Nevada Real Estate >> Las Vegas Real Estate Specialist: December 2006

Out with the old - in with the new! The state bird is the crane and not the feathered variety!

The Las Vegas Valley is running out of land so there is a new trend for housing (besides patio and apartment to condo conversions)

We are trending towards Vertical Living or "Manhattanization".

We are saying our bittersweet goodbyes to many "vintage properties" to be replaced by mega mega resorts. Not to be confused with mega resorts because those will soon be dwarfed! Vegas has done very well with anticipation of growth but I am a bit concerned about too much growth too quick at the present time.

We do have some issues with incoming transportation which leads to the next type of building we are seeing: Condotels or hybrid hotel/condos. This is the mega resort's answer to transferring some of the risk to private owners.

Another type of hybrid highrise we are seeing is the all-in-one type of property: work, shop, dine and live. They are also considered "mixed use" or "urban living". The District at Green Valley Ranch (listings - rentals) is one example. In my opinion the recent trend for these mixed use properties started with Turnberry Place (listings - rentals)

There have been many promised high rises that have not materialized. This site provides a good snapshot on what is proposed, under construction and completed.

It will be interesting to watch the skyline change and constantly reinvent itself as it always has!

David Gibbons left this tidbit on an old blog of mine (Zillow Beta Bites):

I have read Christine's post. After reviewing the feedback of many thousands of Zillow users, I am convinced that consumers get it -- they understand that just like Kelly Blue Book has never seen your car, Zillow has never visited your home --so. a Zestimate is only a starting point, useful for research purposes but in no way a substitute for an opinion of value from by a local expert who has visited the house and others like it.

I do have a couple of issues with Zillow giving real estate advise when it is not an actual licensee. Here in Nevada, unlicensed assistants and receptionists are not allowed to give any MLS information out when someone inquires about a listing. It is against the law.

I would love for others to ask questions/give concerns of David in this forum. Maybe other people here did not realize that David was around doing Z'Damage Control and promoting Zillow :) He has been very fair and answers questions and concerns about his site very politely.

My main concerns are:

• Zillow is acting as a licensee, giving advise about real estate values. I see this as a lawsuit waiting to happen when someone undersells their home in an upswing, using severely outdated sale records
• Zillow Wiki gives advise on Purchase Agreements and everything else concerning the transaction. While the advise is vague in the most vague way it can get. It should list links to all state laws/legislation. This information is NOT one size fits all. Different states require different forms. I don't even see anything on federal required forms such as Lead Based Paint Disclosure. Just a little vague blurb about disclosures.
• Zillow claims to be licensed in some states but does not point out which states. I wonder if they carry E & O for implied agency.
• Working with buyers and sellers all of the time I am not sure that "consumers get it", as David pointed out in the italics above. You can never assume that "consumers get it" and I don't see any disclosures that point out that they should "get it" before they "use it".

Please post your questions for David here. And I thank David for his time. I hope you do not think that I am too harsh on you David! We would also love to hear about your future plans/intentions for your company. Do you plan on becoming a lead generation company?

Has new trends and products in your market thrown a wrench in Average and Median Prices?

What I mean by this is that Las Vegas has several new trends in their resale market:  condo conversions and patio homes.  The highrises have not yet had an impact on our resale statistics - and probably will not for another 2-3 years.

Las Vegas has a land scarcity issue which has forced builders to get creative and build a little differently. 

• Condo conversions (apartment complexes converted to condominiums).  Over 14000 apartments were converted to condominiums in 2004 & 2005.  This introduces a twist to our resale market that did not exist prior. 
• Patio Homes.  A patio home is on a very small lot, sometimes sharing driveways and sideyards.  These started popping up like crazy in 2003/2004.

Both of these styles of homes have produced "affordable housing" in our market which I think has had a direct impact on median and average prices as of late as we are seeing these new products enter the resale market.  They are also appealing to many types of buyers which is the reason why the below $250K priced market remains hot:  entry level (inexpensive), retiring boomers (inexpensive and low maintanence), vacation & second property owners(inexpensive and low maintenance), investors (inexpensive).  Many of these neighborhoods are gated which gives the homeowner a sense of security whether false or not.

