Location: Albuquerque, NM | Metro: Albuquerque, NM MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $910 |
| 1 Bedroom | $1,070 |
| 2 Bedrooms | $1,320 |
| 3 Bedrooms | $1,840 |
| 4 Bedrooms | $2,160 |
| 5 Bedrooms | $2,506 |
| 6 Bedrooms | $2,807 |
| 7 Bedrooms | $3,032 |
| 8 Bedrooms | $3,184 |
U.S. Census Bureau data (2024)
The real estate market in ZIP 87016 presents a nuanced picture that balances both stability and potential growth, particularly relevant for landlords and small-portfolio investors. The median home value stands at $217,549, indicating a modest but accessible price point for investment properties. This figure is crucial for understanding the baseline valuation of residential assets in the area.
The absence of percentage reductions in listings and the unspecified median days on market (DOM) suggest a relatively stable market where homes are selling without significant price adjustments. This stability can be interpreted as a sign of consistent demand, which supports maintaining current pricing levels without aggressive discounting. For landlords and investors, this implies a steady rental market with less volatility in property values.
Turning to the rental side, the Fair Market Rent (FMR) for ZIP 87016 in fiscal year 2024 is set at $1,030, compared to the current market rate of $847 based on Census ACS data. This gap signals an upward trend in rental prices, likely due to factors such as increased demand or regulatory changes aimed at ensuring affordability. Investors should prepare for potential increases in rent collection, aligning with the FMR adjustments, which could improve cash flow and rental yields over time.
For long-term hold investors, the setup implies a realistic appreciation thesis, albeit with a cautious outlook. The combination of a stable home value and rising rental rates suggests that while rapid appreciation may not be imminent, there is a foundation for gradual value growth. This scenario is favorable for those who aim to build wealth through real estate over several years, rather than seeking quick gains.
In summary, the data points towards a balanced market where pricing power remains intact, and rental income is poised to grow. This environment is conducive to long-term investment strategies, offering both stability and the potential for steady returns and appreciation. Landlords and small-portfolio investors should leverage these insights to make informed decisions about their investments in ZIP 87016.
Data Sources: FMR data from HUD (2027). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.