Mortgage Rates are inching up in Las Cruces

So the mortgage interest rates are inching up. What does that really mean for an average buyer? Not much if the rates move a tenth of a percent over several months, however....

Let’s say we are getting ready to buy a $150,000 in Las Cruces.  Last month we could have picked up a mortgage for 3.8% from a variety of local and national banks – assuming of course, that our credit is in decent shape. Our payments would have looked something like this: No PMI* because we are putting 20% down --- or $30,000

OK so our basic payment which includes property tax, no PMI *, 20% down, would be around $634.15 per month.  Also note that over the lifetime of the loan our total payments sums to a whopping $228,293 - imagine what that number would be if the interest was 8% ! Also in the state of New Mexico our property taxes are somewhat lower than other states. This is how I came up with the property tax percentage of .6%... Property tax is now based on the market value of your home divided by one third to get to the assessed value, then approximately 2% of the accessed value.  Therefore $150,000/3.333 = $45,000X.02= $900 tax which is .6 of 1%.

Now lets see what the numbers look like if the mortgage interest rate pops up to 4% which it just did. Everything else remaining the same.

The monthly increase is $13.75 - for the difference of two tenths of one percent (.2) interest rate. OK - that's not earth shattering, but over time it can mount up and make a difference. The difference in the total amount of payout is about $5,000 over the life of the loan. If we were talking about a 1% rate hike (not inconceivable) the difference would be 5 times or about $70.00 per month.

PMI stands for Private Mortgage Insurance that the bank or lender wants you to pay for if you do not have a large enough "vested" interest in the home that you are buying. In today's market it usually means that you have to purchase (monthly add-on) PMI insurance for the lender if your down payment is less than 20% of the sale or appraised value of the home. There are exceptions, such as when the government backs the loan, etc.  In the above calculations we assumed no PMI insurance because we illustrated a 20% down payment.

When looking to purchase homes, watch the mortgage interest rates, they can move quickly. Also waiting to purchase a home can mean hundreds of dollars in the mortgage payment especially when it comes to the value of the loan.

Soon I want to interview a couple of local bankers and let them tell us about developing trends that are emerging in the mortgage industry. 

Need help getting mortgage approval? Give me a call, chances are I can put you into contact with the right banker to help you get the home you want.

Gary Beeson

Las Cruces Real Estate

575 520-5515

Gary's web

Gary's email

Buyer's Market in Mesilla Valley's Highway 28 Corridor

If you are thinking about buying a home or ranch in the Mesilla Valley, now is the time to do it. It is a buyer’s market for sure. I’m not sure how long that situation will last, but for now money talks.

The illustrated Highway 28 corridor from the southern edge of Mesilla down to Santa Teresa includes some of the most beautiful land and farms in Southern New Mexico, close to El Paso and Las Cruces with weather designed for growing things abundantly.

In the sample there are 41 homes and ranches available for sale. The median price is a little under $200,000 which means there are bargains available. 

As a Contrast...

Sometimes it is hard for the brain to wrap around the idea that right now in Silicon Valley, there are multiple buyers making offers over the same property. The average time on the market is 7 days. That’s what you call a seller’s market.

Of course, that is not likely to happen here because we have plenty of land and we do not have the plethora of technology centers that employ so many people. Also hard to imagine is the average price for a house in SV is somewhere north of $900,000.

Back to Reality and the Mesilla Valley ...

I’m particularly fond of an area where the houses (big beautiful ones) are lined up on a 4,000 foot runway so the pilots walk directly to their hangers and taxi out to the runway then off into the wild blue yonder!  Yes, the houses are on Highway 28 in the Mesilla Valley and I will do a feature video in the next week or so – stay tuned.

If you are looking to purchase in this area soon, make sure you have a good buyer’s agent to represent your interests. There is no cost to you and with a qualified Realtor you can (and probably will) save thousands on the transaction. 

If you don’t have one, give me a call. I will be happy to give you a tour of the area.