We will soon see the single family residence on a decent sized lot disappear from the new construction market in the valley as the land disappears faster than money on a blackjack table.

What's going on with trends/products in your market?

Remember the days of long distance "slamming".  A long distance company would call you and switch your service to their expensive service?

Well, the crooks have gotten creative.  Now they are slamming our cell bills with data services that we NEVER signed up for. 

What to watch out for:

Odd & unsolicited text/data messages.  That is your first telltale sign that you have been "slammed".  If you are receiving those messages here is the action plan:

• Check your next cell bill very CAREFULLY, they bury the charges.  We have four phones with a bill never less than 30 pages.  You have to look line by line.  Sometimes they won't start billing you for two or three months so check it carefully EVERY MONTH.
• Text the word "stop" back when you receive those text messages
• Raise cain with your cell phone provider.  They will non-chalantly proclaim that the services are billed by a third party and they cannot do anything about it.  They can and did when I threatened to take my $200/month 6 year business away and switch to another provider.
• They will give you the information and tell you to "google" the 3rd party.  Do so but odds are you will run into NO addresses and a long distance number that just has a menu that loops into nothing
• File a complaint with your state's attorney general's office.  This takes time but it is important to STOP these people NOW!
• File a complaint with the FTC.  Again:  this takes time but the more people who file complaints, the louder our voices are to get this stopped. 

I have been slammed TWICE this year on two different phone lines.  We need to take action and stop the insanity of cell phone providers providing a gateway to con artists.  The first time it was on my daughter's line and they (my phone provider - CINGULAR) said she subscribed to something when she swore up and down she didn't.  This time it is on my phone and I KNOW that I did not subscribe to ANYTHING.

Get a piece of chewing gum - no make that two or three pieces. I want to effectively demonstrate what a bubble implosion is. OK - chew, chew, chew. Blow the biggest bubble until it explodes. OK, good: that is what the media is describing in regards to "overheated, overvalued" markets - a bubble EXPLOSION.

Now don't spit out that chewing gum just yet...................

Blow a large bubble that doesn't pop, stick your finger in the middle of that bubble (disclaimer: have peanut butter handy and tie your hair just in case something goes wrong). Don't stick your finger in so hard that it pops but look at what happens: The middle deflates and the outer edges get wider.

And this relates to real estate how?

The bubble implosion! I have been saying this for years since Chicken Little, Henny Penny, Cocky Locky and Goosey Poosey got suckered into the fox's den by foxy woxy (the media).

The real future of real estate trends (prices to desirable housing styles) matters when you look at little things like migration trends (census release today!) and job growth. Undervalued reports look at things like real wages vs housing costs. Real wages DO NOT apply to ALL markets - see my blog about this!

What is happening is that the midwest and northeast are losing their population and they are moving to many of these "overvalued markets set to burst".

I still don't get it..............

Many of the markets that are losing population or have stagnant growth will find themselves with an oversupply of homes which has a direct (long term) effect on pricing and appreciation and in fact can cause depreciation. Many of these markets did NOT experience sharp appreciation during the boom years.

Why depreciation in the midwest?

Let's profile the buyers of 2004-2005. First time buyers found their dream, Foreigners took advantage of the deflated dollar, Investors took advantage of the flip, Buyers of Second Homes/Vacation properties, Boomers took advantage of LOW RATES to buy their retirement homes. Boomers are eventually going to sell their primaries and there is more than likely going to be an oversupply of inventory in the midwest. Thus, the implosion.

Now I would like to explain that I am not an alarmist, I am a realist. The boomers will be leaving in small increments, here and there over the next decade - UNLESS - we see a quick strengthening to the economy and a bubble in the stock market that grows their retirement portfolios quickly. Then - I would be worried about the mass exodus.

The economic implications:

• Too much housing inventory all at once can cause housing depreciation and in return could bankrupt many in the related industries
• Little job growth because large employers need to go where the skilled and trained people are
• Smaller local tax base which could result in an increased burden (ie tax increases)

The political implications:

• Political shifts in power - loss of electoral votes, loss of congressional seats
• Don't believe me? It's already happening - even though congressional seats and electoral votes will not readjust until 2010 - Pay attention on what states are receiving 2008 election political attention - not mega states - not New Hampshire but the states that are growing quickly in the census data released today. Politicians are all of a sudden caring about states that they never gave a rat's patootie about before.

