Las Vegas Real Estate Buyer's Guide

Many In The Biz Believe That Pulte Homes Got It Wrong

2007-01-03T15:57:00.000-08:00

Pulte Homes seems to have put many investors, as well as the Las Vegas real estate market in a bind. Pulte Homes recently announced that they were dropping the prices on their newly constructed homes by 25 percent instead of the previously announced 5 percent.

This has created many headaches for local agents working in the Vegas area. Many of them have been fielding phone calls from potential buyers asking when other newly constructed home prices will fall.

With no other companies following the same path as Pulte Homes, many buyers are trying to wait them out. Local experts are outraged at the move Pulte put on the market.

According to Dennis Smith of Home Builders Research, Pulte had been too aggressive with its pricing and was $60-$80 per square foot above competing product.

Smith also state that, "Many of us thought that they went overboard and failed to realize the consequences of what would happen once the out of state investors left the area".

Smith also points out that Pulte was slow to restrict investor home sales and now is paying the price with new homes that have never been lived in lining the streets and available for sale against other competitors who are also releasing newly built homes.

FBI Investigates Fraud Among Residential And Commercial Real Estate

2006-12-20T20:02:00.000-08:00

The FBI has released a report that they believe the massive expansion into the nationwide real estate market has unleashed a wave of suspected money laundering.

At first they were investigating the mortgage industry, but now they say that is seems to be prevalent in the commercial real estate business as well.

It's no secret that southern Nevada is one of the fastest growing and most lucrative commercial and residential real estate markets in the nation. Special Agent Ted Elder says that this is no surprise; the FBI has been investigating in the area for some time.

Agent Elder says that there is mass residential fraud happening in the area and he believes that if it's happening on the residential side then it is happening on the commercial side as well.

The FBI is focusing local resources on investigating real estate related fraud in the Las Vegas area.

There are multiple investigations currently underway, however the FBI will not comment specifically about ongoing investigations.

Some Are Predicting Trouble For The Housing Industry

2006-12-19T08:24:00.000-08:00

While there is an increase of construction on new homes and apartments, local experts are predicting trouble for the housing industry.

Construction of new homes increased by nearly 7 percent in November; with a seasonally adjusted annual rate of 1.588 million units.

However, for the 10th consecutive month housing application numbers dropped. This is a strong indicator that the housing market is in trouble according to local Las Vegas experts.

With housing applications dropping and the number of permits at all time lows in the area, builders are scratching their heads.

However one doesn't have to look hard for the source of the problem according to Mark Wynne, a local Las Vegas real estate agent. He says the problem is the increase of supplies and construction costs.

According to Wynne when you mix high costs with a buyers market things aren't usually going to go the way many people would like.

Also another problem is energy costs, which were up 6.1 percent in the November survey of wholesale prices.

Natural gas for home use, home heating oil and diesel fuel costs all posted big gains at the wholesale level and are all contributing to the troubles that are besetting the housing industry.

Meritage Homes Master-Planned Community

2006-12-18T17:30:00.000-08:00

New models for a master-planned community are now under construction for Meritage Homes.

Meritage Homes has had the plans for Providence master-planned community in the workings for some time now. The released plans show that the builder's Northern Terrace community will offer 15 different home designs for four villages.

Those villages are Concord, Brookline, and Salem and also include the gated community Andover.

The structural layout shows that the communities will feature one and two story homes with square footage ranging from 1,320 to 2,641. The homes will also range from 3 bedrooms and 2 baths to 6 bedrooms and four baths.

Also included are two and three car garages. Inside the designers have offered home owners a plethora of options including master retreats, dens, bonus rooms, exercise rooms and much, much more.

These newly constructed models have been put on the market for moderate prices.

Pre-model homes will start in the mid $200,000 and prices will increase with amenities.

Unemployment/Inflation Predictions For 2007

2006-12-17T21:19:00.000-08:00

Forecasts are in that the unemployment rate will increase by .2 percent in 2007. The average was estimated at 4.6 percent for this year.

Many say that this slight an increase will not play a major role in the real estate market.

Numbers are expected to decrease for new-home sales, but existing home sales are expected to soar.

Consumer Price Index has predicted that inflation will be down by more than a point next year.

Current numbers for 2006 show inflation at 3.4 percent while numbers for 2007 will look more like 2.3 percent. However inflation adjusted disposable personal income is said to increase by nearly 3 percent next year.

