Careers     Rental Application     Tenant Login     Call Us:   702-376-7379


Las Vegas Real Estate Investing – High Rise Condos

Las Vegas Real Estate Investing – High Rise Condos

The Las Vegas Condo-hotel Concept Pt. II

As with any potential real estate investment, a buyer should cautiously examine contractual details, make observations, and examine facts before deciding on whether or not a Las Vegas Condo-Hotel is in line with your goals and lifestyle.

  • The location of your prospective purchase should be in a desirable area. Although the condo home itself may be a well designed and luxurious unit, location is an important factor in desirability and will most certainly reflect upon the ultimate appreciation of the property.
  • Is the unit located in a structure built specifically as a luxury hi-rise, or has the building been converted from a standard hotel or apartment complex into condo units?
  • When was the structure built? Some older condo conversion buildings may have smaller floor plans, less desirable locations and fewer amenities, but are usually much less expensive.
  • Good management and a developer of excellent reputation is a most important factor in value appreciation of the investment.
  • The units themselves increase in desirability if they have spacious, well-designed floor plans, high ceilings, sizeable balconies, impressive views, top quality appliances, granite counter tops, and marble vanities.
  • What amenities are available? Among the most desirable features are: a state-of-the-art security system, secured parking, 24-hour front desk, concierge services, work-out room, swimming pool (or pools,) lighted tennis court, on premises maintenance crew, card room, library, clubhouse or meeting room. Nicely landscaped grounds add to eye appeal.

Owner/management agreements generally include the following specifications:

  • Amount of net (after deductions) rental revenue shared by condo owner and the management
  • Condo-hotel owner responsibilities for insurance, real estate taxes, capital improvements, debt service, etc.
  • Management responsibilities, including maintenance, housekeeping, administrative, front office, marketing, other operational expenses, etc.
  • Rental program agreement specifying number of days annually that the unit will be available for rental purposes and notice requirements, and contingency procedures

Although it is, of course, not a requirement of purchase to rent a condo-hotel a number of times per year, or rent it at all.  Renting the unit, however, not only defrays owner costs but is profitable as well. In fact, that convenience is the primary reason, of course, that these kinds of units are purchased in the first place.

However, some come-and-go condo hotel owners may eventually decide to stay permanently. In that case, the rental agreement with management would be canceled.

In fact, a condo hotel purchase should be considered similar to investing in a second or vacation home, but with an added part-time rental feature, and hassle-free, with no maintenance or grounds keeping chores to come home to.

Feel free to give us a call at 702.376.0088 with any questions about the Las Vegas High Rise Condo market.

Las Vegas High Rise Condos

The Las Vegas Condo-Hotel Concept

The veritable explosion of high-rise condo construction in Las Vegas has not only dramatically altered the city’s skyline, but has considerably altered the lifestyle of many Las Vegans, and the repeat visitors to our city.

Prior to  the proliferation of hi-rise condos in Las Vegas, repeat visitors such as vacationers, businessmen and women, and high rollers would primarily check in at a hotel, motel or, depending on the reason and length of stay of the visit, rent a private home on a temporary basis.

The availability of conveniently located luxury condos convinced many of these repeat visitors that it would make economic sense to purchase a Las Vegas Condo home of their own, that in the long run would build equity, and be more cost-effective than renting a hotel room or suite and dining out for every meal.

Additionally, many investors were attracted by the offer of many of the big name luxury hotels such as the Ritz-Carlton, Sonesta, Starwood, Hilton, Trump, Four Seasons, etc. to purchase units (condo-hotel homes) that are part of the hotel structure, or luxury units built as adjacent structures to the hotel, such as Palm Towers, for example.

These condo hotels offer owners who plan to use their purchases as vacation homes, or use the condo intermittently on business trips, the opportunity to temporarily rent out their units when the owners are away.

Benefits are twofold.  The owner agrees to place the property into an organized rental program, saving the unit owner the trouble and expense of self-advertising, and rental revenue, shared with the rental program operator, allows a portion of the rental fees to be credited to the condo owner.

