Las Vegas Downtwon

The Las Vegas Real Estate Market Past, Present, and Future

Las Vegas Downtwon

If you know anything about the real estate market in Las Vegas you’ll know that the past decade has been rocky, to say the least. When the recession hit the city in 2007, it hit hard, and it’s taken a long time to recover. Today, the Las Vegas real estate market is in far better shape, but where is it headed and what does the future look like? We’re going to try to answer that question by taking a look at Las Vegas’s market, past, present and future.

What the 2007 Recession Did for Real Estate in Las Vegas

Before the recession hitting in 2007, Las Vegas had an extremely buoyant real estate market. It was a boom town, benefiting from a massive influx of residents who all needed places to live and wanted to buy nice homes beyond their means because mortgages were so readily available. Construction companies were in their element, building home after home in new subdivisions. It was the good life for everyone concerned, until the recession hit and suddenly it all fell apart.

Almost overnight, the new home construction stopped, builders ceased operations, projects went bankrupt, and anyone who hadn’t already bought into Las Vegas was frightened away.

This was terrible news for homeowners who bought at the height of the Las Vegas real estate market as home values plunged from their peak. Add to this the fact that thousands of people lost their jobs and could no longer make their mortgage payments, and suddenly those new subdivisions became ghost towns as homes were abandoned and left to the banks.

The Las Vegas Real Estate Market in 2016

Las Vegas TowerAlmost ten years on and Las Vegas is showing many signs of improvement, especially over the past few years. 2007 is when the recession hit, but some homeowners were able to hold out for a few years before they were unable to make payments. Still, it’s shocking to see that in the first quarter of 2009 alone, 17,800 homes had default notices filed against them, according to RealtyTrac.

Today, homes are still being foreclosed on, but the trend in Las Vegas and the country as a whole is that the number of foreclosures has slowed.

The good news for Las Vegas is that real estate prices have been rising since they hit their lowest point around the beginning of 2012 and the rise has been slow and steady. Homeowners who were able to ride it out are now, finally, finding that they are getting back above water. While some other real estate markets have now reached new highs regarding average sale prices – going above what they were before 2007 – Las Vegas is not seeing quite the same growth. However, this is nothing to be concerned about as a slower rise is better for everyone.

Looking at average sale prices for single-family homes in Las Vegas, they reached their peak in June 2007 with a figure of $428,817 whereas in June 2016 that figure was $276,560, a shocking $152,257 lower than the peak. But, as we said above, this slow and steady rise is good for the market.

Alongside the rising prices, unemployment figures are dropping so there are going to be more people wanting to buy homes. Increased demand will push up prices further, especially if there’s low inventory, but there is now plenty of new construction taking place again, especially in the condo sector of the market as many new apartment complexes are being built across the city. However, this is when analysts begin to get concerned again; asking if there are too many new condos in Las Vegas. And, this brings us to the future.

The Future of the Las Vegas Real Estate Market

condo towers in Las VegasWhile there are new apartments being built, the market is not oversaturated with them, nor any other housing types at this time. In fact, if anything, there is undersupply with the number of condos and townhomes available for sale now as low as they have been in the past four years.

The highest demand for Las Vegas real estate is at the lower end of the market, possibly because it is at the bottom end that buyers will have the least risk if another recession were to happen, although, that is not on the cards now, or in the foreseeable future.

With increased demand and lower inventory, prices will continue to rise over the next few years, and if they continue to increase at the rate they have been, while at the same time unemployment levels continue to fall, the future is looking good for the Las Vegas real estate market.

David Maitre of One Percent Realty Maple Ridge is a multiple MLS Medallion Club member, with President’s Club membership status.

buy las vegas condo on phone

Easily buy a Las Vegas penthouse right from your mobile device!

buy las vegas condo on phone

Did you know now you can purchase a penthouse located in Las Vegas right from your cellular device?

It appears you can buy just about anything on your cell phones in today’s day and age.

