The market is humming! The nationwide buying surge in rural areas that began last year due to the Covid-19 pandemic has continued into 2021; it shows no sign up easing even though the pandemic appears to be getting under control. The Taos market experienced something of a buying stampede last year. Robust demand for property in Taos is expected to continue into the foreseeable future. Sales are running well ahead of last year’s pace, despite very low inventory of homes and condos listed for sale.
The Taos real estate market is off to a vigorous start in 2021, with sales of homes, condos and land well above last year’s pace for the year to date. It looks like buyer interest in Taos property will continue to be strong this year!
The year got off to a fast start, with January increases in sales of single-family homes, condos and land. This year looks to be another strong year.
2020 finished strongly, as buying of single-family homes surged. An acute Inventory shortage coupled with a backlog of orders at title companies caused closed sales to be less than they would have been. Nevertheless, unit sales were up 24% over 2019, and they are now just 4% below peak year 2007. Prices are now above peak levels. Condo sales were down from 2019’s pace, due to an even more acute inventory shortage, as well as the much longer than normal time to close sales. Land sales were also down, but they look set to improve in 2021.
It’s too early in the year to discern any trends in the Taos real estate market. Logic would suggest that the Covid-19 pandemic will have a negative effect on the market. The impact on the US economy will be severe, and this will dampen demand for vacation and second homes in the short term. However, in the long run, the pandemic may actually increase demand, as people seek a good place to escape to should another pandemic or other emergency arise.