With home prices at the national level down a painful 32 percent from their 2006 peaks, it’s easy to overlook real estate’s benefits as a long-term investment. But the truth is, despite the ongoing housing bust, the overwhelming majority of America’s real estate markets will appreciate over the next 10 years—although some more handsomely than others. “In the long run—subtracting from the ups and downs of the business cycle—house prices should grow at the rate of household income,” says Mark Zandi, chief economist at Moody’s Economy.com. “If people’s incomes are rising, then they will buy more housing and house prices will rise.” Income growth, in turn, is linked to the strength of the area’s economy. Moody’s Economy.com sifted through employment and population data and analyzed geographic and industry trends to generate 10-year home price projections for each of the nation’s 384 distinct metropolitan statistical areas—everywhere from Abilene, Texas, to Yuma, Ariz. Using these data, U.S. News compiled a list of the top 10 housing markets for the next 10 years.

[See photos of the 10 Best Affordable Places to Retire.]

The neighboring cities of Bremerton and Silverdale, Wash., are located on the Kitsap Peninsula, a slip of land surrounded by more than 300 miles of coastline in lovely Puget Sound. Although the Pacific Northwest greenery is enticing, it’s the cities’ stable economies that should drive home price gains in the coming years. A large military presence—of the U.S. Navy in particular—helps insulate the local economies from volatility. Meanwhile, the nearby cities of Tacoma, Wash., and Seattle provide additional employment to the area’s roughly 240,000 residents. “About a third of the community works [in either Tacoma or Seattle],” says Silvia Klatman, executive director of the Bremerton Area Chamber of Commerce. “And a little bit more than that actually work…for the military.” Silverdale’s 2008 median home sale price was $266,500. Moody’s Economy.com expects home prices in the Bremerton/Silverdale area to increase by an average of 5.2 percent annually from the fourth quarter of 2008 through the same period of 2018.

At the foot of the Adirondack Mountains of New York you’ll find Glens Falls. With attractions like beautiful Lake George just a short drive away, tourism has long played a key role in the local economy. But the area, which has about 130,000 residents, is also considered “the catheter valley” on account of its thriving medical device manufacturing industry. Companies like Covidien, AngioDynamics, and C. R. Bard have outposts in the area, which has also become a popular lower-cost alternative to nearby Saratoga County, N.Y., and a bedroom community for the state capital of Albany. In recent years, downtown Glens Falls has attracted an impressive amount of private-sector investment, says Todd Shimkus, president and chief executive of the Adirondack Regional Chamber of Commerce. “It is staggering to see $65 million for a new wing of a hospital, $17 million for new library, $25 million for a downtown townhouse project, $4 million for a corporate headquarters for Barton Mines, $3.5 million for a theater downtown, [and] $500,000 for a downtown park,” he says. The 2008 median home sale price was $185,000 for Warren County, where Glens Falls is located. Home prices in the area will increase an average of 4.7 percent a year over the next 10 years, Moody’s Economy.com projects.

Not far from Colorado’s breathtaking Rocky Mountain National Park are the neighboring cities of Fort Collins and Loveland. Thanks to university research, local support, and private investment, this area of roughly 300,000 residents is evolving into a leading center for traditional and renewable energy, says Brian Willms, the president and CEO of the Loveland Chamber of Commerce. “We have this fantastic wind corridor to produce wind energy, over 300 days of sunshine a year—so it’s a great place for solar energy—and we have some of the most productive natural gas reserves in the country,” he says. “And with all of the research and development taking place here, it’s a perfect culmination for a new energy economy.” Fort Collins’s 2008 median home sale price was $212,000. Home prices in the Fort Collins/Loveland area should rise an average of 4.1 percent annually over the next 10 years, Moody’s Economy.com projects.

[Check out The $8,000 First-Time Home Buyer Tax Credit Program Expands: 5 Things to Know.]

With about 48,000 residents, Corvallis is nestled in the natural splendor of Oregon. Since it is home to Oregon State University as well as numerous public agencies, about a third of the area’s workers are employed by the government, says Mysty Rusk, the president of the Corvallis-Benton Chamber Coalition. At the same time, this intellectually curious university town has long possessed a creative, entrepreneurial spark. “We have the highest [number of] patents per capita in the United States,” Rusk says. And although large companies like Hewlett Packard and Samaritan Health Services are among the area’s leading private employers, the community doesn’t forget about the little guy. The local chamber of commerce plays an active role in helping entrepreneurs turn their ideas into payrolls. “We have hundreds of little startups,” Rusk says. Corvallis’s 2008 median home sale price was $245,000. Area home prices should increase an average of 4 percent annually over the next 10 years, Moody’s Economy.com projects.

If moose sightings are more your style, check out Anchorage, Alaska, where Moody’s Economy.com projects that home prices will appreciate by an average of 3.8 percent a year over the next 10 years. The real estate market in the Duluth, Minn., area is expected to post similar gains of about 3.7 percent annually. Home prices near Sandusky, Ohio, are also expected to increase an average of 3.7 percent a year over the next 10 years. That’s only slightly ahead of the Santa Fe, N.M., area’s projected 3.6 percent annual gains. The revitalization of Pittsfield, Mass.’s, downtown district could help area home prices rise an average of 3.5 percent a year over the next 10 years. Meanwhile, Decatur, Ill.’s, development into a green energy hub should help its housing market post roughly 3.4 percent annual gains, according to Moody’s Economy.com.

