Are house prices going up in Las Vegas?

Are house prices going up in Las Vegas

Hello. Welcome to Todd Miller TV. It’s the end of October here in Las Vegas 2012. And the question I get asked all the time is what’s happening with prices in real estate? So, I just want to give you a quick update.

OK. It’s very difficult and I know you all like to look at national news and local news because they say that prices have gone up 2.3 percent or down 5 percent or whatever. And then have that mean something.

Keep in mind, those are aggregate numbers and they don’t always mean anything specific. I’ll give you example. If you’re buying a house in Las Vegas and you’re wanting to spend 700,000, 800,000 900,000, there’s still softness in that price range because there’s not a lot of demand. For homes, there are a million dollar homes so those prices are still weakening a little bit. So in the high-end, prices are falling a little bit.

Now, anything that makes sense for a rental, so 3 bedrooms, 2 baths, a $100,000, those things are taking off. To give example, we just submitted 53 offers on a property and this is the second time we’ve done that. Just over 50 offers in a few months. It was a 3-bedroom, 2-bath for a $100,000. OK? Those are taking off.

Are house prices going up in Las Vegas?

So it depends on what price point you’re in whether prices are going up or down. If you’re looking for your typical couple hundred thousand dollar house, it’s going to be pretty competitive. OK?

If you get a little more, 300, 400, 500, it gets less competitive. If you’re one of those people coming to town and you say, “Hey, I want to buy a $70,000, $80,000 investment home and get a thousand bucks a month.” Get in line. There are thousands of investors all trying to do the same thing. Their real estate agents are trying to do the same thing. Everybody is trying to get those houses. There’s going to be multiple offers. It’s only going to be cash purchases accepted because why wait for a loan when somebody is going to close in a week in cash.

Are house prices going up in Las Vegas?

So, whether prices are going up in Las Vegas or whether prices are going down in Las Vegas, it all depends on the specific market niche that you’re buying in. And so, when you see the numbers that say, most recently they say they went up but then it’s measuring the medium price went up. So it’s the average house, the price of a median home. So if they’re smaller homes selling that means it goes down. If they’re more higher price home selling that means it goes up.

So just be careful when you see those numbers. I know you’re trying to gather data and decide should I jump in or should I sell or whatever. The best thing that you should do is you need to talk to somebody specifically in the market and say, “Hey, if this is the scenario, what am I looking at?” Because if you’re coming to Vegas and you’re – I get calls every day of one of my $100,000 house or $80,000 house. I tell you what, it’s hard. It’s not a good time just to be able to grab one and get it. It’s going to be a painful process and it’s going to take a lot of time especially if you have an FHA loan. You’re trying to get 3 percent down on financing and a 45-day escrow. It’s probably not going to happen.

So anyway, I just thought I’d share that with you. That’s my update for today and hope to see you on another video. Thanks.

Are house prices going up in Las Vegas?