Complete Guide to Flipping Houses In New Mexico In 2023

Factors to consider when Flipping Houses In New Mexico

• After Repair Value (ARV) – The future value of the property after its completely renovated
• Average Days On Market (DOM) – The average number of days it takes a property to sell 
• Median Home Price – Data on the median real estate price is an essential barometer for assessing a potential investment region. Low median home prices are a sign that there is a consistent supply of homes available for purchase below market value. This is a crucial element of a successful investment.
• Property Appreciate Rate – Are local real estate market prices increasing or decreasing? You’re looking for a steady rise in local real estate costs. Even if a price rise is big and abrupt, erratic price adjustments are undesirable. An unpredictable market can hurt you if you are buying and selling quickly.
• Average Renovation Cost -Any market where you would consider investing will require you to examine construction costs. Your investment will also be impacted by the process the municipality uses to approve your designs. Include architect expenses in your budget if you are needed to have a stamped suite of blueprints.
• Population Growth – Population figures will show you whether there is a rising demand for real estate that you can supply. It will show a significant population growth when there are purchasers for your renovated homes.
• Median Population Age – You can also tell if there are potential homebuyers in the city by looking at the median population age. It’s a good sign when the median age matches that of the typical worker. Those who are employed may be those who are potential home buyers. Retirement-related needs most likely won’t align with your investment project plan.
• Unemployment Rate – Look for low unemployment rates while assessing an investment market. A lower unemployment rate than the national average is a positive indicator. An area with a favorably reliable investment climate will have unemployment levels below the state average. Your prospective buyers, as well as their clients, need to be employed in order to purchase your remodeled homes.
• Income Rates – You can tell if you can find eligible property buyers in that location for your residential properties by looking at the median household and per capita income levels. A home mortgage loan is typically required for those who buy a home. The amount of income a home buyer makes will determine whether or not they are eligible for a mortgage. You can tell if a sufficient number of people in the market can afford to buy your properties by looking at the median income of the neighborhood. Also, you want to see rising pay over time. You should be allowed to occasionally boost your prices to keep up with inflation and escalating building and supplier costs.
• Number of New Jobs Created – When thinking about investing in a particular city, the annual employment creation rate is an important indicator. When the economy of their neighborhood creates new jobs, more people buy homes. New potential homebuyers move to the area from other districts as more employment are established.
• Hard Money Loan Rates – Making sure you under where the market is on hard money rate loan rate is important to understanding the holding cost of your real estate project 

New Mexico Housing 2023

New Mexico shows a median home market worth of $166,800, while the figure recorded across the nation is $204,900.

The yearly residential property value appreciation percentage has been 0.08 in the past decade. Throughout that cycle, the nation’s yearly residential property value growth rate is 0.13.

In the rental property market, the median gross rent in New Mexico is $828. The median gross rent all over the US is $1,023.

New Mexico has a home ownership rate of 67.6%. 63.8% of the United States’ population are homeowners.

The percentage of homes that are occupied by renters in New Mexico is 32.4%. The corresponding rate in the country overall is 36.2%.

The total occupied rate for houses and apartments in New Mexico is 83.15%, while the unoccupied rate for these units is 16.85%.

Housing Quick Stats

Home Appreciation Rate(2010-2018)
0.65%
Median Home Value
$166,800
Median Gross Rent
$828
Price To Rent Ratio
17
Home Ownership Rate
67.6%
Tenant Occupied Rate
32.4%
Average Property Tax Rate
$1,311Upfront Dollars is a hard money lender that can finance your next fix and flip, bridge, new construction or rental loan project. We are fast, transparent, low fees and offer high LTVs. Contact us today with your loan request.