Could the Recovery of the Las Vegas Housing Market be happening?

 

In my opinion, absolutely! I know there are the anonymous haters out there  who really don’t get Las Vegas, but its a fact and I will prove it here!  Here are some interesting facts that will give you a starting point to where I am going- it costs less to own than to rent, you cannot build homes for what they are selling them for, cash sales buyers make up 45% of total transactions,  the inventory of resale homes is rapidly shrinking which means demand is very high.   2009 sales of single family and condominiums were second only to 2004 in all time sales numbers.  So it is very affordable to buy and own a home in Las Vegas especially for our friends in California!  Prices on all types of housing are down as much as 70% from their highs!  This includes  Luxury and Country Club Homes, Luxury High-Rises and traditional single family homes and condominiums!  

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These graphs from the OFHEO  illustrate that Las Vegas prices are the lowest of major Southwest US cities and that Nevada has the lowest housing prices in the Western Region.  Please note that in both charts prices indicated are below the projected inflation line.  DSnews.com reports that Las Vegas is: “poised for a comeback” and buyers now can “look forward to long-term appreciation.”  The Wall Street Journal reported that: “Las Vegas is Second in the Nation for Diminishing Supply” and most recently the Las Vegas Review Journal reported “Las Vegas home sales up 36.9%“!  

So, to sum it up,  Las Vegas has the lowest housing prices in the region and demand is near all-time highs!  Prices have stabilized and projected  to rise up to 4% in 2010.  

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The biggest drivers for growth in the housing market and the local economy are the  low tax environment, retirement of the Baby Boomer Generation and Californians seeking lower costs of living and low tax environment  for themselves and their businesses.  Nevada also has huge wind, solar and  geothermal industries which are in their infancy.  The development of these energy resources and the delivery and distribution mechanisms will produce large amounts of jobs and added economic vitality!  So let me know what you think!  Feel free to leave a comment or question,  I will be happy to respond!

What is going on in the Las Vegas real estate market you ask?

Las Vegas Lifestyle

I get this question quite frequently and most people who ask are very surprised at the answer.  Las Vegas is experiencing tremendous sales activity and in the month of June an all-time sales record was exceeded.  The number of resale homes available to be purchased is around a three months supply at the current consumption rate.  Clients of mine who travel to Las Vegas from out-of-town are amazed at the quality of life here and the low prices of homes.  The local Las Vegas Review Journal recently reported that Nevada is in the top ten states in the Nation for the best Economic Outlook.  Right now in Las Vegas we have more resale homes under contract then are available to purchase and it costs less to own a home than it costs to rent!  These are both indicators that the current housing market is undervalued because when you consider the tax benefits and appreciation potential of owning a home it should cost more than renting.  You also must insure a home in Las Vegas for more than the current prices because it will cost more to rebuild if damaged! 

I think that our low tax structure will most assuredly be a driver of our economic growth as is our warm climate since 7918 people in the US turn 60 every day(according to the US Census Bureau) !  When the Baby Boomers retire they will be looking for warmer climates and environs that have low tax structures which Nevada and especially Las Vegas have.  This is not a political blog but with the Bush tax cuts expiring next year and the current Administration’s expansion of government higher taxes is a certainty!  Those in the highest tax brackets in the higher tax states like New York, New Jersey and California may be facing tax bills in excess of 50% including property, income and business taxes.  Nevada is one of the states with the lowest tax burden and we just FELL a notch and are now number four in the Nation for lowest business tax environment!  And as proof of this more high net worth individuals are moving to Nevada and relocating their businesses here in growing numbers. 

Major Institutions are also investing in the Las Vegas community:   the prestigious  Brookings Institute just announced a joint initiative with UNLV to improve the quality of life in the US Southwest with an emphasis on Las Vegas,  and the World-Renowned Cleveland Clinic, partner in the Lou Ruvo Center for Brain Health  in  Symphony Park in Downtown Las Vegas is starting a feasibility study on head-quartering a Clinic location within Symphony Park. 

Las Vegas is a great place to live and will make a great place to relocate, purchase your second or vacation or investment property!  Please leave me any questions or comments in the space below and make sure to visit Vegasdreamsellers.com!

The return of Mira Villa!

