Category: Market Updates

With housing so affordable in the Las Vegas area due to the real estate meltdown, some parents of UNLV students are also choosing to invest in the local Las Vegas real estate market at the same time. Many students at UNLV live off campus. Due to its central location in the Las Vegas Valley, most residential areas are located no more than a 20 minutes’ drive from campus.

The median price of a single family home in Las Vegas currently stands at around $105,000 and condos are at around $50,000. Prices have not been at these levels since 1990 which is about 13 years before the first signs of a housing bubble in Las Vegas. This means there is essentially a market over correction in prices of about 13 years if you buy at today’s prices.

Investors are now here in droves, many of them cash buyers. Rental prices for homes and condos have certainly not declined at all so investors are able to purchase homes that create positive cash flow immediately on their investment.

For parents looking to also make a real estate investment, it makes good sense to consider purchasing. Not only are the current market conditions extremely favorable, but you have a ready tenant in the student whose not a risk like your average tenant would be.

For a traditional investor, there is a large pool of renters, not only students, but also many of the displaced homeowners who have lost their homes but not left the area. Many people are also needing to rent while their financial and credit profile recovers.

Purchasing a home here in Las Vegas, especially if you live out of town can be a challenge, but still be accomplished after having done your research and getting the best assistance possible when you’re ready to buy. Your REALTOR® should have a lot of experience with foreclosures and short sales. The real estate practices related to these two categories are constantly changing.

Once you have made your purchase you may also need good property management, especially if your tenant is not your own son or daughter! Effectively managing properties by staying on top of tenants, dealing with homeowners’ associations, managing repair issues, collecting repair bids and effective accounting are issues many companies lack. You don’t want a “rent collector” you want a MANAGER who will fight to preserve your property’s value.

For any questions related to purchasing real estate or property management in the Las Vegas, Henderson, North Las Vegas markets contact Shelter Realty at 702-376-7379.

Paul Rowe

Paul Rowe is a real estate investor and REALTOR® with Shelter Realty Inc. He can be reached at (702) 376-7379. With hundreds of short sales negotiated successfully over the past 12 years, Paul works exclusively with distressed property owners and potential foreclosure and short sale victims in Southern Nevada who owe more on their mortgage than their property will appraise for.

www.shelterrealty.com/las-vegas-short-sales

There are currently 200 homes for sale in the Las Vegas 89014 zip code, which includes the master planned community of Green Valley. Green Valley is located primarily in Henderson (the southeastern part of Las Vegas). Development first began in 1978, so that means within its 8,000 acres, you can find every home style, from distinctive ‘70’s era homes all the way to new-build homes.

Green Valley is full of neighborhood parks and walking trails and has an outstanding array of shops, gourmet restaurants and retail services. Also, the community has some great resources like outdoor amphitheatres, public swim clubs, theaters, hospitals and baseball fields. In Green Valley, there is truly something for everyone.

Homes for sale in Las Vegas zip code 89014

According to public data records complied by Trulia, between April and June 2011, 944 homes sold at a median sales price of $124,000. That price is 13.6 percent lower than the second quarter (April-June) of 2010.  In other words, if you’re looking to buy a home in Green Valley, now is a good time to get a great deal.

In the second quarter of 2011, the median sales price of homes in the 89014 zip code (including Green Valley) was 16.22% lower than the median sales price for Henderson Nevada (again, according to public data records complied by Trulia).  With Green Valley homes costing less than other Henderson homes, now could be a great time to get a great deal.

Remember, though, that if you’re considering buying a new home in Green Valley – or anywhere in the Henderson/Las Vegas area, you can still benefit from the services of a professional real estate agent (who will, for one, help you negotiate the sales price with the home seller).

Neighborhood schools in Green Valley

There are a number of schools within the Green Valley master planned community itself.  Green Valley High School received a distinguished GreatSchools rating of 8 out of 10 and Green Valley has 6 private preschool options. That’s a big plus for owning a home in this desert community (even if you don’t have school-aged children, the quality of neighborhood schools do affect a home’s resale value).

