As property managers, we routinely receive the question, “How is the rental market doing in Santa Fe?” The simple answer is that it has historically remained strong, with relatively low vacancy rates and reasonable rents. However, there has been some turbulence over recent years.
From 2004 to 2007, our rental market was relatively strong. Property-management companies nationwide experienced a constant influx of new inventory as investors took advantage of lax lending requirements and unique mortgage products to purchase income-producing residential homes that provided positive cash flow. Simultaneously, many owners were taking advantage of the housing bubble and selling their residential investments at all-time highs, which prevented an oversupply of inventory and kept rentals rates at a 10-year high.