Mira Villa

The long awaited and much talked about Mira Villa condominiums in Summerlin was recently opened for sales.  This community started pre-sales about four years ago and was under construction until litigation halted progress.  From what I understand, the development group had financing issues and ultimately filed for bankrupcy protection which collected the builder, Westmark Homes in the process.  This was unfortunate because Westmark is a quality, local builder that as a result of the litigation has halted construction of Coronado in the Paseos and Montechiro. 

Mira Villa

These are large homes.  They start around 2000 square feet to 4000 square feet and are located near the JW Marriott on the TPC Las Vegas Course.  All of the homes are one level,  have two car garages, private elevators and large verandas.  The common ammenities include a state of the art gym, barbecue ramadas firepits and hottubs.  The location provides a tranquil setting and ideal place to take in the  tremendous views of Red Rock Canyon and the beautiful environs of Summerlin.  These homes start in the $400,000’s  and if you are interested in touring this community just call or email me!  As always remember to visit Vegasdreamsellers.com and don’t forget to ask questions or leave me a comment or two! 

More Great Summerlin Homes News!!

Boulder Ridge Plan 2 Kitchen

I was recently asked by Christopher Homes to participate their new education seminar, the Realtor Ambassador program.  I was blown away by these homes and the floor plans, upgrades and the area! First, Boulder Ridge is located in The Ridges in Summerlin , which in my opinion, is the finest place to live in the entire Valley.  These beautiful homes range from 4400sf to 5900sf and start in the upper $1 millions.   The standard upgrades and finishes available here are much more elaborate than I have seen even in most custom homes!  Features like pivot front doors, kitchens with two of everything, slick wall texture, unique door hardware, stone flooring and counters and exotic hardwood cabinetry (like zebra-wood and gum wood)!  All this and home-sites of 1/3acre to 1/2acre at prices that in many cases is lower than building it yourself!  In addition to these incredible homes, Christopher is offering  jumbo financing at 6% with only 25% down.  For those of us who don’t want to sell our homes at the current prices, Christopher has a solution:  sign a contract to purchase a B. R. home but only buy the home-site at that time and then they give you 24 months to sell your home all the

Boulder Ridge Plan One Living Room

while your new home is under construction.  So this gives you time to sell your home in a more favorable market and lock in today’s prices on the home of your dreams at Boulder Ridge!   They also offer a sale/leaseback for investors looking for locked in cash flow.  The plan one home is available with out artwork but fully furnished with a lease payment of $19,630/month (8%)  for a guaranteed year!  An investment that yields an 8% return!  Please contact me for more information about these tremendous homes and these incentives!  And remember to contact your Ambassador to schedule a tour of Boulder Ridge!

Ladera Canyon

Ladera Ridge at Ladera Canyon my Richmond American Homes is closing out their community located in The Mesas.  The floorplans are unique for Richmond in Las Vegas and they offer some great spaces!   I got a call from a sales person and they told me that the homes they have left in the Mesa can be purchased with free upgrades!!  So think of this buying a home with the natural stone floors and upgraded finishes for no additional cost!  This is a tremendous opportunity in the Mesas and I love these homes! 

If you are interested in touring Boulder Ridge and seeing these fabulous homes or Richmond American’s models in the Mesa please contact me on my mobile and we will set up an appt!  Please leave me a comment and make sure to visit http://vegasdreamsellers.com!  

Next post: The return of Mira Villa!

America’s Biggest Open House This Weekend In Summerlin of course!

America's Biggest Open House

Well its back America’s Biggest Open House this weekend in Summerlin!  This is a great event for those who are not as familar with Summerlin as those of us who live here because all of the model homes in all of the communities are open for viewing.  This is a great opportunity to view all of the new construction homes modeled by the builders and have a chance to win prizes while doing it!  If you visit all of the models you get a chance to win a $500 American Express gift card to any General Growth Mall Property and smaller prizes like a $200 gift card for a nights stay for two at the Red Rock Resort, $150 for the fabulous Vinter Grill Restaurant and memberships for the Friends of Red Rock Canyon and a guided hike in the canyon.  

In addition the various builders will have Open House specials and incentives good for only this weekend so if you are thinking about buying a new home this is the weekend to shop!  I am also getting into the Open House spirit and if you contact me it would be my pleasure to give you a guided tour of the community as well as the model homes!  Just give me a call and we will set up a time!  Thank you so much for reading, leave comments and as always visit: Vegasdreamsellers.com