A few things I know you can purchase through your phone are Clothes, Groceries, and even music. You can even find a ride to your nearest airport with someone who works with Uber or Lyft, which there are apps on your phone to do so.

You can also now buy a condo that is worth millions in Las Vegas also right from your phone.

This is great news for poker players Barry and Allyn Shulman in Las Vegas who also own Card Player Media. They were not successful in selling their penthouse in the metropolis like most do so they decided to place all of their pieces into an auction that lasted for one solid hour on October’s 18th. They allowed people to use an app called ‘Instant Gavel‘ to place their bids on this auction.

Having auctions isn’t very off the wall when it comes to high-end real estate agencies. This is how Phil Ruffin who owns the casino was able to buy his ranch in October of 2015 for roughly 6.71 million dollars, which included a 10 percent premium. This was a private action though at McCarran International Airport, and many people were participating in this event and some also by their phones.

Nowadays no one comes to these events; they do it from their phones

Most of the time no one knows who they are actually up against when they are bidding on a house or something within a real estate agency. It’s easy enough to do all you have to do is download and app on your phone and make sure you place 1000,000 into an account, an escrow account to be exact. Also include a letter from the bank with an option to pay and just bid, easy as one, two, three.

This auction was hosted by New York’s Concierge Auctions who were the ones who ran the Primm Ranch Sale exactly a year ago. Concierge peaks people’s interest by getting into the big pool of buyers who are around the globe and with their local agents roughly a month or so before bidding is going to start.

Barry Shulman had his penthouse condo on the list for a few months at a set price of 4.88 million dollars, and there were only a few who seem interested but no serious inquiries yet. Shulman’s realtor who’s known as Kristen Routh Silberman who works with Synergy Sothebys International Realty told him to try using mobile auctions because the potential for selling increases significantly because there are so many who use these means when auctioning things off even outside of Las Vegas.

Shulman told us that he had never had this idea of mobile auctions come across his mind before until Kristen told him. According to what Shulman has said, there is so much information and it’s awesome how much attention his property has received from mobile auctioning, and you always want to have more than one potential buyer looking at your property and interested.

Laura Brady who is the president of Concierge Auctions said their mobile bidding was on the rise and start up in 2010, and they didn’t have a lot of success because a lot of people were very weary when it came to bidding in this way. So a year ago they brought their platform back up and had had at least 85 percent of their auctions completed through their app.

Brady said that they did seem to come forth with their app a bit to soon and that over the course of a few years they have had more attendance with their auctions even via telephone. A lot of people use Uber to ride and get to where they need to go and feel more comfortable with ordering things and purchasing online more than actually in person.

With mobile auctions, you will see there are many more options for different providers and have auctions visible to others. Live auctions can be hard to follow through with so many bidders in one room bidding on the same object so now they can see where bids stand so easily on the apps. One other benefit of mobile auctioning is that if the buyer of a huge property that is pricey wants to stay anonymous, they can do so.

Shulman has reported they have purchased and bought a new property lot and had a one story house built along Lake Las Vegas which is why they chose to sell their penthouse that is now being auctioned. Shulman is 70 and has a bad knee so climbing stairs can be a chore for him and it isn’t the easiest thing for him to do, and now he is closer to his grandkids.

The stakes are set high though because there isn’t a set price for his penthouse which means if the person with the highest bid isn’t that value of the penthouse, it doesn’t matter they will still get the penthouse. Shulman paid 1.5 million dollars for the shell of his penthouse and added on the rooftop for another million dollars.

Shulman lost 5 million dollars in the upgrades he did with the penthouse including, the outdoor deck that has a kitchen, placing a jacuzzi, a dancefloor, there, bathroom and a fountain. The penthouse has a view of the Wynn golf course. Shulman bought the roof for the penthouse because he had just wed his wife and she wanted to have a garden.