Incentives Play A Big Factor For Many Buyers Looking To Relocate To North Las Vegas

2006-12-16T08:15:00.000-08:00

If you're looking to relocate to North Las Vegas, now may be the time to do it.

Sales Agent Rosie Bennett has announced that William Lyons Homes are offering incentive plans for buyers who will purchase homes under construction at The Cottages at Centennial Ranch.

The incentives will be given to qualified buyers who purchase homes in the gated community of two-story homes.

Bennett says that William Lyon Homes is offering a $28,000 incentive plus appliances. The program will allow buyers who use the builder’s preferred lender to receive funds to use toward closing costs or upgrades.

Qualified buyers will also receive washer, dryer, refrigerator and microwave. Bennett says that certain restrictions apply.

Bennett also says about the incentives, "This is a fantastic opportunity to save a large sum of money on our homes that have been released for sale".

"They will be ready at the end of this month and into early January, so there’s no time to wait".

Move fast because Bennett says that buyers are responding in a big way.

Could The Experts Be Wrong?

2006-12-15T09:03:00.000-08:00

Reports show that US stocks were set for a lower a lower open on Tuesday. This comes after a surge in production level inflation last month.

Markets in Thailand suffered sharp falls and tighter capital controls and many other markets around the world looked soft.

According to market reports the producer price inflation jumped 2 percent last month. This marks the highest rate since November 1974 after falling 1.6 percent in October.

Everything appears to be looking good despite so many predicting market failures and chaos.

Things are similar in the housing market where many experts have predicted that the housing market is in for its worst years and that there is a housing bubble ready to burst any day.

However numbers keep going up and markets keep producing money. Only time will tell where the numbers will take us.

Population Growth

2006-12-14T19:43:00.000-08:00

According to reports released by the Center for Environment & Population, the United States is expected to hit 400 million people shortly before the year 2050.

This is unique among developed countries says the report, that the United States continues to grow rapidly. Currently the population in the U.S. is 300 million legal citizens. With these numbers experts are expecting the number of households to grow by about 113 million by the year 2010.

There are many downsides to having such a hefty population. A few of those are rapid loss of farmland, biodiversity, fresh water shortages, and decreasing open space.

Of course there are also upsides; there will be more opportunities for practitioners with knowledge of energy efficient and sustainable housing techniques.

With a growth like this happening in such a short span of time, there will be many downsides when considering housing woes, but there is always an upside.

Las Vegas Real Estate Looking Forward To 2007

2006-12-13T09:15:00.000-08:00

Many Las Vegas real estate experts are saying that 2007 is going to be a stellar year for the housing market.

Mortgage interest rates are at their all time lows, the housing market is coming off a huge numbers year, and the economy is doing very well.

Also unemployment numbers are at the lowest they have ever been. When all these factors are put together it is a recipe for a successful and record breaking market.

People have jobs, they are spending money, their interest rates are low and consumers can pick and choose which homes they want to spend their money on because the housing market has shifted to a buyer’s market.

US stock reports show that there was a surge in production level inflation just last month. With statistics like these in your corner, it's easy to see why so many are looking to purchase real estate.

Las Vegas real estate should look to have a fantastic year.

Look For Las Vegas Real Estate To Have Another Good Year

2006-12-12T19:24:00.000-08:00

The Greater Las Vegas Association of Realtors reported that there has been a decrease in the number of Las Vegas homes that have been listed since November.

The number of homes that hit the real estate market for sale is usually a good indication of which way the market will go. In the Las Vegas area the number of homes hitting the market continued to climb until recently, and local experts say this is a good thing.

By having the number of people looking to sell their homes decrease, this helps create stability in the market.

Linda Rheinberger, who is President of GLVAR, says that the inventory of homes on the market in the Las Vegas area appears to have peaked, which is a good sign for the local housing market.

Also a good sign for the local market is the continued steady sales prices for single-family homes. When homes prices remain stable, this bolsters the real estate market.

Look for good things to happen in the Las Vegas real estate market in the upcoming year.

Statistics Show That There Is No Housing Bubble In Las Vegas

2006-12-11T21:13:00.000-08:00

Las Vegas home prices, like many parts of the country, have continued to rise strongly. There has been widespread media coverage on the possibility of a housing market bust. However there have not been many statistics to support his theory.

In fact the statistics reveal that there is very little danger of a housing bubble bust. In fact the latest report released by the Research Division of the National Association of Realtors shows that the local housing market is in excellent shape.