Here’s the projected average annual percent change in home prices from the fourth quarter of 2008 to the fourth quarter of 2018:

1. Bremerton-Silverdale, Wash.: 5.22 percent
2. Glens Falls, N.Y: 4.71 percent
3. Fort Collins-Loveland, Colo.: 4.06 percent
4. Corvallis, Ore.: 3.95 percent
5. Anchorage, Alaska: 3.8 percent
6. Duluth, Minn.: 3.74 percent
7. Sandusky
   

    

   , Ohio: 3.66 percent

8. Santa Fe, N.M: 3.57 percent
9. Pittsfield, Mass.: 3.51 percent
10. Decatur, Ill.: 3.44 percent

By Luke Mullins;  May, 25, 2010- US News & World Report

Although the financial crisis has hammered retirement accounts, it has also converted a number of popular retirement destinations into bargains for home buyers. Indeed, the very states that took the brunt of the housing bust—like Florida, California, Nevada, and Arizona—also contain some of the nation’s most enviable markets in which to retire. This development has handed today’s seniors a chance to scoop up properties in many top-notch retirement spots at attractive prices.

To get a sense of which retirement markets offer the most compelling valuations, we obtained price-to-income data for 384 metropolitan statistical areas from Moody’s Analytics. The price-to-income ratio—a key yardstick of housing affordability—expresses the relationship between home values and earnings. For example, in a market with a price-to-income ratio of 2.5, median-priced homes sell for 2.5 times average household incomes. By comparing a market’s most recent price-to-income ratio with its longer-term averages, we can pinpoint areas that have become particularly affordable. Here is a look at 10 cities that are currently offering retirement property steals:

[Slide show: 10 Cities for Retirement Property Steals.]

1. Bend, Ore.: Stiff demand from second-home buyers helped nearly double median home prices in lovely Bend, Ore., between 1999 and 2006. But the subsequent real estate collapse has dragged the area’s price-to-income ratio from 3.4 in the third quarter of 2006 to 1.7 in the fourth quarter of 2009. That’s below Bend’s average price-to-income ratio of 2 for the 15 years ending in 2003. This increased affordability makes retirement property in Bend particularly attractive today, says Lester Friedman, president-elect of the Central Oregon Association of Realtors. “Central Oregon has always been a place where people came to get away,” Friedman says. “And, of course, that is kind of the definition of retirement.” Friedman points to a number of activities that can keep seniors busy in Bend year round, including hiking, mountain biking, skiing, fishing, boating, and volunteering. “We have wonderful college facilities, so continuing education is easy,” he says. “You name it, we’ve got it.”

2. Las Vegas: After speculation and risky loans juiced Las Vegas home prices by more than 141 percent from 1999 to 2006, the housing bust hit this desert playground with tremendous force. But the steep price declines have pulled down the area’s price-to-income ratio from 3.2 in the fourth quarter of 2005 to 1.4 in the fourth quarter of 2009. For the 15 years ending in 2003, the average price-to-income ratio in Las Vegas was 1.9. SalesTraq President Larry Murphy says the return of affordability has created a great opportunity for seniors looking to spend their golden years in a sunny, low-tax community surrounded by golfing, gaming, fine dining, and entertainment. “There hasn’t been a better time [to buy residential property in Las Vegas] in the last 12 years,” he says.

3. Phoenix: From 1999 to 2006, home prices in Phoenix more than doubled, sending the area’s price-to-income ratio to an inflated peak of just under 3. The subsequent meltdown in the residential real estate sector has dragged the price-to-income ratio in Phoenix to 1.5, which is below its 1.7 average for the 15 years ending in 2003, and has created opportunities for retiring seniors who are looking for bargains. “[In Phoenix] you have fairly good medical care, you don’t have the snow and the cold and dangerous weather here, and you have a lot of nearby shopping centers and other things that make it easier for people to sort of carry out what they want to do,” says Jay Butler, an Arizona State University associate real estate professor.

[See 21 Ways to Reduce Your Retirement Expenses.]

4. Napa, Calif.: Home prices in Napa, Calif., exploded during the housing boom, more than doubling from 1999 to 2006. But the real estate crash has reduced the sky-high price-to-income ratio of 3.9 it reached in the third quarter of 2005 to just 1.7 in the fourth quarter of 2009. For the 15 years ending in 2003, the average price-to-income ratio in Napa was 2.6. DataQuick President John Walsh says Napa’s beautiful wine country offers “an extraordinary quality of life.” And with home prices having retuned to 2002 levels, the area is ripe for seniors hunting for deals on retirement property, he said

5. Fayetteville, Ark.: After a 40 percent increase from 1999 to 2006, median home prices in Fayetteville, Ark., have slipped about 21 percent through 2009. The recent decline has dragged Fayetteville’s price-to-income ratio from 1.8 in the third quarter of 2005 to 1.2 in the fourth quarter of 2009. For the 15 years ending in 2003, the average price-to-income ratio in Fayetteville was 1.6. While the area may not have a reputation as a retirement hot spot, Fayetteville’s low real estate taxes, natural splendor, and university affiliation make it a compelling option for retiring seniors, says Steve Clark, president and CEO of the Fayetteville Chamber of Commerce. “What we are finding is that the retirees that are beginning to focus on us are people who have done that first career for 25 or 30 years,” Clark says. “They are not ready to really quit, they’re just ready to quit what they are doing.” In addition to its plentiful arts and outdoor offerings, Fayetteville is home to the University of Arkansas, which provides seniors an additional outlet to challenge themselves, he says. “If you are over the age of 60 in the state of Arkansas, you can attend our public institutions of higher learning at no charge,” Clark says. “And that’s graduate programs as well as undergraduate.”