Shulman said there is nothing in the Las Vegas area like his penthouse condo as he has lived in New York where they have massive highrises with the penthouses. He said you don’t have outdoorsy entertainment areas in Vegas that are like that.

The Shulman’s designed their penthouse at 360 Desert Inn Drive with the Palace of Versailles in mind. Their two-story dining room and their living room has wall sconces they picked out themselves, light fixtures, and Roman curtains on their balcony. The staircase that binds the two floors is a marble staircase that has a beautiful crystal chandelier hanging above. The sale will also include all of the furniture with the penthouse as is.

Since 2014 this is the fifth auction that Concierge has ran

Las Vegas is their biggest area they invest in auctioning, and they only continue to see growth increase and they do not plan on changing this anytime soon, as Brady stated.

The business was founded in 2008 and has gone across 32 states and 14 countries which have made them more than 1 billion in profit via Brady. Most of the properties run around 2.5 million dollars and up the average sale auctioning price is 3.8 million dollars, said Brady.

A lot of the properties that are this high and a lot closer to 5 million dollars are tough to label a value price tag on; this is what Brady has commented on. So this is why they let the market choose the price of the property.

Shulman owns five commercial properties, and he has come to terms that he will probably only get about half of the money back that he put into his penthouse which makes it a steal of a deal for the purchaser.

Shulman said that he has been in the real estate industry for a long time and sometimes it is a hit or miss with the market and sometimes you do lose. He said from a business standpoint he did put way to much profit into it, but everything they did was a lot more pricey than it should have been and would have been if he was building the property as a developer.

Shulman said he thinks that many people from different countries will be drawn in from as far as China, India, Mexico and Brazil who are looking for a home in Las Vegas and he can’t wait to see how the auctions turn out.

Shulman said he was joking the other day when he said that the Las Vegas penthouse condo might go for very, very cheap and he was thinking about bidding on his own penthouse but of course he already owns it, and he laughed. He did also say he would love to be the one getting the top dollar amount, but sometimes you have to do what needs to be done.

miracle mile shops in las vegas nv

Las Vegas Strip Real Estate Market Looking Up After Miracle Mile Sale

miracle mile shops in las vegas nv

Local real estate professionals state that the smart money in Las Vegas currently lies in resort real estate. A testament to this is the sale of a prominent strip mall in the area. Although the sale price was not disclosed, it has been confirmed by Boulevard Invest LLC, the previous owners of the Miracle Mile Shops located in the Planet Hollywood area, that the mall in question was sold to Institutional Mall Investors LLC. Originally opened in 2000 as Desert Passage, the 500,000 square foot commercial space houses over 200 retail spaces, restaurants, and entertainment hot spots. Among the crowning jewels in this retail complex is the Axis Theater, currently home to residential performers like Jennifer Lopez, and Brittany Spears.

Large investors are less tentative when it comes to betting on Las Vegas properties as they have in previous years, according to Sun Commercial Real Estate VP of hospitality, Josh Smith.

As a record volume of visitors continues to pass through the area, there is a diverse demographic that incentivises companies to continue to invest and develop because they know there’s a market there. Such is the case with the Miracle Mile Shops. A variety of products and experiences makes it particularly successful.

Now pension groups like CalPERS are trying their hand in the Las Vegas Real Estate scene because it has a strong potential for a good payout. They are managing peoples’ retirement options, so they scrutinize every investment. Smith explains how strip shopping malls like Miracle Mile shop are exceptional investments given the diversity of shops.

There has been a tremendous resurgence of excitement given to commercial real estate in the area. There is a significant amount of optimism that surrounds the housing market in Las Vegas right now, and it shows as more and more companies gamble their odds in this prospective investment trend.

There has been a huge resurgence of interest given to commercial real estate in the area. There is a significant amount of optimism that surrounds the Las Vegas condos and real estate market right now, and it shows as more and more companies gamble their odds in this prospective investment trend.