We need slow stabilization of all real estate markets, the economy and stock markets so the implosion does not occur as I describe. The midwest needs to attract good, quality businesses to attract a younger generation to replace the retiring boomers.

We also need the king's dogs (us) to distract Foxy Woxy (the media) and set the record straight about the truth of the current real estate market.

Thank you Adam Tarr and Sharon Kotula for the AM inspiration!

There is a huge disparity between renting and a mortgage payment in Las Vegas. Las Vegas did not have this disparity until our 2004 "boom".

Let me give a couple of examples on what is happening in our rental market. When we moved into our present home in 2002 fair market rent hovered around $1200/month. Now, with a pool, fair market rent tops $2000. More than enough to pay our mortgage. My mother in law rents an apartment. Since she moved in back in 2004, rent has climbed 10%.

Why is this?

Supply: There were around 7000 condo conversions since 2004 and they are not being replaced quick enough. Individual investors who were around prior to 2004 have dumped their inventory. Our rental market fluctuates between a one to one and a half month supply. Land is at a premium and it isn't cost effective to build more high density rental housing units.

Demand: We still have about 7K incoming residents per month with about 2K outgoing. If they don't have suitable means to buy or live with a relative/friend, they mostly rent. We are also seeing many potential buyers sitting on the sidelines "waiting" for prices to go down: which ain't happenin' to the degree they wish it will happen.

What I am observing in the rental market is the gap is closing between the disparity of paying rent vs buying a home and paying a mortgage. I think the gap will close in the next couple of years, along with our resale inventory problem. Builders are pulling residential building permits at decade-plus lows. Depending on 2007 economic conditions staying stable/getting even better, this should wipe out our resale inventory problem. This could happen VIRTUALLY overnight just like our oversupply of today and our undersupply of 2004.

The sideline renters could be stranded in a rental "holding pattern" and back to wishing of the days of yore (right now), where buyer's incentives were being thrown out a dime a dozen. I am also seeing builder incentives slowly disappearing.

The builders have a bottom line and they are going to be major players in this game. I hope I am right about my predictions. 2007 will prove to be a turning point for real estate in Las Vegas.

I would really love to see other opinions especially from NV agents!

Las Vegas, NV Forecast Center Tuesday, December 19, 2006 [ English | Metric ] Currently At 5:37AM [ More ] 32°F RealFeel® 35°F Winds: CLM
at 0mph Lgt.snow/fog Humidity: 100%
Dew Point: 32° F Pressure: 30.17 in
Visibility: 2 Miles

Did you know it snows in Las Vegas?  It does about once a year.  I woke up early this morning with a pleasant surprise!  The kids have been anticipating it as we didn't receive our "annual snow" last year.  The one we had the year before more than made up for it though.  In March 2005 we had 5-6 inches.

It normally happens on the outer western edges of the valley (where we are) in the dead of the night (5 AM here!)  Usually it just sticks to the plants.  My palm tree is modeling right now.  We don't normally have to deal with it hanging around and the ground is usually too warm so we don't have to worry about driving in it. 

I think I lost my palm tree this year due to being under freezing 5 nights in a row right after Thanksgiving :(

This will make perfect ski/snowboard powder up at Mount Charleston or sledding powder up at Red Rock Canyon for all the kids out on winter break.  Guess my plans are changed for the day!

I just wanted to share since I saw a bunch of people share their first snow of the season back in November :)

Part 2 in a series of blogs about off strip life in Las Vegas, Nevada. 

Many people don't even realize that beyond the strip lies vast culture, history and beauty in the city and desert that surrounds the Las Vegas Strip (Gambling District).  They never make it beyond the glitzy lights, gaming, restaurants, shopping, nightclubs and shows that are on the strip.

Las Vegas is the perfect city for those that love to shop till you drop!  Here are some of the best shopping off strip Las Vegas:

Galleria at Sunset Mall:  1300 West Sunset Road       •       Henderson,NV 89014       •       (702) 434-0202

Located on the corner of Sunset and Stephanie the Galleria is anchored by:

• Dillard's
• Mervyn's
• JC Penney's

The corner this mall is on is surrounded by more great shopping and restaurants.  This area is a definite day trip for the hard core shopper!