It also shows that there is potential for significant housing equity gains. This is potentially huge for homebuyers who plan to remain in their houses for the long run.

However rumors are created fro a reason. The prices in Vegas have risen faster than consumer's incomes; this makes the ration of price-to-income above the historical norm.

Because of this measure, critics and pessimists say there is a housing market bubble. This ration is misleading however. The mortgage servicing is a more relevant way to judge how the market is doing.

When you look at mortgages compared to incomes, there is only a slight increase from those numbers posted in previous years.

This implies that there is no widespread financial overstretching to purchase homes in the Las Vegas region.

Economists Say The Future Looks Good For The Housing Market

2006-12-10T09:23:00.000-08:00

All reports are showing that America is handling the downturns that are plaguing its housing and auto markets.

According to reports released by housing industry leaders and auto maker's numbers are down across the board. It appears as though the economy has a little wobble, but many economists say that the nation will weather the storm.

Economists have said they are expecting the country to go into a period of sub par growth but they feel that by looking at past numbers and the ones that are predicted for the upcoming year things will be okay.

This is stark contrast to doomsdayers who are predicting sharp rises in unemployment and many small businesses losing their confidence.

The Federal Reserve seems to have faith in the economy as well.

They are scheduled to meet this upcoming Tuesday and the central bankers are leaking that they will not change interest rates.

If anything an insider reports, this meeting will be to discuss the resilience of the housing market more than any future recession.

The Future Of Florida Real Estate According To The Numbers

2006-12-09T11:34:00.000-08:00

There is more buzz growing around the Florida real estate market. For the past few years real estate executives have been weary, or cautious about the Florida market.

Over 70 percent of Florida real estate executives think that now is horrible time to try and develop new condos. Half of those also believe that is a bad time to be building new single family homes.

The University of Florida Bergstrom Center for Real Estate Studies conducted a survey that did not produce positive results for those fishing to start new projects in Florida.

The survey asked questions of 183 industry executives in July and then again in October. The poll questioned real estate practitioners of what they thought the prospects were for Florida real estate business.

The percentage of respondents who expected the single family home prices to drop doubled from July to October.

The numbers weren't quite as staggering for condos but the numbers did climb from 38 percent in July to 44 percent in October.

Mortgage Rates Continue To Drop

2006-12-08T23:07:00.000-08:00

Reports have been released that show that mortgages rates are lowering, and lower mortgage rates equal big savings. During 10 of the last 13 weeks mortgage rates have been declining.

Freddie Mac stands besides these figures and says that it is expected with the 30 year fixed rate presently at 6.11 percent and the 15 year fixed rate 5.84 percent.

Going by the numbers buyers looking to purchase homes at the national median $221,300 would be saving almost $14,000 over 30 years.

This could happen by obtaining a mortgage at the current rate, versus the average rate of 6.11 percent for the year.

There has been a decline in fixed borrowing cost which is enabling consumers to refinance out of adjustable-rate mortgages before their payments reset or tap into their home equity.

There Will Be No Slowing Down In Las Vegas

2006-12-07T19:50:00.000-08:00

Statistics show that the Las Vegas housing market has seen tremendous growth throughout the past few years.

That growth is even more evident with homes in Las Vegas appreciating to absurd amounts. Local experts say that the rumors of a bursting housing bubble are just that, rumors.

According to Jack Zahn, local real estate expert, "Other real estate markets may have to worry about a bubble, but the Las Vegas bubble is not where near ready to pop".

Zahn says other housing markets are dealing with increased mortgage interest rates, higher building costs and unstable economies. Las Vegas does not have all of those concerns.

The latest reports show that Las Vegas condos along with multi family homes have been selling at record pace since 2005.

Builders are continuing to see records break as new homes continue to fly off the market as soon as they're place on it.

The luxury high rise condos have sold out within days of offering their preconstruction sales. Things are moving full steam ahead in Las Vegas.

Some Predict A Grim Future For Home Owners In Las Vegas

2006-12-06T05:48:00.000-08:00

The latest report for Las Vegas real estate was released by SalesTraq and it shows that the number of single-family homes for sale through the month of July was 20,273. This is an almost 35 percent increase from this time last year.

The statistics show that July sales fell of nearly 40 percent from the same month a year ago, and finished below 2,000 closings for just the third time in nearly two years.

There have been many reports recently that show evidence of a dying housing boom.

This report was no different. Local resale prices appreciated just 1 percent in July year over year, to $310,000.

