Hello. Welcome to Todd Miller TV. Today’s video is Las Vegas Real Estate Forecast. A lot of you out there are in the market to buy or you’re investors and you’re wondering what’s going to happen. Like if I get a house, what’s going to happen? What’s the forecast?
So there’s this debate going on in the Las Vegas area amongst realtors and other people about the shortage of inventory of houses that we have and what that is going to cost.
So here is sort of my forecast. We have a number of legislative things that the state has either done, AB284 or is doing SB321 which are making it harder for banks to foreclose and we know we have this amount of inventory that should get pushed out into the open market. It’s tied up. It’s tied up with people living in them or not living in them and not paying mortgage on them.
So there’s some frustration here about that locally because it screwed up the market and right now the problem is prices are going up again and there’s this fear that these houses will flood the market.
It does not appear that that’s going to happen. They’ve been talking about this for a while, about the tsunami. I first heard that term in 2009. The tsunami of properties was going to come. There was this building wall of properties and it hasn’t happen. It’s not going to happen.
The tsunami is going to take 10 years probably. You get all these properties out. There’s going to be loan mods. There’s going to be refis. Prices are going to increase as some of the people are going to be saved because now they’re not upside down and now it makes sense to do stuff.
The forecast really short term is more of the same. Shortage in inventory, rising prices, and then will see in a year or two if the defaults explode. But with this new senate bill 321, there’s a chance that won’t happen because it’s a homeowner’s bill of rights for Nevada.
It’s very possible that the houses will not be flooding the market because it would be even harder for the banks to foreclose. They will be more incentivized to do workouts and things.
So anyway, that’s sort of my personal forecast for the Las Vegas real estate market, what we’re seeing here locally on the ground. That is my update for today and hope to see you on another video. Thanks.