Albuquerque Real Estate Prices Increase In 2016
Albuquerque Real Estate prices increased by 4.13% in 2016. This is the best increase in Albuquerque real estate prices since the housing crises began in 2008. Albuquerque real estate prices reached an all time high in 2007. Albuquerque real estate prices have yet to return to the highs of 2007. In fact average home prices in Albuquerque are slightly below the average home price in 2006.
Much of the southwest United States and the west coast have experienced a much better recovery. Most of the the southwest United States and the west coast have surpassed their all time highs.
Albuquerque Real Estate Prices Table
|Year||Average Price||Change In Average Price From Previous Year||% Change In Average Price From Previous Year|
You can see in the table that Albuquerque real estate prices have been increasing in the low single digits since 2102. The market is increasing, however, it has been a very slow recovery for many Albuquerque home owners.
The housing market meltdown of 2008 created a huge financial crises for all home owners. Many home owners were forced into foreclosures or short sales. Many home owners finances and credit were destroyed. The number of short sales and foreclosures have decreased dramatically. However, there are still more foreclosures and short sales than in a healthy real estate market.
What does the future hold for the Albuquerque Real Estate Market?
Home sales and home prices have started off strong in 2017. It appears the Albuquerque real estate market will continue to improve as it did in 2016. However, The Federal Reserve Board raised a key interest rate by .25% on March 15th, 2017. “We have seen the economy progress over the last several months in exactly the way we anticipated,” Yellen said in a press conference following the end of a two-day policy meeting. “We have some confidence in the path the economy is on.” This is the second rate increase in the past 3 months. The Fed also stated they expect to raise interest rates two more times this year and 3 times next year.
Interest rates are still at historically low rates. Typically rising interest rates are not good for investing in real estate, the stock market, or the bond market. We will all have to wait and see how the rising interest rates impact the Albuquerque real estate market.