The operator of the rental program who shares rental fees with the owner, performs a number of services on behalf of the property, among which are marketing the unit to temporary renters as a hotel, maintains the property, supervising the front desk, overseeing housekeeping services, providing- concierge services, and food and beverage services.

Another attractive aspect of condo hotel ownership that has appealed to investors is that these units can be sold at anytime by the owner at his/her discretion.

The vacation home convenience and income potential of owning these units was an irresistible attraction to many investors who are frequent Las Vegas visitors, however, these purchases have proven just as vulnerable to the downturn in the nation’s economy as has the rest of the housing industry.

Additional information that a potential condo-hotel unit buyer should be aware of before considering this kind of investment will be covered in a follow up article, and will include such details as:

  • Typical buyer/management agreements
  • Guarantees –if any – offered to the buyer
  • Analyzing the units for best location, amenities, etc.
  • Key elements to look for when analyzing the profit potential of a condo-hotel purchase

Feel free to give us a call at 702.376.0088 with any questions about the Las Vegas High Rise Condo market.

Investing in Las Vegas Townhomes

Investing in Las Vegas Townhomes

The classification of “townhome” is often confusing to people, since townhomes offer some of the attributes of both a single-family home and a condominium. A townhome is a structure that shares, or is attached by a common wall, either a garage wall or an interior (living room) wall to an adjacent structure.

If the land occupied by the townhome is part and parcel of the deed, then the building is designated as a “townhome.” However, if the land is not the actual property of the homeowner, then the townhome is designated for insurance and tax purposes as a condominium.

Townhomes can be constructed as a single-story, duplex, or triplex. Depending on how the bylaws of the townhouse community are structured, each owner may have an additional shared ownership of the complex, which would include the common areas, parking facilities, swimming pool, recreational facilities, and clubhouse.

A governing Home Owners Association (HOA), oversees the community’s adherence to Covenants, Conditions & Restrictions (CC&Rs.) These policies dictate the legally enforceable operational guidelines that the Home Owners Association must follow and the rules homeowners are obligated to follow, inclusive of the homeowner’s obligatory monthly payment of association fees to cover the costs of landscaping, repairs, maintenance, taxes, etc., of the common areas of the community.

The townhome “lifestyle” appeals to those who enjoy close community living, freedom of the responsibility for maintenance and repair of the exterior portion of their home, easy access to recreational facilities; swimming pool, workout room, clubhouse, tennis courts, etc.

The question of whether or not a townhome is a good investment, has many pros and cons. Certainly, if the purpose of the investment is for rental or resale, the Home Owners Association guidelines assure that the unit’s exterior will be well maintained.

Appreciation is usually not quite on a par with single family residences, and in a down market, townhomes most often depreciate at a faster rate. Certainly, the age of the townhome, how well the interior has been maintained, and if the home has been upgraded, as well as the location, are important factors to consider.

It is equally important to investigate the financial condition of the Homeowners Association. An examination of the operating budget, and copies of past years budgets should be compared. Amounts allocated to the reserve fund, a current financial statement, including a balance sheet, and operating cost statement are necessary to examine as well.

Reviewing the financial statements, insurance declaration and all pertinent documents necessary to analyze the financial health of the HOA is as necessary as evaluating the townhome itself, before deciding if the potential investment is worthy of pursuit.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of HendersonLas Vegas and North Las Vegas, NV. Feel free to give us a call at 702.376.7379 so we can answer any questions you may have.