6. Punta Gorda, Fla.: Home prices in the quiet community of Punta Gorda, Fla., dropped more than 50 percent from 2006 to 2009, dragging the city’s price-to-income ratio down to 1.4 by the end of last year. The area’s average price-to-income ratio was 1.7 for the 15 years ending in 2003. The small town on Florida’s southwest coast has long been a popular spot for boating and fishing. The recent price declines have provided seniors the opportunity to buy into this pleasant community at a discount, says Jack McCabe of McCabe Research & Consulting. Punta Gorda is “very nice, very laid back, very quiet, [and has] excellent fishing,” he says.

7. Burlington, Vt.: Home prices in this tiny city increased significantly during the first part of the previous decade, which pushed the area’s price-to-income ratio to 2.3 for the fourth quarter of 2005. A modest home-price decline since then has helped drag Burlington’s price-to-income ratio to 1.7 for the fourth quarter of 2009, below its 1.9 average for the 15 years ending in 2003. Although the winters are long, Burlington provides retirees with “small-town comforts and small town values in [a] community where [they] can also enjoy arts, fine food, [and] performances that you wouldn’t expect in a community of 39,000 people,” says Yves Bradley of Pomerleau Real Estate. “There is also, I have to say, a very strong outreach to retirees to be engaged as volunteers, and that is pretty important here.”

[Check out America's Best Affordable Places to Retire.]

8. Fort Myers, Fla.: Home prices in the Fort Myers, Fla., area surged more than 180 percent from 1999 to 2005, thanks to investors and easy lending practices. But because of the market crash, area real estate prices have lost about two thirds of their peak value. Meanwhile, the price-to-income ratio of Fort Myers-area houses has declined from 3.2 in the fourth quarter of 2005 to 1 in the fourth quarter of 2009. For the 15 years ending in 2003, the average price-to-income ratio in the Fort Myers area was 1.5. McCabe says the Fort Myers area has a great deal to offer retiring seniors. The area has “more of a relaxed, laid-back, slower-paced environment with Midwestern values [that would be] very appealing to that kind of core of the country—Illinois, Indiana, Michigan, Iowa, Minnesota,” he says.

9. Santa Fe: A 24 percent decrease in median home prices over the past two years has helped drag the price-to-income ratio in Santa Fe to 1.8 for the fourth quarter of 2009, which is below its 2.5 average for the 15 years ending in 2003. Lois Sury, president of the Santa Fe Association of Realtors, ticks off a number of reasons why seniors should consider taking advantage of this increased affordability and buy property in the area. Attractions include great skiing, hiking, medical facilities, arts, as well as a rich cultural history. “Here we have this beautiful, sometimes cobalt-blue sky that sits on your shoulders,” Sury says. “That’s what people come here for—it’s the sun sets and the mild climate, [and] the friendly people.”

 We have to come to grips with the current state of affairs, making allowances for the pent up demand for new product and our hungry sellers. You keep hearing that we are at historical lows for long term mortgage rates. Yet that does not seem to be enough to motivate lethargic buyers, fearful of overpaying. This is where a really good Realtor can help; more on that later. It feels like we have been over every angle of how to get things going again. You may wonder if I am saying anything new each month or if it’s the same message in different disguise. The source is unknown, but a relevant phrase goes like this: “I am accountable for the results of my decisions and actions.” Well, go ahead and sacrifice the messenger now, because I say it will be quite some time before things get better. You just cannot make a living telling lies to yourself and your associates. That is not to say you should mope and sulk, feeling sorry for yourself and your clients. The message continues to be: Get to Work! There are more opportunities right now than anytime anyone alive can recall, unless you count the cornering of the silver market in decades past. Bad times are ripe for advancement and success.

            Spending any time at all talking with real estate sellers and buyers could give you a reason to get out of real estate and into the restaurant business. And that’s high risk! When I was a Banker, making loans locally, it was my experience and opinion that money lent to open a new restaurant was the highest risk loan a lender could make. Some of them beat the odds and became wonderfully successful – think Santacafe; while others lasted maybe a year – think Lone Wolf Café.  But just talk to a seller for a few minutes. You may get the “what did I ever do to deserve this” tone. It’s hard to be optimistic all the time. Many are racked with uncertainty about their future. They didn’t prepare for retirement, counting on their home equity putting money into their bank account to retire on. But, oh no, they took out that money well before retirement, believing the home would just keep going up in value. You know how that turned out. Then you might visit with a buyer prospect. You will hear a prognosticator’s mantra, word for word, about why it’s not prudent to make a move right now. They are all about not making  mistakes – and possibly paying too much. But what really is too much unless you hope to flip for a quick profit? If you plan to live there, today’s price might be as good as you will ever find. Remember when home buyers were buying a place to live and raise a family and feel safe and enjoy coming home to (their own paradise). It was a monument to sweat equity, hard work and self reliance. Now some buyers are stuck in the mind set that they have to protect themselves from a decline in value, but why would that matter unless they just want an instant profit? If they can’t see proof that they are taking the undershirt off the seller, they are not sure it’s a good enough deal to proceed. They have to be able to brag.