New Home Sale Prices Increase In Las Vegas, Closing In On Boom-Era Record

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A new report shows that this year home builders in Las Vegas are selling more homes, booking higher prices and pulling more permits compared to 2015.

So far this year through June in Clark County, buyers purchased 3,422 new homes. Home Builders Research, a Las Vegas housing tracker, reports that this is a 12.7 percent increase compared to this same period last year. For June closings, the median sales price was $327,622, which was an 8.1 percent increase from one year ago and back to the levels from summer 2007. Data from RCG Economics shows that in August 2007 the median price for Las Vegas new homes hit a record high of $338,560.

Plans for new homes have risen dramatically

Construction plans have also been ramped up by builders. This year 4,710 new home permits have been pulled through June. The report states that this represents a 14 percent increase for the same period last year.

Recorded new-home sales, January through June. Source: Home Builders Research

Recorded new-home sales, January through June. Source: Home Builders Research

In the report, Dennis Smith, founder of Home Builders Research, indicated that during the first half of 2016 there were stronger than anticipated new home closing results.

He said that one year ago, a majority of professionals in the lending and housing industries were expecting that mortgage rates would increase enough that it would slow down consumer demand. The Federal Reserve has instead only raised interest rates one time, and mortgage rates have decreased, which suggests that lending and housing markets weren’t as robust as some of the government agencies such as the Fed would have liked them to be.

The national average interest rate is down from last year

According to Freddie Mac, in June the national average interest rate on 30-year home loans was at 3.57 percent, down from the June 2015 rate of 3.98 percent and the June 2014 rate of 4.16 percent.

In the meantime, Smith attributes higher Las Vegas sales prices to larger price tags: increasingly new homes are being priced at more than $400,000, with fewer being priced under $250,000.

Smith stated that if more house were priced under $250,000 and built within decent areas, that we would see a lower median price.

Median price of recorded new-home sales. Sources: RCG Economics and Home Builders Research

Median price of recorded new-home sales. Sources: RCG Economics and Home Builders Research

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Home for sale in the summer.

Home Sales Heat Up With Summer Temperatures

The real estate market is approaching the hot summer selling season right now. In fact, home prices/sales in Las Vegas are reporting an increase in the summer. The demand for home sales in June 2016 was 0.7% above the levels of June 2015. Home sales rose 9.4 % over sales in May 2016 which brings the Median Sales Price to $229,900 in June, which shows a 2.2% increase compared to the prices of June 2015.

As buyers show more interest in buying homes this summer, the number of homes for sale fell by 15.6% in June this year compared to the levels in June 2015. The reduction in homes for sale has made inventory supply somewhat of a challenge after all. This situation is mostly prevalent in West Coast Metros. With the rate of home sales in June 2016, the National Monthly Supply of Inventory remained at 3.2, which is a slight improvement compared to 3.0 in May 2016

Las Vegas, NV. Residential real-estate agents.

Las Vegas, NV. Residential real-estate agents and sales.

Is It a Buyers Market?

Dave Liniger, Co-Founder, Chairman of the Board, and CEO of RE/MAX had this to say about the latest trends in the real estate market – “2015 was the best year so far for home sales. It is encouraging to see sales remaining above the levels of 2015 right now. Moderating prices are a good thing for the real estate market. In fact, homeowners see an improvement in their equity. Hence, there is a less chance of home buyers being priced out. We have to find an answer to the ongoing inventory challenges. But the stabilization we see in the market – month over month – is a positive sign.”

“The increases in home value are well within a healthy range nationally. In fact, variances across the country could have an impact on the owners’ perception. But homeowners should understand that the way they perceive their home’s value could differ from how an appraiser views it. This can make or break a home sale or mortgage refinance,” said Bob Walters, the Chief Economist of Quicken Loans.

