Given the state of the economy and inflation recently, you may have heard some wild rumors that the Las Vegas real estate market is going to crash. I don’t have a crystal ball, but unless something drastic happens, the Las Vegas market is looking stable. Why? There is so much equity in the homes that people already own, for the market to crash, it would take a disaster. So, what’s the market actually doing these days? Let’s start with price points…
Price Points in the Las Vegas Market July 2023
There are so many buyers in the $300,000 to $400,000 range looking for homes right now that there is currently under a one-month supply of those homes available today. Because of the low inventory at that price point, you are looking at multiple offers and limited seller concessions. The low inventory is keeping the competition hot.
To contrast to those numbers, if you are looking at $1 million plus homes, you are looking at a 15-25 month supply. Meaning, you will have your pick in the $1 million and up price point because there are a lot to choose from. Homes are staying on the market for longer in that arena, so you could get more concessions from antsy sellers.
Home Buyers 2023
Right now, we are looking at a strong seller’s market yet again because the inventory all around is low. What does that mean for you as a buyer? Make a plan.
The planning process has always been an integral part of purchasing a home. But now, it is even more important because your money may not go as far as it could have in previous years. You are not going to get a property that is 100% perfect. We want 85% to 90% of that home to be exactly what you want.
Buying a home today looks different than it did 10 or 15 years ago. The planning process matters so you are not left feeling like you missed out on what you really wanted. Sit down. Strategize. And stick to the strategy when hitting the house hunt.
Investors are still Buying
When a market correction or crash happens, investors are often the first ones to pull back. But right now, they are still purchasing and that is good news. They are buying new construction homes. Why? Home builders are providing the right concessions for brand-new homes and at the right prices. Investors are putting in the money because they know that people are still moving to the Las Vegas Valley, and they will need some place to put their families. In other words, Las Vegas is still growing.
We can’t talk about real estate without mentioning interest rates. With the rate of inflation, the rising of interest rates is just going to happen. As inflation gets under control, so should interest rates. Are you ever going to see 2% interest rates again when buying a home? I don’t have a crystal ball… but check out my latest market update to see what I think!
Don’t Wait to Start Your House Hunting Journey
If you are waiting for the perfect time to buy with low-interest rates, the competition will come out in full force. Don’t miss out on buying a home that you are going to love by not preparing ahead of time. If you are thinking of buying or selling in the new 6-12 months, now is the right time to talk to a real estate agent. Watch the July 2023 market update below for the latest on interest rates, new home construction, and home buying tips in 2023.
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