Real Estate Investing in Albuquerque, New Mexico (87123)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 87123 (Albuquerque, NM)? Our answer, based on the numbers below.
Mixed — home prices are stretched relative to local incomes. Run the math on your specific situation.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
No major risk flags on the data we track.
What’s happening in Albuquerque, NM (87123)?
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Market Analysis: 87123 Albuquerque
This part of Bernalillo County is not an easy win. The 87123 ZIP posts softness in key indicators, and the playbook that works in cleaner markets often stalls here.
The investment case in 87123 is healthy only for operators who understand what they are buying. A $345K median suggests accessibility, but management intensity, vacancy drift, and capex surprises are real.
Statewide comparisons place 87123 among NM's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
On balance, 43,515 residents fill the ZIP, renter turnover runs higher than neighboring postal codes and delinquency risk is a real line item rather than a theoretical one.
The 87123 ZIP fits a narrow investor profile — hands-on, patient, and willing to accept that the cap rate on paper is not the cap rate in reality.
Here's what matters if you're considering buying a home in Albuquerque:
Property Strategy for 87123
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $255,045 | $1,330 | 3.8% | +9.7% | $127,522 |
| 3BR | $328,013 | $1,850 | 4.1% | +8.2% | $109,338 |
| 4BR | $457,597 | $2,180 | 3.4% | +7.1% | $114,399 |
| 5BR | $564,122 | — | — | +7.1% | $112,824 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 87123 Compare?
| Metric | 87123 | Albuquerque | Albuquerque, NM | New Mexico |
|---|---|---|---|---|
| Home Value | $345,121 | $141,103 | N/A | $308,799 |
| 5-Year CAGR | 6.0% | 5.9% | N/A | 7.3% |
| Avg Rent | $1,265 | $1,488 | N/A | - |
| Cap Rate | 2.9% | 3.2% | - | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 87123 (Albuquerque, NM). Anonymous, moderated, never written by AI.
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Property managers serving Bernalillo County
Manage rentals here? List your business →Rhino Realty Property Management offers full-service property management and investment services for single-family homes, multifamily properties, condos, townhomes, and apartments in Albuquerque and R summary from their website
BottomLineManagement.com is a domain name available for sale. summary from their website
Deacon Property Services operates as a real estate agency. summary from their website
Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.
📊 Market Snapshot
| Home Value | $345,121 |
| Monthly Rent | $1,265 |
| Price-to-Rent | 22.7:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 4.4% |
| Cap Rate | 2.9% |
| 5-Year IRR | 8.8% |
📈 Home Appreciation
| 1-Year | +3.6% ▲ |
| 3-Year CAGR | +3.5% ▲ |
| 5-Year CAGR | +6.0% ▲ |
| 10-Year CAGR | +6.3% ▲ |
🏠 Rent Trends
| 1-Year | -1.0% ▼ |
| 3-Year CAGR | +1.4% ▲ |
| 5-Year CAGR | +4.3% ▲ |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (2.9%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 87123
Population: 43,515
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Schools in 87123
Schools in This ZIP Code
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Investor Insight: With 10,321 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
How high is vacancy risk in Albuquerque, NM?
Vacancy risk in Albuquerque, NM is elevated. That supports measured cash flow for typical rental holds.
What kind of tenants rent in Albuquerque, NM?
Albuquerque, NM offers a steady renter base at the $1,265/mo rent level. Tenant turnover is reasonable for well-managed properties.
Is NM a landlord-friendly state?
Landlord-friendliness in Albuquerque, NM is landlord-friendly. Eviction timelines and lease enforcement are considered reasonable by most property managers.
Can I live-in-and-rent in Albuquerque, NM?
House hacking in Albuquerque, NM is a challenging. With home values around $345K and rents at $1,265/mo, owner-occupants can offset a meaningful share of PITI.
What price range are homes in Albuquerque, NM?
Median home price in Albuquerque, NM is near $345K, with a 5-year CAGR of 0.0%. Prices have been stable and supportive of buy-and-hold strategies.
You know 87123 now. You don’t know where it ranks.
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How 87123 ranks in Albuquerque, NM
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