The Greater Las Vegas real estate market continues to move with the intensity of the Stanley Cup Playoffs! Closed units soared again this month to set the stage for an interesting spring and summer while putting some pressure on all of us to take more listings even as demand is heating up. Then take note of the Hi-Rise and Luxury market segments in the charts below.
Las Vegas Market – April Moves
Don’t be fooled by the 3%+ increase in market values. All areas except Henderson and the Southwest experienced increases. Henderson was off by over 1% from last month. The closed units are real and continue to be fueled by higher price point sales and a mounting comeback for high rise sales. There’s only 2.7 months of inventory, but only about 30% of that is priced right – so there’s only about 2-3 weeks of marketable inventory. Basically a home comes on the market properly priced and is in escrow within 30 days – or it comes on well overpriced and takes 300 days to get into escrow. Financing is on the rise even with tougher underwriting standards.
April was a continuation of the robust market performance that began last month. Closed sales for April 5.2% better than April 2014 and at this current pace we are on track to outperform 2014. The median sales price of an SFR jumped 3.7% to $212,500, while the average price improved to $257,665.
Brisk April sales coupled with an overall lower inventory leaves Greater Las Vegas with only 2.7 months of SFR inventory and 3.4 months on Condo/Townhome inventory. But keep in mind that an estimated 70% of all listings are over priced. If so, then there only about 3 weeks of actual marketable SFR inventory.
Las Vegas Market Overpricing