Category Archive : Economy

LAS VEGAS, NV – According to a newly-released report, the housing market in Las Vegas is continuing to show signs of cooling, with prices – although still relatively high – dropping from September to October amid slowed activity brought about by high inflation and mortgage rates.

In October, the median price for an existing single-family home sold in Southern Nevada was $440,000, which represents a 2.2 percent decrease month-over-month from September, when that price was $450,000.

October’s drop was the fourth time in five months when home prices in Vegas have lowered from the previous all-time record for the region, which hit a whopping $482,000 in May of this year. Regardless, the median price for an existing single-family home in October was still up 7.3 percent from the same period of time in 2021.

Meanwhile, prices of townhomes and condominiums in Southern Nevada also dropped last month, although not to the degree of houses. In October, the median townhome and condo price was $266,000, a decrease of 1.5 percent from September but an increase of 12.7 percent from October 2021.

Brandon Roberts, president of Las Vegas REALTORS®, said that ever since the Federal Reserve began jacking up interest rates in an effort to curb national inflation, it has had a correspondingly harsh effect upon real estate, even in strong markets such as Nevada.

“Ever since mortgage interest rates started rising this summer, we’ve seen the housing market cool down,” he said. “Prices have been going down slightly since we hit our all-time peak in May. We’re seeing more homes on the market, and fewer homes are selling. Through October, local home sales are down about 22% from this time last year.”

In October, 2,192 homes, condos and townhomes were sold in Las Vegas, which is a drop of 44 percent year-over-year for homes and 41.9 percent for condos and townhomes, respectively.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – While real estate in Las Vegas – along with the entire country – has been facing a recent slowdown amid rampant inflation, high prices, and increasing mortgage rates, one aspect of the market has not only endured, but has actually continued to flourish- Southern Nevada’s warehouse market.

In October, newly-built industrial park SunPoint West sold for $143 million to German asset manager DWS Group. What was especially notable about the sale was that before the construction on the facility was even completed in September, it had already been fully-leased by tenants.

SunPoint West represents just one of a series of new warehouses near North Las Vegas Airport that are being snapped up as quickly as they are being built. The faciltiy’s developers, SunCap Property Group and Diamond Realty Investments, originally announced plans for the facility in 2021 as a six-building project spanning nearly 40 acres and covering approximately 730,770 square feet.

While demand for industrial real estate in Las Vegas grew quickly in the last few years, it only increased more during the COVID-19 pandemic and hasn’t let up since; greatly heightened public reliance on internet-based shopping paved the way for a much larger need for distribution facilities, with Southern Nevada proving to be extremely valuable in that regard.

Currently, industrial vacancies in the region are at record-lows, and rents are correspondingly rising higher and higher, with more and more landlords purchasing buildings and developers announcing new projects, with the main focus being placed on North Las Vegas.

Much like the home-purchasing frenzy in Vegas during the pandemic when buyers were often over-bidding and closing on houses sight-unseen, it’s now become fairly common within the last several years for industrial facilities to be fully-leased before construction on them has even been completed, with demand currently outstripping supply.

Essentially – despite the overall hurdles facing the real estate market currently – developers in Las Vegas seemingly can’t build industrial and warehouse space fast enough.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – Construction workers in Las Vegas have seen increased wages throughout last year, according to a recently-released study, but unfortunately those extra earnings have been gobbled up by the 40-year high inflation that currently holds the country in its grip, essentially negating any gains that were to be had.

The study, released by Construction Coverage, indicates that Nevada residents overall have been paying an additional $805 every month on everyday expenses, ranking the state seventh in the nation in terms of the toll inflation has taken upon it.

But construction workers – of which Las Vegas boasts approximately 7,600 – have seen the 7.1 percent pay bump that they experienced in 2021 reduced to the equivalent of just 3.4 percent when inflation is taken into account, showing that this segment of the workforce has been hit especially hard by the current economic crisis.

Throughout the heightened degree of inflation that the country has been experiencing, the Construction Coverage study illustrates that wages have struggled to keep up with the financial burden being placed upon Americans. In particular, Las Vegas has been in great need of construction laborers and inflation has not only been taking its toll upon them, but the industry as a whole – not even to mention that the prices of building materials have also skyrocketed.

Despite their importance to the industry, construction workers are among the lowest-paid segment of real estate development, with the median annual income being about $37,770; in contrast, Las Vegas construction laborers make an average of $37,500 a year, so any gains that are swallowed up by inflation are hurting these workers in the wallet more than usual.

Nevada recently ranked 28th in the country for gains in construction laborer wages, whereas Indiana and Montana had the largest increases in wages in the industry.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – Plans for a massive resort and casino on the famed Las Vegas Strip submitted by Houston, Texas-based billionaire businessman Tilman Fertitta have been approved by the Clark County Commission, paving the way for work on the luxury establishment to begin in the near future.

