- Foreclosure/Short Sale Listings (11/15/2011): Total Listings 12175; Short Sales: 5668, 47% of all listings; Bank Owned Listings: 2581, 21% of all listings. Short sale and REO listings consume 68% of total listings
- New Home Sales (October 2011, units sold): 356 Year Change +16.7% (excl condo conversions, highrises)
- New Home Sales (October 2011, median price): $196,000 Year Change -5.8% (excl condo conversions, highrises)
- Existing Home Sales (October 2011, units sold): 3778 Year Change +28.0%
- Existing Home Sales (October 2011, median price): $110,000 Year Change: -7.6%
- New Home Permits (October 2011): 197 Year Change -29.6%
- Rental Rate (MLS Monthly Average September 2011): $1279/month
My analysis: Distressed listings (foreclosures and short sales) are 68% of total listings. Units of homes sold is impressive. Credit markets must be watched as underwriting guidelines continue to tighten. Condos are barely financeable. Inventory stopped it's slow increase in December 2010 and now opportunistic buyers are gobbling up inventory through the summer and this trend seems to be continuing through winter. The rental market is softening due to all the investor/first time buyer combination of activity. This adds more supply and creates less demand. I do believe the rental prices being pressured downward is also causing the resale prices to be pressured downward. Las Vegas is an anomoly to the law of supply & demand, we barely have any inventory yet prices are still declining!
New Residents/Employment Conditions:
- New Residents (September 2011): 5368, Year Change +18.4%
- Total Employment (October 2011): 811,200 Year Change +1.3%
- Unemployment
Rate (October 2011) 13.2%, Year Change -1.6%
My analysis: This sector is FINALLY seeing stabilization thus improvement. It is VERY encouraging to seem these numbers improve - even if slightly! Unemployment rate is still painful however the total employed numbers have remained close to stable for a year. Slight increase with unemployment rate the last two months.
Tourism/Gaming Conditions:
- McCarran Airport Total Passengers (October 2011): 3,553,307 Year Change +8.7%
- Gaming Revenue (October 2011): $733,653,639, Year Change -6.6%
- Visitor Volume (October 2011): 3,540,886, Year Change +4.7%
- Convention Attendance (October 2011): 434,373, Year Change +49.1%
- Hotel/Motel Occupancy (October 2011): 85.7% Year Change +3.6%
My analysis: This sector (tourism) needs to see some serious price corrections before we see a comeback. Corporate credit is not coming back any time soon. It will be hard to get convention attendance back up without corporate credit. Glad to see regular tourists are making their way here with the imbalance of the other numbers to replace the convention attendee numbers. Visitor Volume, Gaming Revenue & Convention Attendance are encouraging and hopefully sustainable.
Sources: Salestraq, Home Builder's Research, Greater Las Vegas Association of Realtors, Nevada State Gaming Control Board, Nevada Department of Motor Vehicles, McCarran International Airport, Las Vegas Convention & Visitor's Authority, Nevada Department of Employment, Training and Rehabilitation. Information deemed reliable but not guaranteed. My analysis is my humble opinion