Investing in Las Vegas Real Estate – Bank Loans Part II

Once you have made the mental preparations necessary to “sell” your loan proposal to a lender, you, as a new investor, must be certain of the documentation and information required by a lender. The lender will require, at the very least, the following:

  • A completed loan application form
  • Copies of your past and present IRS income Tax forms. Ask the lender, prior to your visit how many years of IRS filings will be required
  • Copies of your credit reports from all three principle credit reporting agencies: Experian, Equifax and TransUnion. Of course, the bank will pull their own reports, but bringing the reports as part of your loan application documentation will certainly enhance your credibility with the lender.
  • The loan application form will require you to document your current source of income from any and all sources, employment or business, type of employment or business, debts and other liabilities, alimony, child support payments, if applicable, banking information; checking, savings accounts, etc. Read More

Investing in Las Vegas Real Estate – Bank Loans

With economic conditions being what they are today, everyone and his brother is out there looking for a real “steal” in Las Vegas bank-owned properties, and besieging lenders with loan requests.

In addition to Las Vegas Investors looking to borrow funds, banks are additionally dealing with many real estate related issues forced upon them by current market conditions, such as foreclosures, loan restructuring requests, short sales, etc.

Unless you are financially well off enough to be an all-cash buyer, you are going to need a loan to finance/purchase your new found property, and since banks are, to put it mildly “running scared” in these unstable times, it’s going to take some skillful planning and preparation to convince a lender that you are a suitable risk. Read More

Finding the Right Las Vegas Home for You

Buying a Las Vegas Home isn’t just about price, it’s about finding a residence that best suits you and your family’s overall needs and lifestyle. But as far as price is concerned, there are both wide and narrow cost of purchase differences between owning a private home or a condominium.

For example, a single-family home versus a condo home; which would suit your needs best? As far as the cost of purchase is concerned, an older two bedroom single family home would generally be more expensive than an older, two bedroom condo, but buying a two bedroom condo in an upscale building could often be as costly as a modestly expensive single-family home. A luxurious condo in a prestigious building can easily cost as much as a luxury home in an equally prestigious residential community.

Single-family homes offer a much wider choice of floor plans and architectural styles; ranch-style, two-story, split level, etc. Locations can vary as well, such as a corner property or cul de sac.

Carrying groceries into an elevator is often much more of a chore than simply unloading your purchases from your car.

A Las Vegas single family home is a better choice for families with young children, since a back yard offers more space for children and pets to romp and play, and a neighborhood of young families means more opportunities for the kids to find new playmates.

Single family home neighborhoods are generally closer to schools, playgrounds and libraries. A single family home offers more privacy and fewer restrictions than a condo. Storage space is far more generous. If you are handy with tools, you may want a workshop in your garage, or be able to work on your car, something that would not be feasible in a condo home.

The appreciation factor of condos versus single-family homes could be a consideration if you are buying strictly as an investment. On the average, condo buying/selling prices are much more sensitive to market fluctuations, and more volatile than private residences. Condo prices can often either rise or fall dramatically.

That means if your timing is right, your buy low, sell high strategy could make you a fat profit. But if you get caught in a down market, you may have to sit on the property for a long time.

If you are buying a single-family home as a place for your children to grow up in, and a place in which you will have become emotionally invested, then the appreciation factor is of less concern.

So, the appreciation factor of a condo versus a private home should be a consideration, but should not be a primary reason for your purchase if you are looking for a place to call home, and not just as an investment. Purchasing a Las Vegas Home should be about affordability, and what is a best fit for you and your family’s needs.

Real Estate Investment Trusts

A real estate investment trust or REIT can be an intriguing way to participate in property investment, particularly for the investor who dislikes putting all his/her eggs in one basket, so to speak.

Basically, REITs are real estate investment firms that operate groups of income-producing properties. A real estate investment trust is structured by law to distribute a minimum of ninety percent of the company’s taxable profit to the REIT shareholders.

Due to the fact that a REIT distributes nearly all of its profits to company shareholders, the investment trust automatically exempts itself from being subject to a corporate income tax.

The REIT profit distribution structure differs from a standard corporation which pays a corporate tax on profits, and distributes after tax profits divided between dividends and reinvestment. By distributing most profits to shareholders while retaining a minimum profit share the REIT is legally exempt from this tax.

