As the Feds continue to ease interest rates for the sixth time this year, buyers and sellers are ever more active in the Santa Fe real estate market. We now enjoy a steady supply of summer inventory.

Active MLS listings in City of Santa Fe and Santa Fe County include:

100K-200K	352
200K-300K	318
300K-400K	179
400K-500K	128
500K-600K	74
600k-700K	65
700K-800K	47
800K-900K	47
900K-1million	32

Parade of Homes and Santa Fe's best home builders will be featured this August 10, 11, 12 and 17,18, 19 from 11:00 am to 5:00pm. For information visit, http://www.santafehometour.com

Summertime is a great time to review listings and enjoy the cultural amenities in Santa Fe. When not on tour, take advantage of the multitude of cultural opportunities in Santa Fe, including: Santa Fe Opera, Desert Music Chorale, Chamber Music Festival, The Lensic Theatre. See the Arts and Recreation section on our resources page.

Santa Fe's rainfall and water supply are back on track from last year's drought. The reservoirs are full, everyone is water conscious, and the countryside is alive with green vegetation and flowers. There is even positive momentum to develop and secure future water rights for the City of Santa Fe and Santa Fe County as they finally have agreed to work with one another. Keep in mind water is life in the high mountains and deserts of New Mexico.

Welcome to our new Realtors, Frank Cox and Hazel Cox. Frank shares his extensive commercial and residential experience having owned his own brokerage in Arkansas. Hazel enjoys selling residential homes and lands with a refined touch. For more information see our agents page.

Home maintenance and home inspections are vital ingredients in every home sale. See Walter Drew's article below for helpful tips regarding maintenance of Southwest architecture.

FINANCE

New Directions Financial, Carla Hiley

The Feds had their FOMC meeting in June and dropped the Fed fund rate another .25 basis points, which brings this rate down to 3.75%. You are probably thinking that this means that the long-term interest rates such as the 30-Year Fixed rates should be very low. But, the Fixed rates are not as low as most consumers would like today.

Analysts and economists are predicting that we will see much lower rates on the fixed side in the near future. As the economy strengthens, we may not see rates at these record low levels for long. I would recommend not holding off on your purchase or refinance while you are waiting for the market to change. Inventory levels in Santa Fe continue to get lower every month.

Some of the lowest interest rate programs that are available to consumers are 3/1 and 5/1 ARMs. There are convertible and non-convertible loans. Rates on the lower ARMs have fallen well below 6.00%. We have not seen rates like these since 1998. You may want to consider one of these ARMS for the first few years of a new mortgage. Doing this can allow you to purchase more home while you are building equity. Call Carla Hiley/New Directions Financial, Inc., toll-free at (888) 884-4240 or e-mail me at cmhiley@qwest.net for a Free pre-qualification to see if you qualify for this type of program. We specialize in those Borrowers who have specialized financial needs and non-conforming properties.

HOME MAINTENANCE IN THE SOUTHWEST

By Walter Drew
Home and Construction Inspections
wdrew@owol.net

• Cracks in stucco should be filled with an acrylic or silicone type of caulk. It is important to do this before the start of winter freeze/thaw season.
• Exterior woodwork should be inspected and treated as needed on an annual basis. The south and west sides are especially vulnerable to the sun.
• Minor interior cracks caused by shrinking or settling are best patched with an expandable high-grade caulk.
• Where tile meets another surface or turns 90 degrees, frequently the grout works itself loose. The best solution is to use an expandable tub and tile sealer. This would be true on countertops and in tubs and showers.
• In the fall it is advisable to inspect the roof, especially the flashing and canales and patch as needed. This can be accomplished by a competent homeowner, handyman or professional roofer. On houses with parapets, the roof inspection should include patching and sealing of all cracks in the parapets.
• Remove large icicles from canales. The weight can cause the canale to pivot and rip the roof flashing.
• Heating systems should be cleaned and maintained annually prior to the start of the heating season.
• Fireplaces and chimneys should be inspected and cleaned as necessary at least once a year.
• Wood burning stoves may require more frequent chimney cleaning.
• Smoke alarm/detectors should be checked quarterly.
• The hot water heater should be drained at least once a year.
• Insure that surface water is kept away from foundations. Use splash blocks or gravel to control water splashing.
• Door locks can be lubricated with graphite either applied to the key or squirted in the keyhole.
• Septic tanks should be pumped and cleaned at least every two years, or more frequently with heavy use.

GOVERNMENT & TAXES

Call the experts !
New Mexico Tax and Revenue 505-827-0700
City of Santa Fe 505-984-6500
Santa Fe County 505-986-6200

Note: Santa Fe has some of the lowest property taxes in the country. Property taxes in NM not allowed to increase more than 3% a year.

STATISTICS

Santa Fe Association of Realtors property statistics

2001 first quarter Santa Fe Area

Existing and new, single family detached homes sales:

Total City of Santa Fe:

1st Qtr 2001 165 sold, median price $214,500

1st Qtr 2000 185 sold, median price $205,000

Total Santa Fe County

1st Qtr 2001 136 sold, median price $236,916

1st Qtr 2000 108 sold, median price $235,000

Condo/Townhome sales:

Total City & County

1st Qtr 2001 60 sold, median price $169,250

1st Qtr 2000 57 sold, median price $214,900

Note: This representation is based in whole or in part on data supplied by the Santa Fe Association of Realtors or its Multiple Listing Service. Neither the Association nor its MLS guarantees or is any way responsible for its accuracy. Data maintained by the Association or its MLS may not reflect all real estate activity in the market.

Rising from 6500 to 7500 ft, most of central New Mexico is in the transition zone. Ponderosa pines, oak, juniper, spruce, aspen and Douglas fir grow here.

FYI - Santa Fe, see our resources page.