Las Cruces home-sale indicators are flashing buyer, buyer

Home sales are slowing nationwide, and the same holds true in Las Cruces. Numerous indicators pulled from the archives of the Las Cruces Association of Realtors (LCAR) on July 24 enumerate them in chilling detail. Below are nine local indicators which confirm that buyers are gaining a distinct advantage in our local marketplace.

The percentage of buyers who paid over the asking price in June fell 51.3 percent from May, declining to 10.6 percent from 21.7 percent. New pending sales dropped by 4.6 percent month-over-month and 13.1 percent year over year. The percentage of cash buyers closing escrow in June slipped by 17.6 percent from a month earlier. At the same time, the months’ supply of homes rose by 5.8 percent since May and 163.5 percent from June of 2023.

The median days on the market, where half sold more quickly and half took longer to sell, jumped by 81% in June, from 21 days to 38 days and 375 percent year-over-year. The number of active listings currently for sale increased by 5.1 percent in June and by 96.9 percent year-over-year. Our current inventory of new and existing homes, townhomes and condominiums stood at 644 units on July 24. The number of unsold listings rose to 80 in June; an 86 percent increase over the 43 unsold units in May’s inventory.

The percentage of list price achieved declined by just under one percent, from 98.8 to 98.0, but that’s only part of the story. It is interesting to note that the percentage achieved is of the asking price at the time the offer was accepted, which brings us to the price change statistics. Just under one-in-five sellers reduced their asking prices in June, with an average reduction amount of approximately $5,000. That statistic alone could lead one to believe that the percentage achieved is most likely less than 98 percent when measured from the original listing prices.

Local home prices and production both declined in June, according to LCAR’s statistics. New-home sales declined by 13 percent; sodid the median new-home price. June’s $331,975 median was $67,150, or 16.8 percent, below May’s median of $399,125. Existing-home production and prices suffered a similar fate. June’s existing-home median of $305,000 was $15,000, or 4.7 percent, below May’s $320,000 median. Production increased by 3 units, however, from 101 to 104 units.

Well, there you have it. The supply and demand pendulum is definitely swinging in favor of buyers. It is now up to sellers to find ways to make their offerings more competitive.

See you at closing!

Gary Sandler is a full-time Realtor and president of Gary Sandler Inc., Realtors in Las Cruces, New Mexico. He loves to answer questions and can be reached at 575-642-2292 or Gary@GarySandler.com.

This article originally appeared on Las Cruces Sun-News: Las Cruces home-sale indicators are flashing buyer, buyer