Meadows Mall:  4300 Meadows Lane, Las Vegas, Nevada 89107 702-878-3331

Located south of the 95 between Valley View & Decatur, the Meadows is anchored by:

• Dillard's
• JC Penney's
• Sears
• Macy's

Boulevard Mall:  3528 South Maryland Parkway, Las Vegas, Nevada  89169  702-732-8949

Located near the strip The Boulevard features over 150 shops, services & eateries and is anchored by:

• Dillard's
• JC Penney's
• Sears
• Macy's

Las Vegas Premium Outlets:  875 South Grand Central Parkway, Las Vegas, Nevada  89106  702-474-7500

This is also located near the strip.  Open air outlet shopping!  This is one of my personal favorites.  Over 120 outlet stores.

Las Vegas Outlet Center:  7400 Las Vegas Boulevard South, Las Vegas, Nevada  89123  702-896-5599

If the weather isn't cooperating then go to the indoor Las Vegas Outlet Center.  It features over 130 stores!

Boca Park:  Boca Park is not a mall but rather a shopping area.  It is located at the cross streets of Rampart & Charleston and features many high end boutiques, restaurants, department stores along with two casinos (Suncoast & Glamorous JWMarriott/Rampart) right down the road. 

The largest Pier 1 in the world is located on the southest corner.  This is a highly recommended day trip! 

 It is unbelievable that in 2000 that this area was all desert! They are now building luxury high rise condos in the vicinity:  One Queensridge Place. 

The District at Green Valley Ranch:  215/Green Valley Parkway

This is a quaint, unique, NY urban style blend of shopping, restaurants, offices and lofts.  

A favorite of dog owners as many restaurants allow people to bring their fur babies and eat on the patio.  That visit wouldn't end without a visit to Flea-bags Barkery & Bowtique!

Green Valley Ranch Station Casino is located on the East end of The District. 

It is a very classy, ritzy area to gamble, eat, shop, work and live!

I am the oldest of my parent's four children. I have a brother, 13 months younger than me and two sisters 12 & 15 years younger than me. I have the most bizarre relationship with them stuck somewhere between their sissy and their mommy - which I hated in high school when I was stuck babysitting them but now I treasure that relationship like none other in the world. OK, well maybe my own kids and my marriage.

The "older" sister and her husband visited us during Thanksgiving time. We had such a good time on that PLANNED trip. I had everything swept aside, the house cleaned, Thanksgiving dinner prepped. It was great to have a family member out here helping me cook.

Then she left and the day long depression set in. I always get depressed when my babies leave me!

We decorated the tree and the home for Christmas and we were set for our next guests to come in town - A friend last weekend and my other sister's fiance on Monday and my husband's family for Christmas. I switched brokerages last Friday so this last week was going to be "hell week".

On Monday I ran around and ran around and got a ton of things done. My husband went to the airport to pick up my sister's fiance. He was going to come over for dinner and then we would drop him off at his hotel and we would see him here and there because he was here for a seminar - therefore he was going to keep busy!

I was freezing and tired so I decided to just crawl in bed to shut my eyes and warm up for a half an hour.

My husband ran into my room shortly after, "HEY RENEE, come down, Kyle has a present for you!" I had JUST dozed off so I said "Is Shellie Here?" He said no and I asked for another 15 minutes just to wake up. The next thing I know, my baby sister is jumping on my bed and we are instantly pillow fighting. She was SUPPOSEDLY having finals this week and that was her excuse for not coming out.

So, in a nutshell, I had to rearrange my schedule and put a ton of things off until today. Today is my "hell day" which I have basically been trying to squeeze in everything that I was supposed to do last week - in one day!

Would I trade my baby sister's visit for less chaos in my life? Nope! It made me sit back and relax and enjoy this season and treasure my favorite Christmas present so far - My baby sister's surprise! She went through just as much drama rearranging her schedule of finals week to do this for me!

To me, the finer things in life are not wrapped up. They are the times I spend with the ones I love, thank you Shellie (and Nicole)!

