LAS VEGAS REAL ESTATE APRIL 2016
Las Vegas Real Estate is back! Existing home prices are up an impressive 8.3% over this time last year, and Zillow predicts they will rise about 5% within the next year.
Foreclosures and short sales once dominated the Las Vegas housing market, but now their negative impact has lessened, and they’re only about 15% of housing sales. The number of homes with negative equity has fallen from a high of 65% to 18%. Around 100,000 Las Vegas Valley homes have been foreclosed on or short sold, and only about 300 foreclosures and 800 short sales are currently on the market. Investor and cash sales, which once dominated the marketplace, are at a five year low.
Interest rates are still amazingly low, and qualifying parameters are loosening. The low mortgage rates can allow a couple with a $60,000/yr. income to qualify for the $196,000 median single family Las Vegas home price (Zillow). A home in Las Vegas is much more affordable than most desirable markets. And the attractiveness of the cost of living in Las Vegas, as well as the lack of a state income tax, make Las Vegas one of the better values for both living and retirement. Not to mention it’s an incredibly fun place to live!
Furthermore, the population is now growing again. New construction projects are popping up all over town. Over 300 new home subdivisions are currently building, and new homes are now over 10% of the market. These signs indicate that the optimism for Las Vegas growth from a decade ago is revived in the minds of developers and business leaders. And they do their diligence before investing their money.
Additionally, the Las Vegas unemployment rate has dropped to around 6.2%. Tourism is up, casinos are hiring, and construction jobs, once a dead market in Las Vegas, are back.
The Genting Group is building the most ambitious project since MGM built the City Center project (The Aria and adjoining complexes) on the old Stardust property. To be named Resorts World, the casino will be a luxurious mega-resort and will aid the development of the North Strip. Opening around mid-2018, the construction and casino jobs, plus the 2 for 1 compounding effect for additional workers, will add significant additional jobs and growth to the Las Vegas Valley.
Also, James Parker, the Australian casino magnate, has started moving the earth around at the new Alon site, the former home of the New Frontier casino. This project is also estimated to be completed in 2018, adding further jobs and growth.
I hope you found this information helpful. If you have any Real Estate needs or just want to chat about Las Vegas Real Estate, give Roy Cooke, a knowledgeable and experienced Nevada licensed Broker/Salesperson a call at 702-498-9600. If I don’t pick up, leave a message and I’ll call you back.