Closed Transactions – Changes Year After Year

More than 53 metro areas were surveyed in June this year. The average number of home sales was up 0.7% than the figure of June 2015. It was an increase of 9.4% over the previous month. The sales figure was slightly over the strong numbers seen in June 2015. It showed a 6.7% increase over the average month to month increases from May to June over the past eight years. Similar to the previous months of 2016, June sales were strong in the Northeast region. Thirty-one of the 53 metro areas surveyed across the country reported a higher number of sales compared to last year. Six of these metro areas reported double-digit increases such as Las Vegas NV +13.2%, Augusta ME +22.7%, New York NY +13.1%, Trenton NJ +11.1%, Hartford CT +10.2%, and Cleveland OH +11.1%.

Median Sales Price – Median Of The 53 Metro Mean Prices

The median of the fifty-three Metro Median Sales Prices was reported as $229,900 in June this year which is an increase of 3% from May and an increase of 2.2% from June last year. In fact, June is the 53rd consecutive month without any drop in prices from the previous year. The monthly average of the year over year price increase was 7.6% in June 2015. In fact, the 2.2% rise reported in June signals a moderation in price increases which will ease pressure on home affordability after all. Only four metro areas showed a year over year drop in Median Sales Price among all the 53 metro areas that were surveyed in June this year. All the other metro areas reported higher prices compared to one year ago. Seven out of them showed double-digit percentages such as Orlando FL +13.9%, Tampa FL +14.1%, Portland OR +12.6%, Boise ID +10.1%, Augusta ME +10.1%, Denver CO +11.1%, and Honolulu HI +13.1%.

Days On Market – The Average Of 53 Metro Areas

The average days on market for all the homes that were sold in June 2016 was reported as 54, which shows a 4-day reduction from the mean of 58, both in May 2016 and June 2015. In fact, June 2016 became the 39th consecutive month where the days on the market average was 80 or less. Seattle, Denver, and San Francisco were the three markets that reported the lowest inventory supply. The days on market reported were 25, 23, and 21 respectively. The averages for the highest days on market were reported in Augusta ME at 143, which was down from 174 in May this year. In Des Moines IA the average was unchanged at 103. Days On Market is defined as the number of days between when a home is listed in an MLS®, and the sales contract is signed.

Month’s Supply Of Inventory – An Average Of 53 Metro Areas

The quantity of homes listed for sale in June this year was 0.7% lower than the figure of May this year. It was 15.6% lower than the number reported in June 2015. In fact, June reported a subsequent inventory loss of less than 1% similar to May this year. This stabilization of listings on a month to month basis is a great sign during the summer season. The Months Supply of Inventory was 3.2, based on home sales in June 2016. This figure is almost similar to last month and last year – 3.0 and 3.6 respectively. In fact, a 6.0 month supply will indicate a market balance between the buyers and sellers. The number of metropolitan areas with a Months Supply Inventory below 2.0 showed signs of stabilization at 8, which was down from 10 reported in May. There were eight metros reported with less than a two-month supply such as Denver CO 1.3, Portland OR 1.5, Omaha NE 1.8, Boston MA 1.5, San Diego CA 1.9, Seattle WA 1.2, Dallas-Ft, Worth TX 1.9, and San Francisco CA 1.3.

Article Summary

The market research featured in this article has been cited from http://www.remax.com/newsroom/press-releases/june-2016-remax-national-housing-report.htm

Real-estate market statistics and analysis for Las Vegas, Nevada.

Real-estate market research and analysis for Las Vegas, Nevada.

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artist rendering of south beach resort las vegas

Does the Demand Meet the Supply of Luxurious Las Vegas Apartment Complexes?

artist rendering of south beach resort las vegas

Artist rendering of South Beach Resort in Las Vegas, NV – http://southbeachlv.com/

All the luxuries are there; and volleyball courts, opulent pool sides, and cabanas even a dog spa. South Beach, a new apartment complex soon to be completed in southwest Las Vegas is fitted with outdoor movie theaters, fire pits, and sports facilities.