Fertitta’s currently-unnamed resort is slated to be constructed upon a 6.3-acre plot of land located on the east side of Las Vegas Boulevard South and Harmon Avenue near the Planet Hollywood Resort and Casino. When completed, the resort will have an impressive 2,420 rooms spread out over 42 stories, in addition to a 2,536 seat theater and an on-site multi-story parking garage as well.

Clark County records indicate that the resort will also include retail space, indoor and outdoor restaurants, an extensive 37,000 square-foot spa and fitness center, 91,000 square-feet of convention space, business offices, a wedding chapel, and even an auto showroom.

Fertitta – owner of Fertitta Entertainment Incorporated – reportedly paid the sum of $270 million in June for the parcel of land that the establishment is to be built upon. No stranger to hotel-casinos, Fertitta is also responsible for the Golden Nugget Las Vegas as well as gambling venues in New Jersey, Louisiana, and Mississippi.

Rebecca Miltenberger, a lawyer from the Las Vegas law firm Brownstein Hyatt Farber Schreck LLP that represents Fertitta Entertainment Incorporated, recently laid out the approximate timeline for completion of the project for Clark County Commissioners.

“We are very excited to bring this project to fruition over the next two years,” she said.

Despite nationwide inflation reaching levels not seen in 40 years, large-scale construction projects are still making major progress in Las Vegas, with multiple venues currently in the works, including entertainment, gambling, and medical complexes, which have all begun to spring up en masse in the wake of the COVID-19 pandemic.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – After holding steady for months amid lowering home and condo prices due to the nation’s inflation and rising mortgage interest rates, prices of luxury homes in Las Vegas have finally begun to feel the sting as well, with September representing their first decrease in value since January 2021.

However, experts are saying that this lull is only temporary, with values are already starting to pick up once again as October nears its end, proving that despite the nation’s economic woes having a very real negative impact upon the housing market, luxury homes remain very much in demand.

In Las Vegas during the month of September, reports indicate that 99 homes with a value of $1 million or more were closed upon, a 1.5 percent decrease from August; this is the lowest number since January 2021, when 86 closings of homes in this value range.

The all-time record for the Vegas luxury marketplace, in contrast, was 218 closing in April 2022; this was followed by 178 luxury closings in May, 156 in June, 106 in July, 118 in August, and 99 in September.

But real estate experts say that, despite the dip in September, the market appears to already be bouncing back, with 164 pending deals in-place at the start of October, representing a significant uptick from the month before.

Experts are attributing the lower-than-expected sales of luxury homes in Vegas in September to increasing national mortgage rates – which currently sit at 6.94 percent and rising – which has fueled the highest rates on 30-year fixed-rate home mortgages in 20 years.

In addition to pricing some buyers out of the market, the inflated interest rates have also caused a slowdown of sales due to some sellers now taking a “wait-and-see” approach to listing their properties until interest rates go back down and the market improves.

However, the Vegas luxury market is less affected by these factors, experts say, due to the fact that a few interest points more or less may not dissuade individuals with the significant buying power and net worth from purchasing homes sooner rather than later, as opposed to middle-to-lower-class buyers who not might want, but need – to wait.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – Las Vegas is one of the most coveted marketplaces in terms of office space in the United States, as a new report currently ranks the city as number two in the country when it comes to the lowest amount of office vacancy.

The City of Las Vegas is experiencing its lowest office vacancy rates in over 15 years, according to the Avison Young’s Third Quarter Office Market Report, which notes that the city’s office market has bounced back from the COVID-19 pandemic and recovered 73.1 percent of its occupancy numbers.

In the third quarter of 2022, Vegas had an office vacancy rate of just 12.7 percent, with $234 million being invested in the office market, the highest level since just before the pandemic. The average office rental price was approximately $315 per square-foot, a bump up from the previous average of $299 per square-foot in the second quarter of 2022.

Avison Young – which ranked Charleston, South Carolina at the number one office marketplace in the country, with Nashville, Tennessee coming in third – said that the factors that landed Vegas in the number two spot included a lack of inventory in a hot job market, ensuring that business rents should continue to increase if the country does not enter a recession.

“Rent growth should continue, but concerns surrounding a potential recession and rising interest rates could act as potential headwinds,” Avison Young reported. “The Summerlin and Southwest submarkets are on track to garner office sale prices starting in excess of $400 per square foot over the next few years. Companies and employees alike want to live and work in these desirable suburban Vegas communities.”

North, Southwest, and West Las Vegas currently have the highest average office rents in the Southern Nevada region.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – After dropping for three straight months in a row, prices of houses in Las Vegas held their ground in September, signaling that the market may be re-gaining a foothold and achieving a new measure of stability, experts say.