Also the Fed's end of rate increases came after there were various reports released that continually showed that the market was slowing down.

SalesTraq administrator Mike Jones said that, "Sales of new homes and existing homes have been falling. Although the median prices are still increasing, the gains have been the smallest in years".

Statistics show that Jones is not far off the mark. A record level of unsold homes is expected to exert even greater pressure on prices in coming months.

There are many concerns about the future of the Las Vegas market, one of them is the concern that the already sizable inventory could worsen as millions of Americans with adjustable rate mortgages, taken out when interest rates were at four decade lows, suddenly find they can’t meet new higher monthly payments.

Salaries Will Determine If The Market Will Stabalize Or Not

2006-12-05T15:44:00.000-08:00

According to Tony Silva of Realty One Group, things are not looking good for the Las Vegas real estate market. Silva says that it's not so much that things aren't looking good as much as it's time for a change.

Silva and others like him are worried that when Las Vegas home prices are no longer such a good deal, what is Las Vegas going to do to ensure that the housing market keeps from slipping into a deeper rut than it is already in.

Local companies are going to have to compete for white-collar workers because they aren't set up to compete or steal people from the Los Angeles job market.

Silva calls mention to a stat that was released by the Greater Las Vegas Association of Realtors which reported that in Las Vegas the total dollar value for home sales in July was $744.8 million which is down 23.5 percent from the previous month and down 35.7 percent from a year ago.

According to Silva, "I think for the market to stabilize her in Vegas we're going to have to see prices drop 8.5 percent this year. Everybody forgets about salaries. You have to see a 4 percent increase in salaries with an 8.5 percent decrease in prices for the economy to balance itself out".

Critics of Silva say that there is nothing to worry about, that the Las Vegas work force will accommodate and recruit enough people to sustain the local market and economy.

SalesTraq Reports, You Decide

2006-12-04T16:23:00.000-08:00

SalesTraq recently reported that there were 2,581 new home closings in October. This number is down 22% from the same month this time last year.

The report shows that this is the fourth straight month of declining sales. In Las Vegas for the year, new home sales aren't too far off from 2005, just missing the mark by a little over 3%.

Local experts say that new home prices are growing based on the high-rise market.

Steve Bottfeld is a real estate consultant with Marketing Solutions and he believes that Las Vegas is near the bottom of its negative cycle. According to Bottfeld the future of Las Vegas is clear.

Bottfeld says, "October is not the end of the buyer’s market in Las Vegas. But October data does tell us that the Las Vegas housing market is much closer to the end of the buyer's market than most people believe".

Many local Las Vegas experts agree with Bottfeld. However there are still a few who think that this looks bleak for the local housing market.

Real Estate By The Numbers

2006-12-03T19:10:00.000-08:00

The total housing inventory level reports show that there was an increase of 1.9% in the total housing inventory levels at the end of October.

There were a total of 3.85 million existing homes for sale which represented a 7.4 month supply at the current sales pace. With this single family homes sales rose to almost 1.5% to an adjusted annual rate of 5.5 million in October.

This is up from 5.43 million in September but is 11% lower than the 6.18 million-unit pace in October of last year. The median existing single-family home price was $221,300 in October which was down 3.4% from the year earlier.

Co-op housing and existing condos sales fell almost 5% to a seasonally adjusted annual rate of 741,000 units in October. This number is significantly lower than the numbers posted in September.

They were also down 14.5% from the 867,000 unit level in October of last year. The median existing condo price was $214,300 in October which is more than 5% lower than the previous year.

Hollywood Moves To Las Vegas

2006-12-02T10:29:00.000-08:00

Las Vegas's new Panorama Towers have become home to quite a list of celebrities.

Pamela Anderson and Toby McGuire topped the list until recently when reports mentioned that Hollywood superstar Leonardo DiCaprio had purchased not one, but two condos in Panorama Towers.

He purchased two adjacent condos which he plans to join to make one super condo. The 33 story high rise was developed by Lawrence Hallier, founder of Taxi tops, a mobile advertising firm.

Also, Andrew Sasson, the proprietor of the Light nightclub chain in Las Vegas and Jet East, a hot spot located in the Hamptons.

The Panorama Towers contains many amenities that will make Hollywood's finest feel like they are still in thier California salons.

The 420 ft. tall tower includes deli, coffee bar, gourmet grocery, bakery with wood-burning pizza oven and a one acre pool.