            So let us come to grips with buyers that cannot pull the trigger and sellers that refuse to accept the facts of the marketplace. Where exactly do the two lines intersect? First, the price has to be the best price out there. All buyers are studying the prices carefully and comparing. Second, the home has to be immaculate and everything has to work the way it should, or please be prepared to renegotiate the price lower before closing. Third, the buyer has to be serious and feel an attraction to the property, ideally establishing an emotional tie to the home. This is where the professional Realtor comes in – finding the exact home the buyer is looking for (not a simple task with so much inventory and many with special terms & conditions) and accurately communicating why the time to buy is now.  One more thing, get every tiny detail reviewed early. Property details, loan details, etc. It’s a crying shame to later learn of an easement that’s only about 50 feet from the front portal of a home you have under contract. Because then you have to punish the innocent person that confirmed the presence of the easement, and the seller claimed to know nothing about said easement. Yes, it happened. So ask lots of questions. Don’t allow there to be anything about a property that will come as a surprise to a buyer and their Realtor. Make the buying decision as simple and as easy as possible. Remove clutter. Don’t ask them to adjust for your herd of chickens or your RV parking.

            Now it is done; we have solved the riddle and found the map to the buried treasure. Now it’s a simple walk from here to there – but don’t stumble; look both ways before crossing, say your prayers – and we all will happily toast those that arrive at the end of this short jaunt. Then why is it so damned difficult, so fraught with delays and detours and dead ends? And why do so few actually arrive happy and in one piece? Just this morning I got a highly unprofessional phone call from a seller acting as if the world was coming to an end and saying it was my fault. Forgot his medicine?

            Speaking of forgetting, this newsletter is about the Santa Fe area real estate market, primarily residential, but the writer will consider any related subject you suggest. There is a spreadsheet attached showing lots of numbers, but really just one simple statistic that shines a light on where we are and just how far along we are in the “recovery”. That is the Absorption Rate. And as is my habit, I will do the statistics and let you do the interpretation.

            If you wish to be removed from this distribution list, please email AlanBall2@gmail.com and ask. If you wish to share this letter, feel free to quote from it, forward it, in part or in its entirety or just borrow a few phrases and use them into your own letter. If you are forwarding this to your friends and associates every month because they are too shy to allow their name and email into my distribution database, maybe you could let me know how many people you are forwarding to? From indications, circulation is much greater than the 500 souls on the list.

Regards and good luck!     

Alan Ball

Santa Fe Properties is the Exclusive Real Estate Brokerage represented on the SantaFe.com web site. Their real estate search functionality runs off of the Santa Fe Properties web site and all real estate leads from this web site are directed to Santa Fe Properties. What does this mean for Sellers? Due to our exclusive relationship on Santa Fe’s most prominent web site, we can offer exposure for your property that no other brokerage in Santa Fe can offer.

Santafe.com is the most comprehensive website for Santa Fe. In the last year, visitors came from 181 Countries and Territories

around the world, and from all 50 states. And that traffic is growing approximately 15% annually.

Attractive, informative, and easy to use, SantaFe.com publishes new content every day to provide something fresh for their visitors,

as well as to attract the major search engines to index the site every day. Currently, SantaFe.com has over 5,470 pages of content

indexed on Google and Bing, and more is added on a continual basis. In addition, through their Associated Cities connections, they

have Direct Marketing Affiliations with:

Albuquerque Los Angeles D enver New York San Francisco D allas – Fort Worth

Phoenix Washington, DC Las Vegas, NV Chicago Houston Boston

Atlanta Philadelphia Baltimore Memphis Palm Springs New Orleans

…..and many, many more!

But the rest of Santa Fe now offers groovy contemporary art spaces, hot Asian restaurants and a park by a pair of trailblazing architects. Accept that Santa Fe isn’t just tacos and turquoise anymore, and you’ll find yourself loving the New Mexico capital not for what it was, but what it is.

1) PUBLIC SPACE

For a beautifully curated introduction to Santa Fe, visit the New Mexico History Museum, which opened in 2009 and includes a gripping display about Los Alamos, where the Manhattan Project was conducted in secret during World War II. A large courtyard with ancient walls and shady trees separates the museum from the Palace of the Governors (palaceofthegovernors.org), the Spanish seat of government in the early 1600s and now a small museum of Colonial and Native American history. The two-museum complex is free on Fridays from 5 to 8 p.m.
2) WHITE WALLS AND WINE

You’d have to be crazy to pay for a glass of white wine on Fridays. Canyon Road, which angles up from the center of town, has more than 100 galleries, and there are openings every Friday night. According to canyonroadarts.com, the largest category is contemporary representational (think brightly colored paintings of the desert). Check out Eight Modern (231 Delgado Street; 505-995-0231 begin_of_the_skype_highlighting              505-995-0231      end_of_the_skype_highlighting; eightmodern.net), where you’ll find the geometric scrap-metal constructions of the Santa Fe artist Ted Larsen. The backyard sculpture garden is a great place to marvel at New Mexico’s amazingly clear sky and savor its piñon-infused air before heading to dinner.

