|Closing Conducted by:||Escrow|
|Conveyance:||Warranty or Quitclaim Deed|
|Primary Foreclosure Method:||Judicial|
|Process Period:||4 - 6 months|
|Notice of Sale:||Court|
|Redemption Period:||9 Months|
|Income Tax:||1.7% - 4.90%|
|Corporate Tax:||4.8 - 7.60%|
|Median Property Tax:||0.55%|
|Property Taxes by County:||http://www.tax-rates.org/new_mexico/property-tax#Counties|
|Transfer Fee:||no fees|
Median Home Value: $297,808
Median Sales Price (YTD): $305,000
1-Year Appreciation Rate: +16.5%
Active Listings: 13,194
Homes Sold (YTD): 14,663
Average Days On Market: 44
Pending Sales: 1,884
Median Rent Price (1 & 2 Bedroom Units): $1,258
Price-To-Rent Ratio: 19.72
Unemployment Rate: 4.4% (latest estimate by the Bureau Of Labor Statistics)
Population: 2,115,877 (latest estimate by the U.S. Census Bureau)
Median Household Income: $51,243 (latest estimate by the U.S. Census Bureau)
Foreclosure Rate: One in every 7,074 homes
Tax Lien or Deed: Tax Deed state (with challenge possibility)
Redemption Period: Sale can be challenged for up to 2 years after sale
While interest rates have doubled year-over-year, borrowing costs are still low enough to encourage using a traditional loan to buy a rental property.
New Mexico’s price-to-rent ratio suggests it is cheaper to buy a home than rent one. However, insufficient inventory levels will relegate more people to the renter pool, making vacancies less of a worry for landlords.
With more people being forced to rent, landlords may increase rental asking prices and justify today's higher prices with more cash flow.
Roswell should attract more first-time buyers: While the median home value in New Mexico is below the national average, prices are still higher than they have been in a long time. As a result, it’s safe to assume a growing number of residents in New Mexico will seek out more affordable cities to live in, like Roswell. Already one of the largest cities in the state, Roswell has plenty of demand, but the city’s current median home value should increase demand on behalf of budget-conscious buyers.
Inventory levels will continue to drive up prices: Inventory levels have yet to match the pace of demand, which will only serve to stir up more competition. While higher borrowing costs will bring down mortgage applications, there are still too few listings to account for all buyers. Therefore, prices will continue to rise, but at a slower pace than in recent history.
Influx of suburban residents: Work-from-home trends have all but eliminated the need to live within close proximity to an office. As a result, it's highly likely we will see a lot of people trade expensive city living for cheaper, suburban alternatives. Secondary cities and suburban areas should see an uptick in demand, which could bode very well for investors ahead of the trend.