With rapid appreciation over the last 2 years, is now really a good time to buy a home in Las Vegas?
The State Of The Market If you’ve been shopping for a home this year, you probably know it can be vicious out there. Almost 1/3 of the homes recently sold to out of state buyers. Many of those buyers are coming from the West costal area. They have plenty of sale proceeds to pay over…
It may seem crazy to celebrate buying a home for it’s appraised value. However, if you’ve been trying to buy a home in Las Vegas recently, you understand even buying one you like over appraised value is a huge accomplishment today. Homes are appreciating 1-2% per month in my markets recently. That means a $350,000…
Where is the best place to buy a house in Las Vegas?
This really depends on your lifestyle & what you love to do. Do you go to the casinos on the Strip or enjoy all the great outdoors we have surrounding the city more frequently? If you want both there are also some great locals casinos in many areas too. Far up North & West may be good if you love snowboarding, or hiking Mt. Charleston. A few communities my clients really like up there are:
Head South & East and you’ll be close to lakes Mead & Mojave if you prefer more fishing, boating, & jet skiing. Lake Las Vegas is a prominent community in that direction that has its own man-made lake & plenty of celebrity neighbors. You could even go out to Boulder City, a small-town feeling city not far from Las Vegas proper. Boulder City is the town built around the creation of the famous Hoover Dam & Milo’s Cellar is still a gem of a little spot for lunch & even has a few rooms to rent for the night.…
Californians given the option to work from home can drastically reduce their living expenses by relocating to Las Vegas
It Depends On Who You Are
This has certainly been a unique and challenging year so far for many of us, particularly in Las Vegas. How 2020 has impacted our housing market depends a lot on where you are in the market. While there are as many particular situations as there are clients; for our purposes here, we’ll break them down into the following categories: Sellers, Buyers, & Homeowners .
Sellers – Possibly The Biggest Winner?
Those looking to sell their home this year have seen very little competition. The demand may not be quite what it was last year, but it is still well-outpacing available inventory supply. Many areas in Las Vegas are seeing 2-3 weeks as a median time on market. Historically, this is incredibly low. This demand is raising home values & in some cases for well-marketed homes, in show-ready condition, even creating bidding wars.
Yes, selling this year has its own set of hurdles to overcome, but in a cost-benefit analysis is still heavily benefiting sellers. There are particular challenges to selling a home today if the seller may be working from that home. This creates limited hours available for buyer showings. In homes with children, we could see school from home, or daycare from home further restricting showing availability. There are some excellent options available for initial showings including a 3-dimensional virtual walk-through such as this one from one of our office’s listings under contract already. Innovative solutions like this reduce intrusions for the seller & expand the buyer’s ability to get a feel for the home prior to in-person showings while keeping everyone safe.
There are also other things we can do to keep your home’s residents & potential shoppers safe as well. Requiring masks & providing booties at the entry point are some we’ve used. Keeping the home not only show-ready clean, but pandemic-clean with sanitizer at entry & disinfecting wipes for light switches, door handles & other surfaces after showings can also go a long way to keeping everyone safe & pleased throughout the process.
The Other Side Of This Coin, Of Course – Home Buyers
Buyers are seeing a lot of competition for the home of their dreams, & yes prices are rising. You may think if the sellers are coming out so far ahead, it must be at the loss of the buyer. However, for those mortgaging their purchase, the drop in interest rates is creating a win-win for both parties. In many cases the lower rates mean buyers making the same money this year as last, on average, can afford about $30,000.00 …
While over the long haul, home values will always go up due to inflationary pressure on the value of a dollar, we understand that there are times each year when homes are at a premium due to demand. Yes, there are cycles (usually around 16 years for a complete cycle) of up-swing and down-swing on home values, but most of us can’t plan our major life events (births, deaths, job-changes, relocation, marriage, divorce, or inheritance, etc.) around these larger market conditions. What we can do is capitalize on the seasonal trends throughout the year we find our life demanding a change.
Generally speaking the months around the end of year holidays and the first few months of the new year see less demand for real estate than April through August. Things like gift buying, travel for a family get-together, tax season, and just wanting to hibernate when its cold & dark outside restrict demand for most folks. As things get warmer, brighter, and those with children see a break in the school year as an ideal time to relocate, demand and therefore prices, see a peak.
- Buy NOW, Sell Later: If you are thinking of moving this year; and have savings to buy before you sell, you may be able to take advantage of the turning seasonal differences involving supply and demand. You may implement a plan with your Realtor that will take advantage of buying at the tail end of when there is less demand, and selling when demand starts approaching its seasonal peak. Depending on your current monthly payment, the average time in your neighborhood to sell, and seasonal swings anticipated in your price ranges this could save you a lot of money.
- RECAST, don’t Refinance: There is a little known, little advertised feature of many loans backed by Fannie-Mae or Freddie Mac (Not available on FHA or VA loans) called a “Mortgage Recast”. What this enables you to do, is generally spend a few hundred dollars in fees to your mortgage servicing company to apply a lump sum of equity from your current home’s sale to your newly purchased home, without needing to spend thousands of dollars of fees on a more common and expensive refinance.
- How a mortgage recast works (a hypothetical example): Your rate and term (say 30, or 15 year amortization) stay the same as they were (as will the date of your last payment) but your monthly payment will lower significantly when
We just helped Debbie & Peter purchase a home in Spanish Trail; a gorgeous, well-established golf course community here in Las Vegas, NV. I’d spoken with Debbie, who was a referral from a friend of mine. She’s his mother & was looking to move to Las Vegas to be closer to her new grandson. Her husband also just got a relocation here with his company. There are a lot of great reasons to move to Las Vegas. Lower taxes & more affordable housing is a big one we’re seeing from many Californians making the move. For Debbie & Peter, being close to family, having the job-relocation opportunity, & being able to say goodbye to those frozen New York winters were main motivators.
We’d done all the leg work to figure out what she & Peter were looking for in a new home, had her pre-qualified with Charles Christmas at Gold Star Financial, and were prepared to make a confidant offer when the right home appeared. Something low maintenance, secure, and comfortably appointed with great amenities were all on the top of the list. Fortunately, Spanish Trail community was not only checking all these boxes, it was a short drive from family already in town.
Debbie’s son & I had walked a few properties together, using Facetime to give a live feed to Debbie and Peter, while her son gave commentary on how he thought the space & design elements would
Just Listed Near Durango & Sahara! 8296 Arden Ladder Place – 3 Beds, 3 baths, Pulte-Efficient Beauty!
Nestled in the quiet neighborhood of Arden Park, just over a mile from Desert Breeze Park, with it’s soccer, baseball, skateboard & aquatic community offerings, this corner lot is the largest one in the tract. It also provides even more privacy with no neighbors directly behind you & beautiful mountain views from the master suite.
Las Vegas Home-buyers, You DON’T Need To Pay a Realtor! How We Just Saved a Buyer $19,700.00 On a $190K Purchase.
Many people are shopping for homes right now and there is a LOT that goes into buying one. As a home buyer in Las Vegas, you do NOT need to pay your Realtor! Whether you’re buying a pre-existing home, or new construction, the SELLER pays YOUR agent! Why would you not take advantage of the…