REITs common shares are offered to the public just the same as any operating company would offer shares to stockholders who have faith in the company’s long-term future and profit potential.

Most REITs (known as “equity” REITs) focus on the buying and selling of real estate properties, which can be any kind of real estate, ranging from apartment buildings, regional malls and hotels, to golf courses. Some REITs may specialize only in specific types of real estate holdings, such as apartment complexes.

A small percentage of REITs known as “Mortgage REITs” specialize in mortgage loans, and do not operate or own investment properties. Another small percentage of REITs operate in all sectors of real estate; mortgage loans, and property ownership and management.

Certainly, investing in a REIT carries no guarantee of big profits, and depending on how the economy is affecting real estate, possibly no profit at all or even a loss. Over the long term, however, average returns to stockholders from REITs dividends have ranged from satisfactory to excellent but like any other stock, any REIT considered as an investment should be thoroughly analyzed before making a commitment.

Another option for those considering investing in REITs are the so-called “private REITs”. Private REITs, as opposed to publicly traded REITs, are usually less diversified. Some private REITs have been known to pay higher dividends than publicly traded real estate investment firms, but this is not often the case.

Overall, investing in a REIT, like any other investment, should be carefully and cautiously considered, especially during these uncertain economic times, and the uncertainties that are currently affecting real estate as a whole.

How Your Las Vegas Real Estate Agent Can Help You Price Your Home Competitively

One of the most important services a Las Vegas seller’s agent can perform for his client is to set a realistic and competitive market price on a client’s for sale property. Setting a price that will satisfy the seller, and simultaneously attract eager buyers is no easy task, particularly under current market conditions.

Trying to price your Las Vegas Home on your own is going to be a hit or miss project. You will need to expend a lot of time checking out the neighborhood, and you won’t have the resources and up-to-date data available to a professional real estate agent.

The first thing your appointed real estate representative will do is to explore his/her MLS database to find listings and sales of comparable homes in your immediate neighborhood, usually within a half mile radius. Your Las Vegas Realtor will check for homes similar in age, and square footage to yours, access to major thoroughfares, etc.

Your real estate agent will also:

  • Pull information on similar homes that may have been taken off the market and re-listed
  • Determine price reductions and ratios by comparison of listing to sales prices
  • Adjust pricing to reflect comparative upgrades and lot size
  • Investigate pending sales of neighborhood homes for asking price, sold price, time on market, etc. Since these properties are sold but have not yet closed, some of this information might possibly be obtained from the listing agents
  • Analyze similar unsold homes in the neighborhood whose listings have expired or have been withdrawn in order to uncover similarities in why they did not sell. This information could be very helpful to the agent in developing a marketing plan for the client
  • After all the relevant data has been collected, your agent will then discuss with you the overall marketing plan, such as how the property will be advertised, and set an asking price for the home based on the researched data, stock of present inventory, and reflecting current market conditions

Certainly, it is easy to see how much time, experience, expertise, and access to the necessary data it takes to properly market and sell a home, and how important it is to have professional guidance in advertising, pricing, negotiating, and selling the average person’s most valuable asset.

So, if anyone tells you it’s a waste of money to pay an agent’s commission to list and market your home, that person is obviously badly misinformed as to what a dedicated and knowledgeable Las Vegas Real Estate Agent can do for a client.

It could be a costly mistake for you to attempt to price your home based on skimpy data, or on what you think your house is worth, and have the property sit unsold until you realize, particularly in this current so-called “buyers market” that you really do need the help of a professional realtor.

If you need the assistance of a professional real estate agent, feel free to give us a call at 702.376.0088 or reply below.

Las Vegas Short Sales

All the rage these days, a Las Vegas short sale to the uninitiated means snatching a valuable piece of property from a grateful lender or desperate property owner at so-called “bargain basement rates.”

