We have seen the Las Vegas, NV high rise real estate market as a challenged market with an abundance of resale inventory. For several reasons:
- Too many speculators in that market. They want to close n flip. They are not interested in holding, renting or living in them. Each time a building closes, we see an increase of inventory.
- Mortgage market madness has reduced the amount of loan products available to jumbo, second, vacation or investor type property owners. The ones who have very little money down and marginal credit, that is. So the buyer pool for both resales and new went kaput. Loud and hard too.
Here are the high rise stats:
Rentals:
- 299 Listed 7/3/2008
- 18 Under Contract 7/3/2008
- 68 Leased 5/25-6/25/2008
- 4.4 Months Inventory
Resales:
- 826 Listed 7/3/2008
- 55 Under Contract 7/3/2008
- 12 Closed 5/25-6/25/2008
- 68.8 Months Inventory (=5.7 years)
Rental inventory has been slowly decreasing month to month. Resale inventory has doubled in last month. Read last month's report here.
There has been a noticed rise in foreclosures & bank owned listings at Manhattan South. List prices for those are about 50-65% of what the original owners paid for them! Manhattan South is located on Las Vegas Blvd South across the street from South Point Hotel & Casino but off strip and is a mid rise community. It is also involved w/ construction defect litigation lawsuit so expect further financing challenges with this property.
We are also seeing a noticeable rise in foreclosures in Soho as adjustable loans adjust. Soho is located in the Arts district between the strip and downtown.
If you are thinking about buying or renting a high rise condominimum in the Las Vegas area, please call 702-966-2494. Press 1 if you are a buyer or press 2 if you are a renter.
Renee - sounds like a challenging, and changing market. Are rents going up? Looks like you have a good hadnel on what is going on, so both renters and uyers are coming to the right person.
Jeff
Renee - Great job on this report. Anyone reading can tell you truly are the local expert for your area.
By the way, did you know Adam Waldman started a new group for Market Reports ?
Renee, I love your graphs. One of these days, I'm going to take more time and do one for our area. I always love the picture of what is happening in our market rather than just words...;-)
Today, we have just over 52,000 active listings.....;-)
Renee...GREAT post! We have been lucky NOT to have the huge drop in values you have experienced, but we've got 3 condo buildings right in Midtown Atlanta that are at 17, 20 and 30% sold! The 20 and 30% buildings are around 380 units. The 20% has not started closing yet, the 30% has had 51 closings and they started this month.....the 17% building is still under construction. THEN, in another area of Atlanta, a develper is getting ready to turn AN ENTIRE BUILDING INTO LUXURY RENTALS! There is 80 units, and they only have contracts for 11 of them! UGH!
And yes, I love your graphs also! Great post! We Shall prevail!!!
Our 'achilles heel' for this area is condos, most SFR seem to be stabilizing, and mobiles seem to be leveling off as well, but condos still seem to be dropping.