As it was in August, the median price for a pre-existing one-family home in Southern Nevada was $450,000; that price represents a 10.7 increase from the same period of time in 2021 – when that price was $406,500 – but nonetheless represents a drop from the region’s all-time high of $482,000, which was originally set in May.

But while home prices held steady in Las Vegas in September, the median price for condominiums and townhouses increased over the previous month by approximately two percent, coming in at $270,000; this represents an increase of over 17 percent year-over-year, but still down from May 2022, when that price hit its all-time record of $285,000.

In September, there were over 8,100 single-family homes listed for sale without any offer, which was an increase of over 134 percent when compared to September 2021; the number of condos and townhouses available are up over 194 percent year-over-year as well.

A total of 2,554 existing homes, condos and townhouses were sold in September; those sales numbers, according to Las Vegas Realtors president Brandon Roberts, indicates that Southern Nevada currently possesses a nearly four-month supply of properties for sale.

“It’s interesting to see local home prices level off, at least for now. Home prices and sales had generally been declining since mortgage interest rates started rising,” he said. “The good news for buyers is that it has been at least three years since we’ve had this many homes available for sale.”

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – As the Federal Reserve continues to raise interest rates in an attempt to curb the 40-year high inflation that has been holding Americans in its crushing financial grip, home mortgage interest rates have been correspondingly raising along with them, hitting 6 percent last Thursday for the first time since the housing market crash of 2008.

The loss of the cheap money that was fueling the nation’s home-buying frenzy during the COVID-19 pandemic has resulted in an overall slowdown of the market, both in Las Vegas and nationwide, as prospective buyers have been putting the brakes on their house hunting and sellers – who lately have been lowering their asking prices after seeing them skyrocket for the past year – have seen offers dwindle.

Last Thursday, the average rate on a 30-year home loan reached 6.02 percent – the highest level since November 2008, which was 14 years ago – up from 5.89 percent last week and 2.86 percent at this point in time one year ago.

For the past year, home prices and demand in Southern Nevada have surged, breaking records on a monthly basis; however, as inflation has gradually increased along with mortgage rates, the market in Las Vegas has shown some distinct signs of slowing down. Nonetheless, numbers still remain at higher levels than last year, and higher than average for the U.S. overall.

At the end of August 2022, there were almost 8,000 pre-owned houses on the market without offers, representing a 146 percent increase over August 2021; the median sales price of these homes was $450,000 in August, down 3.2 percent, or $15,000, from July, but still 11 percent higher than they were year-over-year. Nonetheless, August was the third month in a row that home prices in Southern Nevada have decreased, following a hot streak where they failed to drop for nearly two years.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – The housing market in Las Vegas, once completely on-fire and breaking records left and right, has now just experienced yet another month of cooling as prices of homes have continued to drop for the third month in a row.

In August, the median sales price of previously owned single-family homes – which makes up the majority of the market in Southern Nevada – was down 3.2 percent to $450,000, which represents a $15,000 drop from the previous month.

However, all is not grim; despite the drop, home prices are still 11.1 percent higher year-over-year, but the decrease is still raising eyebrows due to the fact that – prior to three months ago – prices consistently increased month-to-month for over two years.

In addition, sales overall in the Las Vegas marketplace have decreased as well amid higher mortgage interest rates, high home prices, and national inflation hitting a 40-year high. 2,002 single-family homes sold in August in Southern Nevada, which was a drop of 3.1 percent from the month before; also, the end of August saw 7,997 houses were on the market without offers, an increase of 9.1 percent from July.

This isn’t a situation that is unique to Las Vegas, as currently homes in the United States are now selling below their asking prices for the first time in 18 months, whereas previously cheap mortgage interest rates during the pandemic had fueled a slew of homes sales and – as a consequence – that demand drove home prices to skyrocket.

But due to a series of rate increases on behalf of the Federal Reserve in an effort to curb inflation, those low-cost mortgages are now becoming a thing of the past; in August, the average rate on a 30-year home loan was 5.22 percent, as opposed to being just 2.84 percent in August 2021.

However, according to Zillow senior economist Nicole Bachaud, despite the drop in home prices and purchases as of late, sales overall are “still up substantially from last year,” and, despite not yet being a buyer’s market, “it’s becoming a better time to buy, with more time to consider options and less chance of being dragged into a bidding war.”

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – A swanky home located in Summerlin’s high-end The Ridges master-planned community was Las Vegas’ top-priced sale in July, fetching a cool $8 million. This goes a long way to proving that while the housing market in Southern Nevada is experiencing an overall slowdown – much like the rest of the country – its luxury homes can still generate some very impressive sales figures regardless.