Alright, breaktime is over - gotta go back to cleaning, organizing and freaking out so I can watch the KC/SD game!

This is the first of a series of off Las Vegas Boulevard (The Strip) activities inspired by Jeff Belonger's Philly Blogs.

Many people don't even realize that beyond the strip lies vast culture, history and beauty in the city and desert that surrounds the Las Vegas Strip (Gambling District).  They never make it beyond the glitzy lights, gaming, restaurants, shopping, nightclubs and shows that are on the strip.

Las Vegas is surrounded by areas that make the perfect home to the outdoor enthusiast.  Love camping, hiking (maps), climbing, rafting, boating, fishing and skiing/snowboarding?  Yes, snow sports too!  Believe it or not they exist within a "stone's throw" of this amazing city!

Before you go off and explore in the desert you must be properly equipped:  Check weather forecast so you can dress appropriately for warm or cool weather, bring lots of water, wear proper shoes if hiking or climbing and be cautious.  It is easy to get lost in the desert or fall off of rocks if you perform an activity that you are not accustomed to. 

Lake Mead Recreation Area:  This is a reservoir created by Hoover Dam on the Colorado River. There is so much to do here:  camping,  hiking, climbing, boating, jet ski, fishing, etc!  Travel time (1-2 hours) depends on which area of Lake Mead you would like to reach. 

• There are 5 campgrounds and fees are $10 per site - more camping information here.
• There are 4 marinas.  Bring your own boat, take a cruise on a riverboat, rent a fishing boat, pontoon or houseboat!  Advance reservations area advised.

Lake mead also offers:  backcountry, biking, canoe and kayaking, fishing, hiking, picnicking, scenic driving, scuba diving & swimming.  Click here for more information!  Click here for current fees and park information.

Red Rock Canyon National Conservation Area: This is a favorite among locals for biking and hiking.   It is perhaps the best kept Las Vegas secret and is located a short drive up Charleston Blvd.  I would say a 30-45 minute drive under normal traffic conditions. 

This 197,000 acre area provides a 13-mile scenic drive, more than 30 miles of hiking trails & picnic areas.

Pets are allowed but they must be leashed and are not allowed in buildings.

Red Rock Canyon is a National Park so you will be subject to national park fees and regulations.

Mt Charleston/Las Vegas Ski and Snowboard Resort/Toiyabe National Forest:  This is a perfect retreat from summer heat for campers and hikers.  Average temperatures are about 20-30 degrees below Las Vegas temperatures. 

Want to ski or enjoy snow sports?  Kyle Canyon/Las Vegas Ski & Snowboard Resort is where it is at! 

This is only about an hour's drive from the strip.  I was so amazed at the rocky mountain-like beauty of the Toiyabe National Forest when I first discovered this area several years after I moved here.  Whenever I need a "snow fix" this is where I go in the winter.  There is some great sledding when the powder is fresh.  Less than an hour away yet I don't have to deal with shoveling and driving in the stuff in the Las Vegas valley!

If you do venture up to Mt Charleston/Kyle Canyon in the winter be prepared because if winter driving conditions are present you will be required to either have a 4 WD or chains on your tires.

Mt Charleston Lodge is a great quick getaway for a MAJOR change of scenery for Las Vegas locals.  Mt Charleston Lodge features dining and a Saturday/Sunday craft show from spring to fall.

Valley of Fire:  The Valley of Fire is situated just north of Lake Mead Recreation Area and South of Zion National Park.  This is a very beautiful park and scenic drive.  It is rich in ancient history with petrified wood and Indian petroglyphs.  The Valley of Fire offers camping, hiking,  historic sites and a scenic drive.  The camping sites are first come, first served so our family has never been able to beat the rush and get a site.  Lake Mead camping is right around the corner at Willow Beach. 

Wilbur & Theresa Faiss Middle School is expected to open August 2007.

The new middle school is located at the cross streets of Fort Apache & Maule.

This picture was taken from my balcony on December 11, 2006:

When you drive along the north side of the building (Maule Street) it definitely appears to be larger than most of the middle schools I have seen in Las Vegas!

I hear that concern from outsiders all of the time. I saw the question being asked in a blog written by Jay and Francy Thompson.

