in Santa Fe’s south capital area. “The listing had three offers immediately and went under contract above the asking price. It was a cash sale.” Here is a perfect example of supply and demand finally kicking in. There are more buyers than we’ve seen in a long time demanding homes in Santa Fe.

This could be a big big increase in home prices, because it has been so many years without a significant rise. Listen to Georgette Romero at Barker Realty: “Realtors must be aware of trends in real estate in Santa Fe so as to not under-price listings. We believe the trend in prices is upward.” And Ashley Margetson, Sotheby’s, said, We had two full price offers on the first day of a listing. I hope values are going up. Since 2008, prices have been static. We have upward movement now.”

With these comments from Realtors who are out there, working every day in our current market, we can only celebrate our city evenmore. Tell everyone you know to buy now, rejoice later!

Jim Gay was a real-estate broker for 20 years and has been a consultant to Fortune 500 companies. He is currently a broker/ owner ofThe Mortgage Place, Inc. (505986-9080) and can be reached at jim@ jimgayhomemortgage.com