3) AHI MOMENT

Martín Rios is a hometown boy made good: Born in Mexico and raised in Santa Fe, he apprenticed at the Eldorado Hotel and the Inn of the Anasazi — two local stalwarts — and made a brief appearance on “Iron Chef” before opening his own place, Restaurant Martín (526 Galisteo Street; 505-820-0919 begin_of_the_skype_highlighting              505-820-0919      end_of_the_skype_highlighting; restaurantmartinsantafe.com), in 2009. The main draw is the food — dishes like ahi tuna tartare ($14) and duck breast with smoked bacon polenta and Marcona almonds ($25) offer hints of the Southwest, with a dash of global aspiration. But the homey décor makes you want to stick around even after finishing the bittersweet chocolate truffle cake ($8).

Saturday

10 a.m.
4) SPICE MARKET

The Santa Fe Farmers’ Market (1607 Paseo de Peralta; 505-983-4098 begin_of_the_skype_highlighting              505-983-4098      end_of_the_skype_highlighting; santafefarmersmarket.com) dates back a half-century, but it stepped up a notch when it moved to a permanent building in 2008. Everything sold here, including dried chilies, yogurt and grass-fed meats, is produced in northern New Mexico. The market is part of a bustling district that includes the new Railyard Park by the architect Frederic Schwartz and the landscape architect Ken Smith, both Manhattanites whose taste is anything but quaint. As you wander around, be on the lookout for the Rail Runner, a gleaming new passenger train scheduled to pull in from Albuquerque at 11:08 a.m.

Noon
5) SUSTAINABLE SALADS

Santa Fe residents — as you learned roaming the Farmers’ Market — care where their food comes from. No wonder Vinaigrette (709 Don Cubero Alley; 505-820-9205 begin_of_the_skype_highlighting              505-820-9205      end_of_the_skype_highlighting; vinaigretteonline .com) was an immediate hit when it opened in 2008. The brightly colored cafe has a menu based on organic greens grown in the nearby town of Nambé. Choose a base — Caesar, Cobb and Greek are possibilities (around $10) — then add diver scallops or hibiscus-cured duck confit ($7) for a satisfying meal. Wines by the glass start at a very friendly $6.

2 p.m.
6) RIDING THE SPUR

Thanks to Santa Fe’s sometimes depressing sprawl, it’s getting harder and harder to find wide-open spaces. But drive (or bike) to the corner of Galisteo Street and West Rodeo Road, where there’s a small parking lot — then begin pedaling due south, in the direction of Lamy (about 12 miles away). What starts as an asphalt path morphs into a dirt bike trail that swerves around a 19th-century rail spur. There are some pretty steep hills, but they’re short, and the momentum from a downhill is usually enough to handle the next uphill. (If only life were like that!) The scenery is always gorgeous, especially in late afternoon, when the sun is low in the sky. Mellow Velo (638 Old Santa Fe Trail; 505-995-8356 begin_of_the_skype_highlighting              505-995-8356      end_of_the_skype_highlighting; mellowvelo.com) rents mountain bikes starting at $35 a day.

7 p.m.
7) TAPAS WITH STRANGERS

La Boca (72 West Marcy Street; 505-982-3433 begin_of_the_skype_highlighting              505-982-3433      end_of_the_skype_highlighting; labocasf.com) is one of downtown Santa Fe’s most popular new restaurants — thanks to its contemporary tapas, plus larger dishes like cannelloni filled with crab, scallop and Manchego ($11). You’ll find yourself sharing tips on what to order — and even forkfuls of delicious eats — with strangers.

10 p.m.
REGGAE FOR ALL AGES

Santa Fe isn’t a night-life town, but Milagro 139 (139 West San Francisco Street; 505-995-0139 begin_of_the_skype_highlighting              505-995-0139      end_of_the_skype_highlighting; milagro139.com) is helping to change that. A building that had housed a coffee shop was recently converted to a restaurant that becomes a club on Friday and Saturday nights. There’s no cover, and the drinks, including a house margarita called Beginner’s Luck ($5), are delicious. A recent visit coincided with performances by Rubixzu, a local band that performed a blend of reggae and Latin hip-hop to a diverse crowd, aged 9 to 90. For a trendier vibe, head to Meow Wolf (1800 Second Street; 505-204-4651 begin_of_the_skype_highlighting              505-204-4651      end_of_the_skype_highlighting; meowwolf.com), an alternative art space, or check its Web site for other parties hosted by Meow Wolf artists.

Sunday

10 a.m.
9) FREE-RANGE PEACOCKS

For a big breakfast and an early start, drive south on Cerrillos Road about 10 miles past the Interstate, until you see a handwritten cardboard sign that reads, “Pine wood stove pellets sold here.” You’ve arrived at the San Marcos Café (3877 State Road 14; 505-471-9298 begin_of_the_skype_highlighting              505-471-9298      end_of_the_skype_highlighting). Dozens of peacocks, turkeys and hens roam the property (which also houses a feed store), providing an Old McDonald-like backdrop for crowd-pleasers like eggs San Marcos, a cheese omelet in a bath of guacamole, beans and salsa ($12).