Gary 575 520-5515

Town of Mesilla, New Mexico, USA

A great little video about our town, Mesilla, along the Highway 28 in New Mexico

I know there is a lot of information, pictures and video of Old Mesilla, but it does ooze charm and I can't help but shoot a little video of the old town plaza. For those that have not been here,  the video below is a 4 minute drive around the plaza and a couple of side streets.

Old Mesilla in New Mexico

If you are close by - stop and see Joyce over at Cafe de Mesilla.  Next week I'm thinking a little wine might be fun - we have several vineyards, lets check em out....

Mesilla Valley's Cafe de Mesilla

A great little cafe in Mesilla, NM serving Mexican breakfasts all day from 8 to 4. When in Mesilla stop by and see Joyce. Get a great cup of coffee and see what's cooking for lunch.

Joyce has a pond in the back so the kids can go fishing - see the video for details

Since I'm a superstitious kind of guy, I always pat Pink Floyd on the head when entering or leaving Cafe de Mesilla.

Cafe De Mesilla
2190 Avenida de Mesilla
on Historic Old Highway 28
Mesilla, New Mexico 88046
575 524-0000  (yes that's right four zeros)

Sanctuary 6 minute tour

As I mentioned last week I can't help but notice how nice the Sanctuary Development looks from Highway 28 just about 1 mile south of Mesilla, NM. I did a little research to see what was available in the way of homes and lots. There are 5 houses ready for sale. Prices range from $295,000 to $415,000. There are several builders that have built in the development with their own designs and probably explains the wide range of prices.  In addition there are 5 lots listed on the Multiple Listing Service ready to build. These lots range in price from $51,000 to $80,000

Take a 6 minute tour and become familiar with the Sanctuary!

If you would like to see one of these homes, please give me a call at 575 520-5515 or email me at gary@viewlab.com.

Next, lets take a look at the old town of Mesilla...

Sanctuary, a very nice development in Mesilla Valley, NM

On my many trips from to Las Cruces, I venture by the Sanctuary which is a small development right off of Highway 28 just south of Mesilla or about 3 miles from Las Cruces.

There is something about it that grabs my eye each time I pass by. This weekend I will take a video trip through the Sanctuary and show some of the unique architecture this place has to offer. Stay tuned.  Also I found this great little cafe in Mesilla that makes the best latte's in town - or so she says. I will see if we can get her to say a little about her place on the next blog..

Until this weekend ---

Mesilla Valley preparing for Spring

Wow, 80 degrees today and the trees and meadows are beginning to blossom. Usually this time of year we get some pretty good winds, but we have not had that so far. The farmers are making the most of the good weather and their fields are getting ready for the planting season.

Preparing fields

Higher on the mesa, the chaparral and other desert vegetation is reaching for the sun.

Organ Mountains from a distance

Traveling through the small villages we find old and new construction methods typical for this part of the country. Below is an apartment complex in the small village of La Mesa 

La Mesa apartments

Mesilla Valley's Highway 28 in New Mexico

As I was driving home today from Las Cruces, NM. I realized how beautiful the Mesilla Valley really is. Even in February - I can't believe this weather! It was 79 degrees and the Organ's were magic; no wonder artists love to live here, indeed it is the light. Highway 28 meanders along the Rio Grande river from Las Cruces to La Union and provides a view into the Valley's history, a very rich history in culture and change. It is my intention to uncover a bit of this rich heritage and to share with you some of my findings. For those of you used to larger metropolitan areas Mesilla Valley's Highway 28 is really a two lane road through some of the most beautiful country in the high desert.  

When I first drove this area 35 years ago, the most significant feature on Highway 28 was the large pecan orchard called Stahmann's farms, with the trees overhanging the highway the light echoing through the limbs was literally hypnotic. Since then there are several new home developments, new farms, and a few new businesses, but the old charm remains.

This blog will feature Mesilla Valley's people and places with emphasis on homes and properties along the corridor from Las Cruces to Anthony.
It goes without saying that a video here and there will spirit the soul to new heights of enjoyment. 

Each blog will sport a video and contain at least one interview with a Mesilla Valley resident or business. I will do my best to keep the videos brief and interesting.



See my video blogs of Mesilla Valley's most interesting people, places and property..