The name makes us think of sunsets over the beach as party people hop from nightclub to nightclub; the Miami Beach ‘South Beach’. The images are gone when you see the apartments in question are surrounded by suburban tract divisions and office parks a good 2,500 miles from South Florida.

South Beach’s Website alludes to the dream of a favorite getaway and a luxurious lifestyle carefully prepared for you. South Beach is making use of a 10-acre patch of land at Russell Rd. and the 215 Beltway, which was owned by a less than scrupulous realtor until he was imprisoned for his misdeeds.

The whole thing, yet another example of the apartment construction surge throughout Las Vegas, is raising some question as to the need for all this development. The developers, in the meantime, are charging sky-high prices for these luxurious apartments that have all the amenities, including game rooms, dog parks and pools complete with cabanas.

3,000 new apartments hit the markets across the Valley last year with another 4,500 are scheduled for opening this year, according to Spencer Bailiff, Group Broker for CBRE.

Southwest Las Vegas

Southwest Vegas is hosting an unprecedented wave of commercial and residential construction greater than anywhere else in the valley. Some of the rental projects currently being completed are:

South Beach

This is shaping to be a vast realm of grassy courtyards and fashionable poolside additions: people laughing and smiling and maybe a volleyball match in progress.

Elysian West

West of the Beltway heading toward Tropicana Avenue, Elysian West will be an estate full of ball courts and a 1-acre dog park complete with an obstacle course. Plans include an 11,000 sq. ft. clubhouse which will have game rooms, arcades, and a tanning salon.

EVO

The Evo Apartments project boasts a rooftop pool and an indoor basketball court, there is also yoga classes, saunas, and steam rooms, at least that’s what the website says.

Brokers are very excited about the convenient location of southwest Las Vegas; it is not far from McCarran International Airport, the Strip, Summerlin and Hospitals. Plus when the apartment builders saw the area they were very optimistic, so up went the condos in Las Vegas.

“But why does a Wendy’s always seem to open in front of a McDonald’s? This is the kind of mentality at work in southwest Vegas” says Carl Sims, broker for Cushman & Wakefield/Commerce.

The new complexes have been filling up with residents, nevertheless, with the flood of valley projects surging higher and higher the vacancy rates could grow larger and rent prices grind to a halt, which will be great for the tenants who will have lower rates, but the investors will be at a loss for sure.

Many people are wondering how deep the “rent wells” go; Bailiff was quick to point out. “I think there may be too many cooks making too many cakes in this kitchen” he said.

Neither the planned rental sizes nor the specifics to the dimensions of the apartments appear on the South Beach website, but there is a notice that the opening is scheduled for this fall.

There have been many plans made for this site in the past as well. In 2002, plans were laid out for a 104 sq.ft. shopping center, according to county records. Then Jamal El Jwaidi purchased the site in 2006.

El Jwaidi made some plans to construct PG Plaza, which was to have vast office space, luxury condos, movie theaters and boutiques; it was to be modeled after the Beverly Hills venue, Rodeo Drive. But despite the intricate plans, the project mysteriously died on the drawing board

According to the city reports, El Jwaidi filed for bankruptcy three years later. He was arrested in 2010, the subject of investigation for massive real estate scams which cost dozens of victims their small fortunes.

Prison records report that El Jwaidi is now completing his sentence in a minimum security correctional facility in North Nevada.

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Housing Markets Heat Up This June in Las Vegas and Southern Nevada

The Las Vegas monorail with the Turnberry Towers

The Las Vegas Monorail near the Turnberry Towers

One vacant housing market is configured you from the warm summer weather. The Greater Las Vegas Association of Realtors (GLVAR), stated that home sales and prices heated up this June when compared to the same time this year.

GLVAR reports show that the median price for an existing single-family home sale in Southern Nevada in June increase to $235,000, according to GLVAR’s Multiple Listing Service (MLS). This amount was a 6.8% increase from last year’s median sales price of $220,000.