Noon
10) KITSCH TO CONTEMPORARY

If you ever thought that item you found at a roadside stand was one of a kind, Jackalope (2820 Cerrillos Road; 505-471-8539 begin_of_the_skype_highlighting              505-471-8539      end_of_the_skype_highlighting; jackalope.com), a sprawling, indoor-outdoor flea market, will disabuse you of that notion. There are hundreds of everything, including punched-copper switch plates and tote bags that depict Michelle Obama smiling on a swing. If you need to shake off the kitsch, head to SITE Santa Fe (1606 Paseo De Peralta; 505-989-1199 begin_of_the_skype_highlighting              505-989-1199      end_of_the_skype_highlighting; sitesantafe.org), a contemporary art space where the 2010 biennale, focused on moving image technologies in contemporary art, will run from June 20 to Jan. 2, 2011.

1 p.m.
11) YOUR OWN ADOBE

It’s difficult to spend time in Santa Fe without thinking about buying a home (or second home) here. So check out Zocalo (Avenida Rincon; 505-986-0667 begin_of_the_skype_highlighting              505-986-0667      end_of_the_skype_highlighting; zocalosantafe.com), a striking development by the Mexican architect Ricardo Legorreta. He is known for crisp geometry and super-bright colors — a welcome sight in this city of browns and terra cottas. Consider it real estate voyeurism, combined with a crash course in contemporary architecture.

IF YOU GO

Santa Fe has a tiny airport, which offers nonstop service to and from Dallas and Los Angeles on American Eagle. Most visitors fly into the larger Albuquerque airport, about an hour south. A recent Web search found round-trip fares from Kennedy Airport on Delta, from about $260 for travel in June. Sadly, the Rail Runner doesn’t run to the Albuquerque airport.

The Hotel St. Francis (210 Don Gaspar Avenue; 505-983-5700 begin_of_the_skype_highlighting              505-983-5700      end_of_the_skype_highlighting; hotelstfrancis.com), billed as the oldest hotel in Santa Fe, completed a top-to-bottom renovation in 2009, and it looks spectacular. Doubles from $120.

The El Rey Inn (1862 Cerrillos Road, 505-982-1931 begin_of_the_skype_highlighting              505-982-1931      end_of_the_skype_highlighting; elreyinnsantafe.com) is a retro-chic 1930s-style motel, with nicely furnished rooms and beautifully landscaped grounds to go along with the kitschy Native American-themed architecture. Doubles from $99.

Hilton Santa Fe Golf Resort & Spa (30 Buffalo Thunder Trail; 505-455-5555 begin_of_the_skype_highlighting              505-455-5555      end_of_the_skype_highlighting; buffalothunderresort.com) is part of a new casino complex, about 15 minutes north of town. Doubles from $159. Hilton also built a less-expensive Homewood Suites nearby (10 Buffalo Thunder Trail; 505-455-9100 begin_of_the_skype_highlighting              505-455-9100      end_of_the_skype_highlighting), with doubles from $109.

Seventy-seven percent of Americans expect home prices in their areas to rise or stay the same in the next 12 months, according to a Gallup survey released Thursday.

Gallup reports that 43 percent of Americans expect housing prices to stay the same in the coming year, a small increase from 42 percent last year.

In April 2009, the same Gallup survey showed that 63 percent of Americans thought housing prices near them would rise or stay the same. Confidence that prices will rise is strongest on the East and West coasts where 39 percent of people in each area surveyed predicted an increase in housing prices, compared to 34 percent of people in the South and 24 percent of people in the Midwest.

That confidence combined with low interest rates on government loans will mean more home sales in the short-term, Gallup said. Those sales, in turn, will stimulate the real estate market and larger economy.

Gallup’s survey found that 72 percent of Americans think it’s a good time to buy a new home, slightly more than last year — 71 percent— but 19 percent more than in 2008. Still the report highlighted the lingering issue of job creation as an obstacle to Americans feeling financially secure enough to buy a new home.

Sarah Krouse of the Washington Business Journal, an affiliated publication, compiled this report.
Read more: Report: 77 percent of Americans expect stable or rising home prices – New Mexico Business Weekly:

 Median Price Grows in City as Market Improves

(Santa Fe, NM – April 14, 2010) Total City and County of Santa Fe home sales realized a 16% increase during the 1st Quarter of 2010 compared to the same quarter in 2009. The median price of homes sold in the City rose from $308,000 in the 1st Quarter of 2009 to $464,000 in the 1st Quarter of 2010. During this same period, the median price of County of Santa Fe homes fell to $318,224 in the 1st Quarter of 2010 from $440,000 in the 1st Quarter of 2009.

Condo and townhome sales more than doubled to 62 in the 1st Quarter of 2010 from 27 in the 1st Quarter of 2009. Land sales were up modestly along with sale volumes when comparing the 1st Quarter of 2010 to 2009.

“The market appears to be stabilizing in the City with buyers still taking advantage of lower prices in certain areas,” stated Lois Sury, 2010 President of the Santa Fe Association of REALTORS®. “The doubling of condo and townhome sales may indicate that single family home prices are becoming more competitive and second home buyers are back in the market making the purchase of a condo more attractive.”

“Home buyers can still take advantage of the $8,000 First Time Home Buyer Tax Credit and expanded $6,500 tax credit for existing home owners until April 30, 2010. The contract must be signed by April 30, 2010 and close by July 1st to be eligible. Interest rates are starting to edge up so we’re seeing buyers making decisions to meet the federal deadlines and lock in a lower rate,” said Ms. Sury.

