Location: Las Vegas Real Estate
THE LAS VEGAS REAL ESTATE AND HENDERSON REAL ESTATE MARKET IN LATE 2005
As discussed previously in our historical look at the Las Vegas real
estate market, 2003 and 2004 were the strongest years for selling in
the real estate market in the history of real estate anywhere and anytime
in the United States . Right now the Las Vegas real estate market is
in a strong to very strong buyers market for Las Vegas homes. We can tell this in a couple
of different ways.
1. The Las Vegas real estate market had an inventory in April 2004 of approximately
2,050 re-sell homes. Today, Las Vegas real estate is approaching 6 times as
many resale homes on the market, therefore; the inventory is out and available
for all buyers to choose from.
2. We see it in the new homes. We see it a couple of different ways. We had
discussed previously that you had to work your way up the list of Las Vegas
home buyers. Now there's many tracts where not only can you walk into and buy
a home today, sometimes for 30 day occupancy, but there are many tracts where
you will get the builder to contribute to your closing costs and maybe to options
and upgrades, possibly 10% or more of the price of the Las Vegas house. This
certainly wasn't the case in 2003-2004.
Another way that exemplifies that there has been a change in Las Vegas real
estate’s new homes sector is, at the beginning of 2004, most of the builders
here in Las Vegas who had traditionally paid a commission to real estate agents
either drastically cut or eliminated the commissions they were giving. There
truly was no need for Las Vegas real estate agents. Why should they pay a real
estate agent to bring in somebody to be number 253 on the home purchasing list?
In October and November of 2004 and continuing on, we saw the Las Vegas real
estate trend changing and currently in October 2005, many of the Las Vegas
home builders are not only paying full commissions to all Las Vegas real estate
agents, but several builders are paying 4% to 5% to bring buyers to them. Currently
the builders are relying heavily on the Las Vegas real estate agents to get
their homes sold.
What does all this mean to you, the buyer? Well a couple of things. First of
all, you're not going to enter into the Las Vegas real estate market and expect
to buy a house for $.75 on the dollar of the asking price. But if you are entering
into this real estate market and looking to spend a realistic amount of money
for a good house, there will be an abundance of inventory to choose from. As
you get lower in price, the Las Vegas real estate market doesn’t have
as much inventory to choose from. Contrary, as you get above the medium real
estate price of around $320,000, the Las Vegas real estate marketing has more
and more inventory to choose from. The more you are willing to spend, the more
inventory available in the Las Vegas real estate market for you to choose from.
In early 2004 you could have expected to pay more than list price for any house
out there and you would be paying the agreed upon sales prices regardless of
what it appraised at. Now the market has come back to more traditional real
estate market. You probably will be making an offer a little bit under list
price and ending upon a fair priced Las Vegas home somewhere around 2 - 4%
under list price and it will be completely subject to an appraisal. If the
house doesn't appraise the options that you had traditionally in real estate
will be there again, you won't have to buy it or the seller might come down
to the appraised price.
What can you expect to pay? Well, on newer 2-story Las Vegas homes in
better areas the cost will be somewhere around $175 to maybe $180 per
square foot, maybe up to $200 in the best of Las Vegas areas is a bench
mark to use. On a single story Las Vegas home cost will most likely range
from about $200 to $225 a square foot as a benchmark to use. Please keep
in mind that every neighborhood and house is different, but feel free
to use these figures as a ballpark estimate. We have people that we do
searches for in the better areas where they want to know about anything
in Green Valley or in Summerlin or in other areas like that and are priced
less than $150 a square foot thinking that no matter what their condition
those are going to be bargains.
Las Vegas New Homes are pretty much the same situation. In the best of the
best areas, you'll be paying more than $200 per square foot for nice homes.
In the most affordable areas of town you might be paying around $150 per square
foot for a new home.
Now is a good time to buy in the Las Vegas real estate market. There is a lot
of inventory available, the interest rates are still low and people are expecting
the interest rates to go up, and personally I don't expect there to be a crash
in pricing on Las Vegas real estate. For more information please give Emily
or Sean a call at 877-596-1171.
Additional Las Vegas Real Estate Article
A HISTORICAL LOOK AT LAS VEGAS REAL ESTATE [1989-2005]