Here is a list of the schools that serve Green Valley:

Source:GreatSchools.org

Things to do in and around Green Valley

Easily-accessible attractions: Green Valley’s proximity to the Las Vegas valley makes it a convenient community to live in. It is home to The Green Valley Outdoor Sculpture Collection; one of the valley’s best-known public art displays that features works by local and nationally renowned artists. Green Valley also has the Black Mountain Recreation Center, the Whitney Ranch Aquatic Complex, the Lorin L. Williams Indoor Pool, Green Valley Library, and the Henderson Campus of the Community College of Southern Nevada.

If you want golf, a banquet room, or some history, then perhaps a visit to:

The Legacy Golf Club:This premier golf club was designed by the acclaimed golf course architect Arthur Hills. The Legacy Golf Club is an 18-hole, desert jewel highlighted by manicured playing conditions, multi-tiered fairways and large undulating greens. The Legacy Golf Club was selected by Golf Digest as one of the “Top 10 Courses You Can Play” in Nevada. 

WildHorse Golf Club:Wildhorse Golf Club (owned by the City of Henderson) is home to one of the toughest holes in Vegas as well as a great venue for golfers of all abilities. Originally built in 1959 and redesigned in 2004 by architects Brian Curley & Lee Schmidt, the course features several holes guarded by shimmering lakes. This public golf course also features a magnificent Grand Ballroom overlooking the golf course and is available for tournaments, banquets or weddings. Golf Digest rated the club as one of the “Best Places to Play.”

Clark County Heritage Museum: This Henderson museum is a 30-acre site that features a modern exhibit hall with a timeline exhibit about southern Nevada from pre-historic to modern times and a collection of restored historic buildings that depict daily life from different decades in Las Vegas, Boulder City, Henderson, and Goldfield. Also preserved are newspaper print shops, railroad depots and a real 1918 Union Pacific steam engine. Visitors can also gaze at mineral specimens found at a mining exhibit as well as walk through a resurrected ghost town and a half-mile nature trail.

If you’re interested in buying or renting a Green Valley home, or if you’re looking to sell your Green Valley home, give Shelter Realty a call today at 702-376-7379 or contact us here.  We have real estate agents ready to assist first time home buyers, investors, sellers, and renters.  (Also, click here to see a full listing of Green Valley homes for sale and rent.)

Tony Sena

Tony Sena is broker/owner of Shelter Realty Property Management. For more than a decade Tony and his partners have provided residential real estate and property management services to sellers, buyers, investors, and property owners in the Las Vegas Valley. A Las Vegas native and former police officer for the City of Henderson, Tony brings to the table a unique local perspective that continues to serve his clients well.

The possibilities of making big profits in distressed properties has lured many new investors into the field. Many, surprisingly enough, are willing to risk financing these kinds of properties without the knowledge and expertise, much less the experience of the successful, long-time investor.

Frequently, these newcomers rely on “instinct” rather then on the advice of knowledgeable professionals, such as real estate agents and attorneys. Their hunger for quick, profitable deals and lack of true market knowledge most often leads to investments that either do not materialize, or turn out to be money-losing propositions.

These entrepreneurs often do not know of all the options an owner of a distressed property may have before actually being foreclosed, such as:

• If the owner is in a higher than debt equity position, but has fallen behind on payments to the lender, he may opt for a quick sale to get out from under the mortgage
• Deed in lieu of foreclosure – giving the deed to the lender – may avoid foreclosure, but is not the best of all possible options
• Short Sale: The borrower must convince the lender to allow the property to be sold, even if the sale price is less than what is still owed on the loan.

The borrower must additionally ask the lender to agree that no further action against the borrower to collect any balance still due on the loan- after the sale of the property – will be taken. The possible tax ramifications of such a sale may not leave the seller free and clear of all debt.

“Jumping” into a distressed property purchase, without a complete understanding of the process, and without a skilled advisory team is often a recipe for financial disaster.

