Welcome To Santa Fe - The place that's affectionately called "The City Different."
It is called this because almost everything here is different - sometimes 'Muy Diferente' and this includes the way real estate is bought and sold.
Dougherty Real Estate Co., LLC knows that this difference exists and that it may cause confusion and issues for people who want to buy real estate here. For this reason we have created this primer to help, you, the buyer of property in Santa Fe. La Villa Real de Santa Fe de San Francisco de Asis was founded in 1609 upon a royal land grant from the King of Spain. Surrounding areas were granted to Spanish families and to Pueblo Indians. The Treaty of Guadalupe Hidalgo, between the United States and Mexico in 1848, upheld these land grants and brought New Mexico into the United States as a Territory. In 1912 New Mexico became a State. More surrounding lands were then set aside for Federal and State use. Today, less than 45 percent of the lands in the State of New Mexico can be privately owned.
Santa Fe is the city at the end of The Santa Fe Trail from Missouri, The Camino Real from Mexico City and The Old Spanish Trail from California. People have been coming to this ancient capitol city and county seat for centuries, in fact, for almost 400 years.
In 1625 the population of Santa Fe was about 5,000 souls, by 1848 it had only doubled to 10,000, by statehood it was 15,000, and immediately following WWII it was 25,000. Since then, the population has been growing at the rate of about two and a half percent per year. Today, the population of Santa Fe is approximated at 68,000 and Santa Fe County's present population is approximately 129,000. In addition to this year-round population in the City and County, the area receives some 1,750,000 visitors each year. Many want to stay!
The point of this history lesson is to demonstrate that available property for purchase and use, in and around Santa Fe, has actually decreased over the years while the number of people wanting to own it has risen.
As a potential buyer of real property here, you need to know that you are participating in a market where, if the past is any indication, prices will continue to rise in real terms today and tomorrow. You also need to understand that there are many potential buyers in the market and that having a substantial knowledge about the market and market conditions is more important than ever.
Sellers of real estate in and around Santa Fe, in order to address these numbers of potential buyers and to take advantage of these rising prices, are creating a new supply of properties by applying to the city and county for subdivision and other developmental permits. With these permits in hand, sellers are putting everything and anything on the market.
As a potential buyer of property in the City or County, you need to understand that the pressure created by "new" supply properties in the past has caused a myriad of new restrictions and limitations on the purchase, ownership, and development of these properties. Because the origins of real estate law are old, and in the case of New Mexico, ancient, these newer rules and regulations can be, and often are, in conflict with older ones. Sometimes in "The City Different" there is no single or simple answer to a question. However, understanding the history of various issues can make all the difference in understanding what the conflicts are and what your options can be.
Some of the restrictions and limitations include: water use, both historic and current, as mandated by county government and by litigation such as the Aamodt Water Suit and its settlement; the permissibility of guest houses, studios, second story additions, rental units, stables, swimming pools and tennis courts; historic styles ordinances affecting remodeling and additions; building codes; individual subdivision declarations, covenants, and restrictions; buildable site locations and envelope positioning; all commercial uses everywhere, and much, much more.
Many of the people who come to Santa Fe don't understand that despite our wide-open spaces, there really is not an infinite supply of land. We are like an island surrounded by an ocean of reserved Federal, State, and Indian lands. The land that is available is conveyed with strict county, city, and private covenants that stipulate just what can and cannot be done with it. Half-acre lots can sometimes cost more than ten-acre lots, and yet large parcels without utilities can cost a fraction of smaller ones with them. It is often less costly to build a new house than it is to remodel an old one, yet tax credits still exist for renovation of historic buildings. 'Asi es la vida.'
Finally, somewhere between the potential buyer of real property and the seller stands the real estate broker. This person is, most often, hired by the seller to represent the seller, not the buyer. This person is paid by the seller when the property is sold (regardless of its restrictions) to any one of the many competing buyers and for the highest dollar possible. This seller's broker is the person who puts the advertisement of the property in the newspaper or color magazines; this is the person who answers the telephone when you call; this is the person who tells you about the property and shows it to you, this person is the seller's representative, not the buyer's representative.
As a potential buyer, you need to know that you have the right to have your own real estate broker. Your buyer's broker will guide you through the competition, address your confusion, inform you about problems, and represent your interests exclusively in your purchase of real estate in Santa Fe and the surrounding areas. Thanks to a change in New Mexico Law, a Buyer's broker can be paid by the seller. This is most often the case in Santa Fe real estate transactions.