Actually this is a myth. There is an abundance of water in the barren Nevada desert ground in the form of aquifers. Fortunately there are many studies about the quality of the groundwater, being conducted right now! Unfortunately, Mining may (or may not) have tainted some of these aquifers with mercury or lead.

The Colorado Compact has also limited Nevada's use of Colorado water. Like a good double edged swored, the Colorado Compact both screwed the barren state of Nevada of it's water resources yet turned around and built Las Vegas to the gambling mecca it is today - with the building of Hoover Dam and bringing the railroad in.

One must always keep in mind that sensationalism always sells in the media.

When I go back home (Nebraska) people always ask about our water problem like we are going thirsty or something. There's no water, what are they going to do? The bottom line is that there is water and they are doing something about it. Let me say this one more time: The USGS is conducting extensive studies in regards to our extensive aquifer system, the quality of water and the geological effect of pumping that water out for public usuage.

We are recovering from a western drought. The Las Vegas Valley Water District has tight watering restrictions and the unaware homeowner can be slapped with a fine by (what I call) the water cops. Many responsible business owners have shut down or are shipping water in for their fountains & pools. Until we see Lake Mead full to the brim again, conservation and awareness is key!

Are we going thirsty? Nope! Will we go thirsty? Nope! Why? Nevada with their 4 electoral votes weren't paid much attention to until they got a whole whopping 5 electoral votes in 2001. Just wait for 2011 when we gain more electoral votes. They know, they are anticipating, that is why they are doing all the research now. They won't let us dry out!

The much anticipated Rhodes Family Park is finally on the drawing board at Clark County, Nevada Parks and Recreation Planning Division!

The 27 acre park will be between El Capitan -> Quarterhorse & Arby -> Maule.

The park will feature the following amenities:

• picnic areas
• disc golf course
• basketball courts
• baseball fields
• water spray playground
• children's play areas
• open turf area
• perimeter walking trail
• restrooms
• parking

For More Information:

• Clark County Parks & Recreation
• Rhodes Family Park Master Plan

All the Best,

Down the 6th month in a row and this is a 12 PLUS year low!

This is INCREDIBLE news for our resale market!  Let's just hope economic conditions & interest rates remain fairly stable.

Search for your new construction home and get incentives (while they are still here!)

OK Las Vegas market watchers, do you think we may be headed towards another 2004?

I think inventory will be reducing quickly by summer and hopefully see some decent (but not quite 2004) appreciation towards the end of 2007.  Economic conditions and interest rates remaining stable of course.

Salestraq is an exceptional new home search tool!  It is available in Las Vegas, NV, Palm Springs, CA, Albuquerque, NM and Phoenix, AZ. 

It is definitely the MLS for new construction.  It contains floor plans, contact information for models and sometimes current incentives.  Of course, a phone call will get you the most current pricing and incentives.

I usually go to the training courses every other month because they not only teach  you how to use this phenomenal tool, but they give recent trends and statistics in new construction.

It is a another free great way to stay on top of your market!

Here is the training schedule for Las Vegas.

Nevada state legislation (NRS 115) protects your property's equity up to $350,000 against a writ of execution (forced sale) from certain judgments such as:  unpaid medical bills, credit card debts and accidents.  The website states it protects against bankruptcy but with the new federal bankruptcy laws in 2005, I would definitely check with your lawyer before assuming your home is protected.  It would not protect you in the event of any type of mortgage default, tax liens, IRS liens, mechanic liens, child support or alimony payments.

See the county assessor's website for detailed information, your tax records and forms. 

NRS 115 is one of the best equity protection laws in the nation:

• The property must be owner occupied
• The fee is $14.00.  If you go outside of their margins it is an extra $25
• You must fill out the form with black ink
• You must get the form notorized
• You can either mail the form in or carry it to the assessor/recorder's office

In January 2007, We plan on holding a "Homestead Exemption" workshop with a Notary Public and a CPA/Attorney in order to help you get your forms filled out properly.  If you are interested in the workshop, you can either bookmark this page or sign up for my newsletter and we will let you know of a date once we get it organized!  Since I am not an attorney, I will not be able to answer questions and help you fill out the form. 

http://www.reneeburrows.com/