Albuquerque

New MexicoAlbuquerque Metropolitan Statistical Area

Real Estate Market Analysis

Q3 2025 Report
$349,331 (June 2025, all homes); $365,000 (May 2025, detached)
Median Home Price
Approx. 565,000 (city); 915,000 (metro area, 2024 est.)
Population
$60,000 (2024 est.)
Median Income
Albuquerque Public Schools (APS): 'B' average (Niche 2024)
School District Rating

Market Overview

Property Values

$349,331 (June 2025, all homes); $365,000 (May 2025, detached)
Median Home Price
$210 (June 2025, all homes); $216 (May 2025, detached)
Price per Sq Ft
+3% (June 2025, all homes); -1.9% (May 2025, detached)
YoY Change

Market Performance

Days on Market28 days (June 2025, up 20.2% YoY); 35 days (May 2025, up 30% YoY)
Market TypeSeller's market, but cooling with rising inventory
Months of Supply2.4 months (May 2025)

Sales Activity

Sales Volume583 homes sold/pending (June 2025, down 3.2% MoM)
Metro AreaAlbuquerque Metropolitan Statistical Area
PopulationApprox. 565,000 (city); 915,000 (metro area, 2024 est.)

Economic Indicators

Employment & Growth

Unemployment RateApprox. 4.1% (Q2 2025, est.)
Job Growth Rate~1.2% YoY (2024-2025, est.)
Median Household Income$60,000 (2024 est.)

Major Employers

  • Sandia National Laboratories
  • University of New Mexico
  • Kirtland Air Force Base
  • Presbyterian Healthcare Services
  • Intel

Demographics

Approx. 565,000 (city); 915,000 (metro area, 2024 est.)
Population
38.5 years (2024 est.)
Median Age
+0.5% YoY (2024-2025, modest growth)
Population Growth
32% bachelor's degree or higher (2024 est.)
Education Level

Family Composition

Mix of families, singles, and retirees; 27% under 18, 16% over 65

Key Industries

Aerospace & DefenseHealthcareEducationTechnologyTourism

Education

School District

Albuquerque Public Schools (APS): 'B' average (Niche 2024)
District Rating

Top Schools

  • La Cueva High School
  • Albuquerque Academy (private)
  • Early College Academy

Higher Education

  • University of New Mexico
  • Central New Mexico Community College

Infrastructure & Development

Major Projects

  • Albuquerque Rapid Transit (ART) corridor improvements
  • Downtown revitalization projects
  • Mesa del Sol mixed-use development

Transportation

  • Expanded ART bus rapid transit
  • I-25/I-40 interchange upgrades

Planned Developments

  • New residential subdivisions in Westside and Northeast Heights
  • Mixed-use infill in downtown and Nob Hill

Lifestyle & Amenities

Recreation

  • Sandia Mountains hiking/biking
  • Rio Grande parks and trails
  • Balloon Fiesta Park

Dining & Entertainment

  • Old Town Albuquerque
  • Nob Hill restaurants and nightlife
  • ABQ BioPark

Cultural Attractions

  • Albuquerque International Balloon Fiesta
  • Indian Pueblo Cultural Center
  • National Hispanic Cultural Center

Investment Analysis

Investment Opportunities

  • Rising rental demand due to affordability vs. other metros
  • Strong demand in $250K–$400K price range
  • Potential for value-add in older neighborhoods

Growth Outlook

Moderate, with stable demand but slower price appreciation expected through 2025

Market Risks

  • Rising inventory may pressure prices
  • Longer days on market
  • Interest rate volatility

Rental Market

Strong; vacancy rates remain low, rents rising 4–5% YoY

Marketing Intelligence

Target Demographics

  • Millennials (first-time buyers)
  • Move-up families
  • Relocating professionals
  • Retirees seeking affordability

Marketing Channels

  • Zillow/Realtor.com
  • Social media (Facebook, Instagram)
  • Local real estate websites

Pricing Strategies

Price competitively; avoid overpricing as buyers have more options

Common Objections & Response Strategies

Objection: Homes are too expensive for my budget

Response Strategy:

Highlight increased inventory and negotiation opportunities; suggest homes slightly below budget for flexibility.

Objection: Interest rates are too high

Response Strategy:

Discuss potential for future refinancing; emphasize long-term value and current rent vs. buy calculations.

Objection: Neighborhood safety concerns

Response Strategy:

Provide recent crime statistics and highlight community initiatives or neighborhood watch programs.

Professional Recommendations

1

Advise sellers to price competitively and invest in staging for faster sales

2

Encourage buyers to negotiate—over half of homes sold below asking in June 2025

3

Highlight Albuquerque's affordability and rental yields to investors

4

Stay updated on local inventory trends and adjust marketing accordingly

5

Leverage digital marketing and virtual tours to reach remote and relocating buyers

Competitive Analysis

Comparable Markets

  • Tucson, AZ
  • El Paso, TX
  • Colorado Springs, CO

Market Positioning

Affordable alternative to larger Southwest metros, with strong lifestyle amenities

Competitive Advantages

  • Lower median price than Denver, Phoenix, or Austin
  • Stable job base with government and tech employers
  • Strong rental yields

Price Comparison

Median price $349K vs. $400K+ in comparable regional cities

Investment Metrics

5.5%–6.5% (2025 est., SFR rentals)
Cap Rates
5.2% gross yield (avg.)
Rental Yields
16–18 (2025)
Price-to-Rent
Positive cash flow possible with 20% down in most submarkets
Cash Flow
2–3% annual appreciation expected through 2026
Appreciation

Buyer Journey Insights

First-Time Buyers

More options due to rising inventory; down payment assistance available; competition less intense than 2022-23.

Move-Up Buyers

Can leverage equity gains from prior years; more choices in $400K+ range; longer time to sell current home.

Downsizers

Strong demand for low-maintenance, single-level homes; condos and townhomes in NE Heights and Westside popular.

Investors

Opportunity to buy below asking; strong rental demand; focus on SFR and small multifamily.

Relocators

Attracted by affordability and lifestyle; need guidance on neighborhoods and schools.

This city analysis was generated using comprehensive market data and AI intelligence.

Market conditions change rapidly - consult with local real estate professionals for the most current information.

Related Market Intelligence

Explore connected markets and opportunities