Actually, the short sale phenomenon, born from the ashes of the Las Vegas housing burnout of the last few years, is not always what it may seem on the surface. One sees a property that may sell at a considerably below market price, just sitting there, waiting to be snatched up and moved into, or “flipped” for a fat profit. Or so you might think!

A short sale is the result of a home owner’s default on mortgage payments due to an inability to pay as the result of a loss of income, or some such related financial difficulty.  The homeowner is facing foreclosure, and the bank is confronted with an unwanted foreclosure proceeding.

So, a short sale is basically a problem solver of sorts for both debtor and lender. Both parties have agreed to sell the property, and the lender hopes the property will sell for as high a price as possible, but is willing to allow the distressed homeowner to sell at less than the mortgage balance if necessary, sparing the lender and homeowner the difficulties of a foreclosure proceeding.

Sounds simple, but it’s not. There are many complexities involved in a short sale, particularly since the prospective buyer’s price offering may or may not be acceptable to the lender. A further complexity for the buyer deals with the issue of the record low mortgage rates currently tempting competing investors from everywhere.

The record-low rates now in effect have attracted even more hungry investors roaming the real estate “jungle” and the lenders now realize they can minimize their losses by encouraging buyers to bid on these distressed properties, which has had the result of driving selling prices upward. Good news for the mortgage holders.

A further complexity –and often frustration – for the buyer is that, unlike in a “normal” real estate transaction, the prospective buyer’s good faith deposit money does not obligate a lender-who may be selling the home through a listing agent- to sell the home to the qualified buyer, or even have an obligation to sell at the original asking price for the property. Instead, the good faith deposit only means that the lender will consider the buyer’s price offer as one of many “bids” the lender is in the process of reviewing.

This process is to the lenders advantage, since the “bidding” encourages many investors to offer higher prices for the property than the competition. The frustrated initial bidder has no choice but to either withdraw the offer and search elsewhere or offer a higher bid and then patiently wait until the lender decides which of the investor bids is most acceptable.

We are not talking strategies here. We are only discussing the basics of the short sale procedure, and emphasizing that patience and persistence, and an understanding that the lender may take weeks, or even months to decide which bid would be acceptable, is the norm these days.

Having a thorough understanding of the processes and procedures involved in short sale investing is the foundation for a strategically workable approach to a profitable undertaking. Bottom line: short sale investing can be a lucrative undertaking, but only for the savvy investor.

One more thought. Since short sale deals often take so much time and effort to close, and as often as these deals can fall through, bidding on short sales shouldn’t really be the focal point of your overall real estate investment strategies.

Should you have any questions about investing in short sales, feel free to give us a call at 702.376.7379 or reply below with your questions.

Las Vegas Master Planned Communities

What is a Master Planned Community?  Usually found in warmer climates, they are large communities of new homes typically at least 1,000 acres in size with development and construction governed by specified standards of design and restrictions of land use.  These communities offer recreational areas, golf courses  and parks as well as schools, restaurants and shopping within the community.  Clubhouses with pools and spas are part of the community package.

In a Master Planned Community, all of the amenities and conveniences are planned and included ahead of time and are often in place before homes are built.

To maintain the original master plan, builders are carefully selected with home designs continuously reviewed.  There are a number of smaller similar type communities or subdivisions existing within the Master Planned Community providing potential buyers with a choice of home styles and prices.

Las Vegas offers a number of Master Planned Communities catering to individuals and families of various ages and life styles – with “something for everyone”.

Canyon Gate

This luxury low-density community just west of the Strip boasts 320 acres with only 507 homes and features custom houses, luxury condos and upscale tract homes.   Long considered the “Jewel of Las Vegas”, this Master Planned Community is family friendly offering kids’ camps and kids’ nights.

Close to the Spring Mountains and Red Rock National Conservation Area, homes in Canyon Gate have spectacular views.

The 24 hour manned gatehouse assures privacy and security to the owners of homes ranging from the $500,000’s to over $5,000,000.