The home in question is located on Promontory Ridge Drive in The Ridges and is situated upon 0.54 acres; originally built in 2005, the home comes in at 12,345 square feet with six bedrooms, 7.25 baths, and a four-car garage, and has recently undergone a complete remodel with higher-end finishes.

Also, the home boasts an indoor basketball court, a gym, putting green, game room and movie theater, and the backyard has a resort-style pool/spa and outdoor kitchen.

Overall, the luxury housing market in Las Vegas is in the midst of its slowest period since January 2021 – an issue that is affecting the majority of the housing industry nationwide amid skyrocketing inflation, mortgage interest rates, and overall economic woes – but it still managed to net 105 closings on homes with values of $1 million or more in July.

Nonetheless, this number still represents a significant decrease from the 155 luxury closings in June, and the 167 luxury closings year-over-year. However, July’s figures certainly eclipse January 2021’s luxury sales figures, when just 86 luxury homes were closed on.

In addition, these are still 157 sales of homes valued at $1 million or higher currently pending – just 10 fewer then June – which experts say cements the fact that while Las Vegas luxury real estate has indeed taken a hit from the nation’s current economic turmoil, the $1 million or higher marketplace is still proving to be an overall significant money-maker.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – Due to rising interest rates on home loans marking the end of cheap borrowed money – combined with national inflation currently at a 40-year high – home prices in Las Vegas have actually dropped for the second consecutive month in a row after over a year of consistent, record-setting monthly gains, leading experts to remark that the market in Southern Nevada is “definitely turning.”

In July, the median sales price of previously owned single-family homes was $465,000, representing a drop of 3.1 percent – amounting to $15,000 in value – from June, at which time the median sales price was $480,000, down from $482,000 in May.

However, home prices in July remained 14.8 percent higher year-over-year, which amounts to a $60,000 increase overall. The reality of the last two months can’t be denied, as June’s price drop was the first time home values in Southern Nevada have decreased at all in over two years, and July only served to reinforce that trend.

It remains to be seen if the same occurrence happens in August and prices dip yet again, but the current market is seeing home inventory in the region – previously scarce – steadily rising now as buyers pull back to see what happens next. But buyers still looking to acquire a home in Vegas are now finding themselves with lowered prices and a degree of bargaining power they could only dream of just a few months ago, according to Las Vegas Realtors (LVR) President Brandon Roberts.

“We’re definitely seeing a shift in the housing market. We haven’t seen prices slow down like this in several years,” he said. “This is encouraging news for people looking to buy a home, although rising interest rates and today’s prices still present challenges for many potential buyers.”

2,066 single-family homes sold in Las Vegas in July, a decrease of 22.6 percent from the prior month and 38.4 percent year-over-year. 7,331 were available on the market without offers when July ended, an increase of 27.6 percent from the month before and 143.8 percent from July 2021.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.

LAS VEGAS, NV – The market for high-rise condominiums in Las Vegas has finally begun to slow after enjoying a period of red-hot activity, reflecting the rest of the cooling real estate scene in Southern Nevada due to rampant national inflation and rising mortgage rates.

While many are anticipating some degree of improvement with the announcement earlier this week that mortgage interest rates have dropped below 5 percent for the first time in months, experts note that the scorching hot Vegas summer is also playing a factor in lower high-rise sales, with fewer people willing to brave the heat at the moment to house-hunt.

According to the Las Vegas Realtors’ Association Multiple Listing Service, 644 high-rise condominiums of five stories and above were closed on through the first six months of 2022, which represents a 2.5 percent increase over the 628 closings in the same period of time in 2021. However, the 87 closings that were recorded in June fall short of the closings achieved year-over-year, with 129 closings taking place in June of 2021.

Since the high-rise condominium sales initially slowed due to the onset of COVID-19 – which can be attributed to buyers wanting more space for the sake of health – the market in Las Vegas became extremely popular as the pandemic began to wane and restrictions aimed at curbing the spread of the virus were dropped.

According to experts who examined 21 high-rises – most located along the famed Las Vegas Strip – there were 618 closings between January and June 2022, which represented a 14.2 percent jump over the same period of time in 2021, when there were 541 closings. This contrasts with the mere 225 closed upon in the first half of 2020, and the 204 in the first half of 2019.

The average sale price of high-rises sold in Vegas in 2022 was $595,508, with a square-foot price of $486.

While the market for high-rise condominiums is indeed showing some degree of cooling with the economic uncertainty in the country, experts are nonetheless predicting the market will remain to perform well, and with the possibility that mortgage rates may be sliding downward slightly, may begin to pick up once again in the very near future.

Shelter Realty is a Real Estate and Property Management Company specializing in the areas of Henderson, Las 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.