Ledes from the Land of Enchantment

Do real estate go on winter vacation?

Most people understand that the spring and summer months are considered the “high season” for property sales. In most regions of the country, sales begin to trend higher in April and May and remain buoyant well into the summer months. The scenario is not much different here in Las Cruces. Warm weather, summer vacations, and income tax refunds make for a great time for buyers and sellers to literally take their steps.

What about the winter months? Do sales significantly decrease in the “off-season”? According to statistics from the Las Cruces Association of Realtors on November 17, the answer is that they’re used to it – but no longer. Between 2015 and 2019, spring and summer sales accounted for around 55 percent of that year’s annual production, while autumn and winter sales accounted for the remaining 45 percent. Last year the rate was 59.1 percent and 49.9 percent, respectively. It seems that the trend will continue this year.

Why the change? The answer is demand. Low mortgage rates, millennials entering the market and the escape from urban areas are all driving demand across the country, according to many real estate experts.

Buyers buying in the fall and winter traditionally benefit from lower prices, less competition, motivated sellers, favorable mortgage terms and the ability to deduct interest and fees for year-end closings. The sellers also benefited in the winter months. Less competition from other sellers, fewer but more serious local buyers, an influx of snowbirds, and lower interest rates were all cause for action in the cooler months. But unfortunately, it may take a year or two for markets to normalize again.

So does it really matter whether you buy or sell during the “on” or “off” season? Not today.

See you when you close!

Gary Sandler is a full-time real estate agent and President of Gary Sandler Inc., Realtors in Las Cruces. He is happy to answer questions and can be reached at 575-642-2292 or [email protected]

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