The Santa Fe Association of Realtors (SFAR) releases a monthly report of residential sales in and around Santa Fe. On occasion the numbers are instructive. The year to date through August 2023 is one of those periods.
I’ve noticed that almost all people (realtors included) tend to view the health of the markets pretty simply: how far off market highs are we? So let’s take a look (these sales volumes include single-family, multi-family, condominiums, and townhomes, but not land):
For the year to date, residential sales volumes average 69.4% of their 2021 peaks:
January 2023: 72.4% of the 2021 high
February 2023: 61.3% of the 2021 high
March 2023: 72.1% of the 2021 high
April 2023: 68.7% of the 2021 high
May 2023: 67.1% of the 2021 high
June 2023: 78.6% of the 2021 high
July 2023: 64.9% of the 2021 high
August 2023: 69.7% of the 2021 high
This may seem like bad news, but it’s certainly not for sellers. Because of the contraction in supply touched on elsewhere in this blog, prices have remained steady and indeed have continued to climb. Transactions are simply more balanced than during the heady 2020 and 2021 days, which were distorted by extremely low rates and effects of the pandemic. In effect, the market is healthy, but 2/3 its previous size.
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