Over the past three months the number of Las Vegas single family, condos, town homes on the market and not yet under contract has grown from around 9,700 properties to just over 14,000. That is a 50% increase. It appears that infamous “shadow inventory: has begun to emerge. 47% are short sales, 20% are foreclosures and the final 33% are homes available as traditional sales.
Nevada’s economy and real estate market are under the pressure of nearly 15% unemployment. We saw a draw down of the inventory in the last two quarters of 2009 and the first two quarters of 2010, but now the negative variables have coalesced into a larger pool of available homes.
I don’t know if a huge price is coming and rather suspect not, perhaps 1-3% on the median price. Homes are still selling but as we move out of the peak buying season after October, there will not be a big demand until next spring. This fall and early winter should offer buyers some fantastic opportunities. Prices are great, interest rates are low, and the inventory will have grown enough for buyers to not have to look at 50 homes, while hoping that maybe one offer gets accepted.
If you’re thinking of buying in Las Vegas, look to make a move this fall. By late winter we always pick up in sales. Even in the darkest times during 2008 our sales were still strong in spring and summer periods.
Paul Rowe is the managing agent in the Short Sale Division for the Sena Team at North American Realty of Nevada. He can be reached at 702-376-0088.