Congratulations to my good friend – J. C. Melvin. This year alone J. C. developed material and content for an invaluable new Leadership program created and launched by CEO Nelson Janes for the Greater Las Vegas Association of REALTORS. J. C. ran the first program which was highly successful. The graduates of this first class had nothing but the highest praise for the education and experience they received from the program thanks to these two gentlemen.
Overview of Both Markets
Both markets remain generally soft on prices as we begin the last quarter of 2014. AZ markets. Both markets have closed fewer units overall in 2014 than in 2013 at this same time. However, the “fewer” units represent closings at the lower end of the market only. The market above $225,000 or so has actually enjoyed more closings than last year. Here’s a comparison of closed units by price point for both October 2012 and October 2014 so we can see exactly what that looks like in Las Vegas.
The October 2014 chart includes high rise units, but even with that – it’s easy to see how the mid-range and upper range price points have improved while the lower end has declined. So what does this mean? Simply, if your are a sales executive with and average closed sales price above $225,000 or so – you should expect that your number of closed units in 2014 will exceed your 2013 production.
The Current Las Vegas Market
Closed sales for Year-To-Date 2014 remain 11% behind last year as we enter into November. The median sales price of an SFR leveled out at $199,000, while the average price settled in at $237,509. In general, 2014 is looking remarkable like 2003. More interesting is that the fact that the average closed sales price of an SFR for October 2014 is only 4% higher than in October 2003.
More than ever – Greater Las Vegas enjoys numerous “micro climates” when it comes to market appreciation or depreciation. This epitomizes the notion that “all real estate is local”! Very local when evaluating Greater Las Vegas market pricing. Avoid over pricing your next listing!
The Phoenix Market is now made up of 90% non-distressed sales – as was stated earlier. In turn, this has greatly improved the financing situation as seen below. Closed sales prices continue to drift sideways with the current median sales price of a single family detached home being $208,000 and the average sales price is $267,119. Closed units for 2014 are running 12% behind 2013 year to date. There is a 3.4 months supply of inventory at present.