According to an insider near DiCaprio the combined units, which have eight foot walls of glass, will create a 3,300 square foot apartment.

Aliante's Master Planned Festivities

2006-11-24T16:33:00.000-08:00

Aliante's master-planned community recently hosted its annual "Roll 'N' Rock" at the Nature Discovery Park. The Fundraiser was held and benefited the Family to Family Connection in West Las Vegas.

The Family to Family Connection is a nonprofit organization that offers free services to families of newborn babies and infants up to 4 years old.

The event included many booths and vendors with other activities that ranged from bike safety demonstrations to a 1-mile fun walk.

Music and entertainment was enjoyed by all and was provided by D.J. Tony. There were many other activities including a decorating contest for strollers, bikes and wagons. Prizes were awarded for the best stroller, bike and wagon.

Costs were minimal for such an extravagant event.

Beginning at dusk, residents and visitors were able to view the holiday lights and decorations that were displayed and will continue to be on display throughout the season.

5 Ways To Keep Your Mortgage Rates Affordable

2006-11-19T08:58:00.000-08:00

If you're on the market for a new home here are five tips that will help you obtain the low mortgage rates that you always see on television. One thing you can do to improve your chances is to pay your bills when you get them. Lenders want to know that you are going to make your payments on time month after month.

If your credit history shows that you have a habit of being late or missing payments then you will be considered a bigger risk.

Also making a larger down payment will increase your chances for lower mortgage rates. Lenders have learned that the more money you put down on a house, the less likely it is that you will default. Pay off as much debt as you can. Lenders want to see that you can afford to make all of your current payments and also the new mortgage payment they will put on top of it.

The biggest and most important is to purchase a house that you can truly afford. The rule of thumb is that you should not spend more than about 30% of your income on a house payment. Many lenders will stretch that to 40% or more depending on the rest of your debt. One thing to keep in mind is that the more you borrow and the closer you come to absolute limit of your ability to keep up with your payments, the higher your risk and the higher the rate you will be quoted.

Finally, you should shop around. Get realistic quotes from at least three lenders. If you do these things you should have no problem getting rates you can afford and keeping your house payment under control.

Rumors Of A Softening Market

2006-11-18T19:42:00.000-08:00

These days there seems to be no end to the constant doomsday approach to the Las Vegas real estate market that is moving forward at break neck speeds. However no matter how much good news you see there is always some negative.

There have been new reports that claim that the Las Vegas housing market is softening. If this is the case, than it is very bad news for local consumers.

If the market is softening than there will be more exotic loans used in order for local consumers to purchase homes.

Of course those looking to purchase Las Vegas real estate will not be happy knowing that they will owe more on mortgages than their homes are appraising at.

The report shows that many local homeowners are upside down on their home mortgages. Lenders know they can rely on inexperienced appraisers who base their business on speed and fees.

These factors also cause problems with home equity, which will not be able to be created.

There Is Still Talk Of A Housing Bubble In Las Vegas

2006-11-16T13:44:00.000-08:00

SalesTraq released their third quarter predictions recently. Larry Murphy is president of the Las Vegas real estate research firm and gives his so called crystal ball predictions at local seminars.

Murphy has done what he usually does, which is speak about the Las Vegas housing bubble. Many people disagree that there isn’t a housing bubble but Murphy isn’t one of them.

At his seminar Murphy released streams of data that showed the housing prices in Las Vegas. Murphy’s information showed that local homes prices are rising and will continue to rise throughout the year.

Murphy also report that there is a slight possibility that there could be local housing shortages. Analyzing the information median new home prices in Vegas was $323,000 in September, a 7.7 percent increase when compared with stats from last year.

Existing homes posted 0.4 percent appreciation rate with average prices sitting at $285,000 from the same time last year.

Las Vegas Home Auctions

2006-11-15T15:25:00.000-08:00

If you are in the market for a new Las Vegas home, we have got news for you. Your chances to buy a foreclosed Las Vegas home below market value have recently greatly increased.

On November 19 at the JW Marriot in Las Vegas, Hudson & Marshall will be auctioning off 9 Las Vegas homes valued from $275,000 to $460,000.

Hudson & Marshall are a Dallas based real estate auction company and are not just hosting homes for the Las Vegas area.

There will also be more than 100 homes on the block in the foreclosure-plagued states of Colorado and Nevada.

According to reports rising foreclosure nationwide could translate into a huge opportunity for home buyers in declining real estate markets.