Such a relationship is termed a "buyer's brokerage" or "buyer's agency agreement." When you enter into an agreement with Dougherty Real Estate Co., LLC we function to ensure that you are a well-prepared buyer able to compete effectively, to understand fully, and to succeed readily in your purchase.
Dougherty Real Estate Co., LLC is a small, quality-oriented firm composed of long-time Santa Fe real estate brokers. We have over 100 years experience among us in every segment of the Santa Fe market. Entering into a buyer's brokerage agreement with us costs you nothing, may save you many dollars on your purchase, and certainly will ensure that you have an advocate who will look after your interests before, during, and after the transaction.
So, if you are thinking about purchasing real estate in Santa Fe, please call us. Let us tell you about who we are and what we can do for you. Our agents are here to provide you with knowledge, information and service. "Hasta la vista."
Selling a residence in Santa Fe can be, like the City is, - different. At Dougherty Real Estate Co., LLC we don't just try to sell a property. We believe that this is the information / knowledge age; It is digital and it is demanding. In real estate, this is also the era of disclosure. But before we do anything, we apply an old world notion, which is to provide you with plain, good old fashioned service and to listen to your needs.
There are two approaches to value-The market approach and the replacement approach. Most real estate agents only consider the market approach. They, like us, provide you with a competitive market analysis (CMA). Sometimes, though, we feel that looking at the cost of replacement can be a valid approach to determining value. We keep up with costs of construction and we consider those costs when determining the value of your residence.
Sometimes, because of our local knowledge and because we have been doing this for a long time, we can, by getting the all the facts about your property, find hidden value in things like water rights. We can also recommend people who "stage" properties or furnish them to emphasize the properties best features. We can also recommend contractors and handymen who can simply make your property more presentable.
Marketing Your Residence-
Remember, this is the information / knowledge age and we take that very seriously. Before we present your residence to the public we gather lots and lots of information. Some of the information we gather is as follows:
• Legal Description / Plat
• We hire an appraiser to give us a floor plan of your home, so that we have accurate square footage or your home and a floor plan the buyers can work with.
• We gather permits for things like your water well and your septic tank
• We obtain the last 12 months of your utility bills
• We obtain your tax bill
Next in the process is getting images of your residence that are professionally done for both print and digital media.
• We hire a professional "still" photographer to take both interior and exterior color photos
Then we generate copy for ads and seek your input. After all-you know your property best!
Next we create a "flyer" or brochure for your property that conveys, in a professional manner, all the information above that we have gathered. We have a graphics designer that helps us in this process.
We work hard to target the advertising for your property. Depending on the audience that we think is looking for your property we will advertise it in the most appropriate format. In any case, your property will be advertised periodically in the following print media:
• The Sunday Santa Fe New Mexican (1st section) on a periodic basis
• The Santa Fe Real Estate Guide (Produced monthly by the Santa Fe New Mexican)
• El Palacio
• Santa Fean Magazine
Your property will also be found on the Internet at the following sites:
• Realtor.com (The biggest and most visited of all real estate sites)
• Santafenewmexican.com (For virtual tours)
• Dresf.com (Our web site and the site you are on now)
• All local Realtor sites that participate in IDX (which is almost everyone)
Showing Your Residence-
Depending on the circumstance, we generally are present at the showing of your home. There are two reasons: Many of the residences we represent for sale require a personal touch, in terms of explanations and presence. Also, we are sensitive to your security needs.
Each month we follow up with a showing list, indicating who showed your property and when. We also provide you with copies of all advertising we did on your property for that month. In addition, we provide you with statistics on how many "hits" you have had on Realtor.com.
On a quarterly basis we advise you of general market conditions so that you can be advised of what is happening in the Santa Fe market in general and specifically what is happening in your area.
Now is when the real work begins! We work to orchestrate the needs of:
• The Title Company
• The Lender
• The Appraiser
• The Surveyor
• Lawyers / Accountants
We try to apply our own years of experience together with the office's combined experience to walk you through this process, which can be complex and full of high emotion.
Our work is not over! We help you with transferring utilities, getting your closing statement to your accountant, transferring ownership of such things as water rights and helping, where we can, with your move.