Meanwhile, according to GLVAR the median price for townhomes, local condominiums, and high-rise condos, was $115,000, which was the same amount last year.

2016 GLVAR President Scott Beaudry, said of the local housing market appears to be starting off a strong summer which is making many of their members optimistic and hoping that the momentum will continue in the coming months. Beaudry has been saying that GLVAR is concerned about the limited housing supply. The market is about half of what they’d like it to be. However, according to Beaudry, the housing market is moving in a positive direction and are not seeing the volatility that has been experienced in the past.

The total number of existing homes, townhomes, and condominiums sold in June was 3,957 which was an increase from the 3,693 sold in June of 2015, according to GLVAR. When compared to June of last year there was a 6.3 percent increase in home sales and an 11.30 percent increase in townhomes and condos sales.

According to Beaudry, local home sales in the first half of 2016 outpaced 2015. In 2015, GLVAR reported 38,578 single family homes, townhomes, condominiums, and high-rise condo sales during that period. This was more than the sales reported for 2014 however it is fewer sales than had been reported the previous five years.

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The Trump Tower’s on the Las Vegas Strip

At the current rate of sales, Beaudry says Southern Nevada has less than a three-month supply of homes available for sale. In order to have a balanced market, there must be a six-month supply of homes.

GLVAR is tracking the decline in distressed home sales in the increase in traditional homes, where lenders do not have control of the transaction area in June, only 4.4 percent of local home sales were short sales, where the banks allow a homeowner to sell their home for less than the amount of the mortgage owed. One year ago, that number was at 6.7 percent. Of the remaining June sales, 5.9 percent were bank-owned, which is down from 7.6 percent last year.

According to Beaudry, short sales may continue to be attractive to some homeowners this year, although they make up a smaller percentage of local home sales. Since Congress extended the Mortgage Forgiveness Debt Relief Act of 2007, which is why some homeowners may choose to sell short this year. If Congress had not extended this tax break, which helps distressed homeowners, any amount of money written off by the bank when making an agreement for short sale would be taxable to the seller when they file their federal income taxes.

According to GLVAR, 27 percent of the property purchased in June were bought with cash, this is down from the 28.4 percent from last year. The percentage of cash buyers and stabilize over the last few months. However, it’s still less than half of the 59.5 percent peak that was reached in February 2013. This suggests that although investors and cash buyers remain active in Southern Nevada, their influence is waning.

GLVAR statistics include activity through the end of June. GLVAR distributes these statistics each month. The statistics used data from GLVAR’s MLS, which does not take into account for sale by owner sales and newly constructed homes sold by local builders.

Other Market Highlights

  • The value of monthly sales that were tracked through the MLS in June was over $898 million for home sales and over $87 million for condos, townhomes, and Las Vegas high-rise condos. These numbers are for homes when compared to last year’s figures, but down for townhomes and condos.
  • Homes were sold faster in June. 74.2 percent of existing home sales and 71.2 percent of existing townhome and condo sales, were conducted within 60 days of the original listing. Last year, 68.6 percent of existing homes and 66.6 percent of existing townhomes and condos all within 60 days.

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condos on las vegas strip

Prices Of Las Vegas Condos Are 15 Percent Higher Over Last Year

condos on las vegas strip

The Cosmopolitan condos on the Las Vegas Strip

The Greater Las Vegas Association of Realtors reports that the local housing market in Las Vegas has been able to weather the winter months, which are traditionally slow, with home sales and prices rising steadily and poised to have a robust spring sales season.

According to GLVAR, the median price for Southern Nevada single-family houses sold through the MLS (Mulitple Listing Service) in February was $220,350, which was a 7.5 percent increase from last year’s $205,000.

GLVAR stated that the median price for Las Vegas condos and townhomes, including high-rise condos, was $121,500 for those sold in February. That is a 15.7 percent increase from last year’s $105,000.