The Canyon Gate Country Club offers a magnificent golf course with a 160 acre fairway designed by Ted Robinson and provides traveling golfers privileges at 192 courses throughout the world.  In addition to golf, the country club offers a number of amenities including gourmet dining, tennis and a state of the art fitness center.

In order to join this exclusive country club, your initiation fee will be $32,000 with approximately $500 in monthly dues.

Some of the amenities in this secluded community include five lighted tennis courts, an outdoor Jacuzzi and two outdoor pools and an indoor wet steam room.

Desert Shores

This beautiful, picturesque and quiet Master Planned Community is unique in that it is built around five man-made lakes.  Residents can enjoy boating, fishing and swimming in these lovely lakes which are home to ducks and swans.

This community was built in 1988 and includes 22 different residential districts with 3,351 units on 682 acres and offers residents a community clubhouse, a large swimming pool surrounded with a sand beach in the style of a lagoon and paddle boating on the lake.

Homes are available in Desert Shores from compact condos and medium priced homes to huge homes in their own gated areas.  Some lakefront homes have small docks.  At this time, prices in this popular community vary from the $90’s to $1 million and more.

If you would like to take a tour of one of the many master planned communities in Las Vegas, feel free to give us a call at 702.376.0088 or reply below.

Nevada Rental Properties in Foreclosure

Nevada Rental Properties in Foreclosure

Nevada rental properties in foreclosure are sold by the lender at auction or directly to investors, just like any other foreclosed properties. If the foreclosed property is occupied by tenants, the landlord or property manager assigned by the new owners to oversee the property has to abide by specific guidelines when dealing with this situation.

The property management company must be cognizant of the new laws enacted in 2009 that basically allows a tenant to remain in the home, town home, or condo unit for the full remaining term of the lease.  There are two exceptions: Read More

Home Staging: Making the Right First Impression

When you are ready to sell your Las Vegas Home, it should be presented in the best possible way.  Staging by a trained and certified professional home stager helps to prepare a home for sale by pointing out the need for making minor repairs, repainting if necessary and eliminating clutter as well as re-arranging furniture and adding decorative accessories.

You can hire a trained and certified professional home stager to do the work  – or do it yourself.

To get an idea of how your home should be staged, pay a visit to some Las Vegas Model Homes in new communities similar in price to your area.

The common theme of model homes offers neutral colors and a sense of being large, bright and cheerful with lots of space.  The furniture arrangement allows a great deal of room to walk around.  Green plants and baskets of fruit add welcoming touches.  Lights are left on in all rooms as well as in closets and the laundry room.

One of the reasons why visitors are able to imagine themselves living in a model home is the lack of personal touches such as family photos and collectibles.  Consequently, there is no personalization of an owner that needs to be overcome.

The next step in staging your home is to walk around your property including both the back as well as the front yard.  Make note of necessary outside maintenance  such as peeling paint or dying shrubs or plants and have these problems fixed.  Be sure the lawn is regularly watered and mowed.

Once your Las Vegas Home is listed for sale, the driveway and front entrance of your home should always be swept clean in case a potential buyer drives by to check out the neighborhood.  Bicycles, cars and trash cans should be kept in your now uncluttered garage for the same reason.

Since a potential buyer will have an immediate reaction to the curb appeal when arriving at your home, remember that similar to a first date or a job interview, you cannot make a second first impression.

Now is the time to clean out your kitchen cabinets and closets because you can be assured, visitors will open them and look inside.  For those pieces of furniture and items of clothing that you no longer want, this is the time to either have a garage sale or make a donation to charity.  If there are cherished personal possessions you want to keep and take with you to your new home, consider renting storage space for these objects you love.

If there are objects such as chandeliers that you do not want to sell along with the house, remove them and substitute the old ones (that you hopefully kept) so that you do not have to refuse to sell these objects to the potential buyer.

If you have pets, arrange to have them stay at a friend’s house when your home is being shown.  Be sure to remove litter boxes and doggie pillows and clean and spray so that there are no bad odors to turn off your visitors.