As part of U.S. Congress’ plan to stimulate the U.S. housing market and address the economic challenges facing the nation, legislation was passed in November 2009 that

• Extends the First-Time Home Buyer Tax Credit of up to $8,000 for first-time home buyers until April 30, 2010 and

• Expands the credit to grant up to $6,500 to current home owners purchasing a new or existing home between November 7, 2009 and April 30, 2010.

Information provided by the Santa Fe Association of Realtors

April 16th, 2010

  By Jessica Dyer

   Journal Staff Writer

   Home sales are on the rise in Santa Fe and so are the prices, according to a report issued Wednesday by the Santa Fe Association of Realtors.

   The median home price inside the city limits made a huge jump in the first quarter   of 2010 — to $464,000.

   That’s a 51 percent increase from the same period a year ago and is nearly as high as during the national real estate boom that crashed a couple of years ago.  

   In the last quarter of 2005, the median in-city home sale price spiked to $470,000, good news for those in the housing market but a number that also helped push local governments to expand affordable housing programs.

   The price in Santa Fe has been on a big upswing in the past six months, the Realtors reports show. The median — not an average, but the middle point with half the home sales above and half below — dropped to a five-year low of   $287,000 in the third quarter of 2009 and was up to $329,500 the last three months of the year.

   For all of 2009, the city’s median selling price was $300,000, also a five-year low.

   “It appears we’re on a positive incline,” association president Lois Sury said.

   Sury said low interest rates have aided the trend, as have federal tax credits for first-time buyers and some repeat buyers entering the market again after being “longtime residents” of their current home.  

   “But with median (prices) going up, it shows all segments of the market are moving up,” Sury said.

   For 2010’s first three months, the median price for homes in county near Santa Fe was $318,224, down from $440,000 during same period in 2009 but up from $335,000 last quarter.

   The median for all city-county sales was $390,500, compared to $382,563 a year ago.

   The Realtors’ figures also     show that 16 percent more single-family homes were sold in the Santa Fe area during the first quarter of 2010 than during the same period last year.

   Sales are up from 95 homes to 110 in the city limits, and the number jumped from 82 to 95 in Santa Fe County areas outside of the city.

   The Realtors year-to-year numbers indicate that citycounty home sales peaked in 2005, when 1,996 houses were sold. That total had dropped to 1,029 in 2008 and went to 966 last year. The Realtors reports don’t include houses sold by individuals or directly by builders or developers.

   Tax credits help

   The federal tax credits that have helped spur sales expire soon —customers have until April 30 to execute a purchase agreement to get the $8,000 and $6,5000 credits—but Ian MacGillivray of Los Alamos National Bank said that doesn’t necessarily spell trouble for the housing market later this year.

   A rush of customers hoping to meet those deadlines “is still reducing the overall supply (of homes), which does nothing but help price points,” MacGillivray said.

   The number of active listings reported by the association hasn’t changed much. There were 1,350 single-family homes on the market in March. That’s slightly less than March of 2009 (1,393) but more than December (1,313).

   During the first quarter, homes spent an average of about six months on the market before selling, although there are large variances based on location. Properties in the southwest part of the city needed an average of 134 days on the market — a decrease of about a month from the first quarter of 2009. But those in the southeastern area of the city required an average of 254   — up 42 days from the same period last year.

   Sellers received an average of 89 percent of their asking price in January and March but only 81 percent in February, a traditionally slow month for home sales.

   “We’re seeing people list a lot more realistically today,” said appraiser Kay Sutt of Hippauf & Associates, Inc. who created a chart of sale price data using numbers from April 2006 to present.

   Sutt’s information indicates that the average selling price of a home in the city limits has declined each of the last two years. The average selling price of a home was $452,000 over the course of the last 12 months. That’s down from $504,000 (2008-09) and $526,000 (2007-08).

   The association’s report shows a large upswing in the sale of condos and townhomes. Only 27 were sold during the first quarter of 2009, but this year’s figure is 62.

   “Townhomes and condos were pretty flat for a while,” Sury said.

   Only 233 were sold in all of 2009, the fourth straight year the number had declined.

   Land sales are also up. A total of 24 parcels were sold in the city and county during the first quarter, up from 21 during the same period last year. The median price for the plots, however, dipped to $101,000 from $182,000.

   The city issued building permits for 48 housing units in the first quarter, 30 of them for single-family homes.

   Sutt said she had no exact figures but had anecdotal evidence showing an uptick in new construction.

   “In talking to builders and architects, people are starting to move again. Costs have come down a bit and land values have come down a bit and we’re starting to see people out looking against to build their dream house,” she said.

Thanks –

Candy Brenton

Marketing Director, Santa Fe Properties

 By Alan Ball of Southwestern Title & EscrowSanta Fe, New Mexico April 2010

 April 2010 Newsletter

            Finally a bit of good news to report; March 2010 monthly sales figures are above February 2010 and also above March 2009. That only happened in 4 out of 12 months last year and none of the previous 24 months (in ’08 or ’07). So yes, that’s kind of a big deal. And the First Quarter home sales chart (included in this letter) shows a measurable increase in the category up to $500,000 for the first quarter 2010 versus the same quarter 2009. We can thank the first time homebuyer tax credit program somewhat for that increase. But is also is likely attributable to buyers and sellers in that range being bold enough to decide to buy or sell despite the mixed up and unpredictable marketplace. Even without the tax credit, we should expect some increase in that range. Those buyers and sellers are rarely in a position to wait. If they need to sell or need to buy, they usually can’t sit back to watch or hesitate, compared to a prospective buyer or potential seller in higher price ranges. Certainly there are many that need to sell in all price ranges. It’s just that under $500,000, I believe those with a real choice are a much smaller percentage. And let’s not completely ignore the better prices and values that buyers are finding these days. Examples abound of a specific property selling in 2008 or 2009 that may now be available for less. What some sellers wanted last summer is probably now even lower. That’s what buyers are seeing and acting upon. My 1^st Quarter home sales spreadsheet follows:

            The struggling Santa Fe residential real estate market is such a large part of our local economy that nobody can really measure the widespread negative effect on Santa Feans. For several years, the only real form of good news materialized as “no more bad news”’. Despite the accumulation of losses the bursting bubble of real estate ushered in, we have reasons to think the worst is over and the recovery is well underway. But please be patient. Just 4 or 5 months ago, there was real fear that we would have a double dip recession, meaning the all time lows we experienced around the end of 2008 might be repeated a year or more later. Now the experts seem to think the likelihood of that is less than a 10% chance. The most common description I am able to decipher is that we are in a modest recovery. That means nothing fast and furious, nothing spectacular, no overnight cures or obscene instant fortunes being made. It’s simply a time of hard work and our collective shoulder to the wheel. We will have to collectively earn every step we take, without a tailwind and with too little confidence to start running again.

            Are you enjoying the well-worn references to spring right now; from “hope springs eternal” to “April showers bring May flowers”? My saying is somewhat plaintive and small in focus, yet allows a sweeping generality to lodge in one’s brain. I quote that old folk singer Bob Dylan who wrote “funny, how the things that are the most difficult to part with are the things we need the least.” So why stop with spring cleaning and a garage sale?  Why not go further and change addresses? Find a new place to wake up every morning and a new sunset view to brag about. I submit it would be fantastic if just 5 percent of us sold the home we now live in and bought another home. What’s the quick math here? Maybe start with 10,000 homeowners (nice round number), so 5% of that is 500. And if all 500 were willing to be both a seller once and a buyer at least once, that’s maybe as many as 1,000 deals. What? 1,000 transactions? Well, let’s lower the estimated count to 750 transactions, since some deals will count as both a sale and a purchase. And let’s spread those out over the next 6 months. In this example, these are new deals beyond what would happen anyway. These are 500 homeowners willing to make a difference, to step forward and do something constructive and meaningful. So if you can imagine 750 transactions added to some number, what is the total # of sales that usually occur in the 6 months period that covers April 1 to September 30^th? For 2009, that number was 647. And I am proposing we double that number. All it takes is those 500 people to be willing and able. Who can I count on? Who is in?

            Think of the consequences of that many people adding their sale or purchase to the volume of sales we would do this year. What are the effects? Let’s take the surveyors first. My rough guess of the average cost of those additional 750 surveys would be at $600 each; times 750 for a total of $450,000. That’s new money circulating in Santa Fe. Now let’s throw in some appraisals, with an average cost of say $450 (times 750) and we can add another $337,500 to the amount of new money flowing around town. Next would be my long time compadres in the Realtor community. If there were an additional 750 transactions, I bet a dollar the average commission would be, all things considered, at least $17,000 per. That times 750 is a neat and tidy $12,750,000. Whoa! You say? How did we jump into the millions? That guess uses just below an average sales price of $350,000 and an average commission of 5 percent. I know, many Realtors are worth 6 or 7% and some are only worth 3 or 4%, so it balances out. The surveying and the appraising work will help, but now we are in the millions. But those estimated commissions are peanuts when you calculate what would happen with those 500 people participating in 750 transactions. If commission and all other costs add up to say 7% of the total sales price, that leaves 93% to count. If the average is correct ($350,000) and the number count is correct (750 new transactions), then what is the math on that? Try this  out: $262,500,000. Let’s not forget to take out the 7%. Well, we still have $244,125,000. Where does this money go? Some goes into the next home. Some pays other people involved in the sales process. Some has to go to pay off mortgages, of course, and some credit card debt will get paid off. And some goes into savings. But you just know there would be a run on flat screens and landscaping materials; all purchased locally if not manufactured locally.

            It’s true that some of the buyers of this new business will need to borrow money. We hope they borrow locally so as to employ someone locally and continue to circulate the money around the community we live in and love. But where is this going? What’s the point of all this? It is quite interesting how far, or how close, we are to participating in a thriving economy again. With your imagination, I am certain it occurred to you that people would return to their dentist sooner, buy those new slacks and have that manicure you owe yourself. Each time you spend money, it comes back over and over, circulating in Santa Fe, employing more people, giving residents of Santa Fe a stronger grasp on their own future.

            Am I suggesting we actually take money out of our own pockets and help someone else? No, not at all. I am simply saying you could help yourself to a new home address. You could take what you deserve and move up or move down as your needs and wants indicate. Make an appointment with a Realtor today. Well, first maybe talk to a mortgage lender, OK? Then look at what is for sale online, to educate yourself on the market. Then call a Realtor. Then call me.

            So let’s play what if…   what if some of these things happened? What would you say was your part of the process? When your grandchildren asked you “what did you do to fix the local economy, grandpa?” your answer could be anything you want it to be. Tell the grandkids your truth. Let them look at you with respect and admiration for your hard work and vision.

Sincerely,

Alan Ball