Scott Beaudry, GLVAR President, said that he felt we are in relatively good shape because we have made it through what tends to be the slowest part of the year for the local housing market. He said that our home sales and home prices have a tendency to warm up when the weather does. He thinks we are in a good position to have a solid spring and summer, and that he expected to see the recent trend of steadily rising sales and prices to continue for the remainder of the year unless anything dramatic were to happen.

Beaudry also said that the local housing market still was dealing with a small supply of housing and has one of the nation’s highest percentages when it comes to underwater homeowners who owe a greater amount on their mortgages than what their homes are worth currently. He added that we are overcoming those challenges gradually as prices continue to increase, more homeowners can build equity in their homes, and the local economy is improving.

Townhomes, Condominium and Home Sales Up This Year

veer towers las vegas

The Veer Towers Condominiums

The GVLAR reports that 2,676 local townhouses, condominiums, and homes sold in February, which is an increased from February 2015’s 2,452. Compared to February of last year, 15.8 percent more townhouses and condos and 7.5 percent more houses sold this February.

GLVAR reported for 2015 a total of 38,578 high-rise condo, townhome, condominium and single-family home sales. It was more sales than in 2014, but less than during the prior five years before that.

According to Beaudry, the local housing supply is still tight, with the provision of houses available for sale being less than four months, when a more balanced market supply is considered to be six months. In February, there were 12,994 single-family houses listed for sale on the GLVAR MLS, which compared to one year was down 1.5 percent. A total of 3,481 townhomes, high-rise condos, and condos listed for sale in February on its MLS was tracked by GLVAR, which was down 2.5 percent compared to a year ago.

GLVAR reported at the end of February that 7,328 single-family houses were listed without any offer. That was an increase of just 0.2 percent compared to one year ago. For townhouses and condos, 2,267 properties were listed without any offers in February, which was a 6.5 percent reduction from a year ago.

GLVAR continues reporting increased traditional home sales and decreases in distressed sales, where the transactions are not controlled by lenders. In February, Short sales were 6.6 percent of total local sales – when lenders let borrowers sell their homes for less than the total that is owed on their mortgages. That is a 9.3 percent decrease in sales compared to a year ago.

For single-family homes that were sold in February that were sold as a short sale, the median price was $190,000, which was an increased from the $165,000 price from a year ago. For bank-owned houses that sold in February, the median price was $166,450, which was an increase from last year’s $159,250.

According to Beaudry, short sales might continue playing a role in the 2016 local housing market since in late December Congress voted to extend the 2007 Mortgage Forgiveness Debt Relief Act once again, as had been advocated by the Realtors. If Congress had failed to extend the tax break for helping distressed homeowners, all money that was written off by the bank when agreeing to sell the house in a short sale would have ended up being taxable whenever the sellers filed their federal income tax returns.

GLVAR stated that 31.4 percent of the local properties that sold in February were cash purchases, which was a decrease of 37.4 percent compared to one year ago. That is much less than the peak of February 2013, which was at 59.5 percent, which indicates that investors and cash buyers were more active than in Southern Nevada compared to most other markets. However, their influence has continued to wane over time.

Included in the GLVAR statistics is activity through February 2016. These statistics are distributed by GLVAR every month based on data that gets collected via its MLS which doesn’t necessarily account for sale by owner homes or homes that are newly constructed and sold by local builders.

Other highlights from the Las Vegas market include:

Regarding local real estate transactions that the MLS tracked during February, the monthly value as almost $556 million for houses and over $87 million for townhomes, high-rise condos, and condos. February’s total sales volume, compared to a year ago, increased 8.5 percent for townhomes and condos and 14.6 percent for houses.

In February, 61.9 percent of local townhomes and condos and 60.9 percent of homes sold within a 60 day period. One year ago, 55.6 percent of townhomes and condos and 57.3 percent of local homes sold within a 60 day period.

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