Buying a duplex or SF with an ADU in Santa Fe, NM

[William McCarthy]

Hi all,

There is a growing probability that I will be relocating to Santa Fe in the next year or two and am creating this post to help me get the lay of the land down there.

First off, I currently live in Colorado but have been to Santa Fe and absolutely love it. I have a steady W-2 job and am a first time home buyer. I'm hoping to have my Mom relocate there as well since SF seems to have a great community for retirees. For that reason, I am looking to purchase a duplex or a single family with either an existing ADU or potential to add one.

Here are some of my general questions:

1. Hows the market for multi family's with 4 units or less?

2. Which are more prevalent in Santa Fe single family properties: pre existing ADU's or a potential to add ADU? or not much of either?

3. What are some common structural issues that home owners encounter in Santa Fe? I grew up in New England so the wear and tear of the NM desert is foreign to me.

4. Does anyone have any suggestions for financing an endeavor like this? I've been reading up on 203k loans as a means to acquire a main house and then fix up a garage as an ADU.

5. Any other helpful info would be greatly appreciated. 

I know this isn't the greatest time to get into the market and am well aware that Santa Fe is VERY competitive and low on inventory but my life/career is dictating decisions more than the desire to grow a portfolio in hotter markets (for now).  I'm hoping that my flexible time frame over the next couple years plays in my favor.

Thank you!

Will