Without these advisers, how will the new investor know the true market value of a distressed property, particularly in a difficult market such as the present?

Certainly, the new investor should be aware of the outlay of funds required-other than the purchase price- such as appraisals, home inspections, title searches, financing conditions, rehab and upgrade costs, etc.

Further investigation may be needed to uncover possible second or third mortgages, contractor’s liens, judgments, and so on.

Additionally, the new investor who finds a truly profitable investment, will rarely be the only one who knows about the property, and will quickly find himself up against the old pros, savvy, long-time investors with deep pockets, who will be difficult to compete with.

At this point, all we can say to the new investor is, do not take the plunge into distressed property investment until you have thoroughly familiarized yourself with the market in which you are playing. Put together the best advisory team possible, and make sure your funding sources will enable you to make the purchases that will make you the kind of money that drew you into this investment field in the first place.

If you have any questions about investing in Las Vegas Real Estate, feel free to give us a call at 702-376-0088.

Tony Sena

Tony Sena is broker/owner of Shelter Realty Property Management. For more than a decade Tony and his partners have provided residential real estate and property management services to sellers, buyers, investors, and property owners in the Las Vegas Valley. A Las Vegas native and former police officer for the City of Henderson, Tony brings to the table a unique local perspective that continues to serve his clients well.

Why Fixer-Uppers Are So Popular

Although not all investors are attracted to these kinds of Las Vegas Properties, some real estate investors look for nothing else but properties in need of repair. This can be understandable, when on the surface it may appear that a motivated seller may be willing to part with his run-down parcel of land for as much as 20% to 40% under potential market value.

Of course, the inexperienced Las Vegas Investor may look only on the bright side of the picture, such as creating equity with minimum up-front cash, using government money and low interest loans to rehab eligible properties into saleable or rentable condition, or flipping a “ fixer-upper” for big profits, with a minimum outlay of funds.

All of the above speculations are not only possible, but are frequently accomplished. However, the experienced investor doesn’t only see the bright side, but will carefully evaluate possible pitfalls and cash outlay estimates after purchase before making a commitment.

As with any property purchase, and particularly with a handy-man special, a thorough building inspection by a licensed contractor is a must. Any problematical finds, such as structural damage and the extent of that damage, must be carefully evaluated before deciding to buy or walk away.

Another important consideration when dealing with this kind of investment is the outlay of funds required to repair and refurbish the property. If you are a do-it-yourself craftsman, you will probably be able to handle cosmetic repairs such as painting, cleaning, minor plumbing and electrical repairs such as leaking faucets, or replacing a light switch, etc., but, more extensive repairs would probably involve the cost of hiring a licensed contractor, especially if the building needs to be brought up to code.

All of these factors, other than just the purchase price must be carefully evaluated before making any commitments. Future use of the property, and a realistic exit strategy are other important considerations.

At this point in time, when selling prices are down and inventories are high, many investors in rehab homes would prefer to fix up and rent, rather than compete in a “buyers market.” Favorable cash flow from monthly rentals will allow the investor to bide his/her time waiting for an up cycle in the marketplace, as inventories gradually diminish and selling prices begin to rise.

Lastly, although CPA’s and real estate attorneys are valuable members of any investors team, a good Las Vegas Real Estate Agent is the key person on your team that can help you build wealth.

A good real estate agent, one that has experience in finding the kinds of properties you are looking for, and is in tune with your goals and business practices, are your eyes and ears in the marketplace.

Above all, the smart investor knows that connecting with a reliable agent will not cost you money, but actually help you to make money.

If you have any questions about investing in Las Vegas Real Estate, feel free to give us a call at 702-376-0088.

Tony Sena

Tony Sena is broker/owner of Shelter Realty Property Management. For more than a decade Tony and his partners have provided residential real estate and property management services to sellers, buyers, investors, and property owners in the Las Vegas Valley. A Las Vegas native and former police officer for the City of Henderson, Tony brings to the table a unique local perspective that continues to serve his clients well.