The August 2009 numbers are in.  Over the past few years Las Vegas has seen some pretty crazy twists & turns, especially when it comes to the Las Vegas Real Estate Market.

So what is happening now?

Prices have plummeted and unfortunately,  many have lost their homes.  Bank foreclosures (REO’s) have dominated our market.  The percentage of these foreclosures selling is lingering at about 70% of the Valley’s total sales. Amazing.  Why?  Because of the EXTREME VALUES these properties offer.

But, the foreclosures available are dwindling.  Will we see the banks “load up the marketplace” any day now with more of these homes?  In my opinion, probably not.  The banks are smart cookies (or so they like to think ).  If they flood the market with the foreclosures they are currently getting- and have been holding onto- they’re likely to receive less money per property.  What it looks like to me is they are playing the market.  A manipulation of sorts…

Currently, if you want to get a steal on a property in Las Vegas it’s going to take some work.  Multiple, and I mean MULTIPLE (upwards of 10-20),  offers are being placed on homes that are smokin’ hot deals.    I’ve encountered folks who have put offers on 10+ properties before having one accepted.  These homes typically sell ABOVE ASKING PRICE.

The banks sit back and let the offers roll on in…  They know their “auction-like” pricing will typically bring them “auction-like” results.  A feeding frenzy.  The law of supply and demand.

So, if you were Mr. Bank, wouldn’t you keep the supply for these homes (typically those under $150K here in Vegas) low?  Keep the demand high?  Expect a greater return…  Mr. Bank thinks it makes complete sense.  And our monthly numbers continue to show exactly what’s going on in his mind.  We know there are still more foreclosures.  And our industry expects to see even more over the next 12 months.  Will we see those all at once?  Probably not.

So how does a viable buyer, wanting to take advantage of A) Some of the best values the valley has ever seen, B) Interest rates that are close to all time lows, and C) if able to qualify, the $8000 tax credit, go about getting a home today?

The dream of home ownership is still extremely possible.

It’s just a matter of patience and persistance. Having a team of people on your side who understand what your up against.

Yes, there are still foreclosures available.  They aren’t going away for a bit.  Looking at that property that sold 2 years ago for $350,000 and currently is selling for the asking price of $90,000?  Yes, you can expect some competition on that one.  But, looking above $200K and the competition backs off slightly.

Short Sales are still great deals!

Yep, these are work too.  A lot of waiting and a lot of hoping, but I’ve seen many, many happy new homeowners find that taking a little more time paid off for them when they purchased a short sale.  Key here- have a Realtor working with you that COMPLETELY UNDERSTANDS THE PROCESS! It’s also very important that the agent who has the home listed fully understands how to negotiate and ultimately get a short sale through the system.

Traditional Sales

Although traditional sales (seller can sell his/her property at fair market value without selling short) have thinned out because of the dramatic changes in Las Vegas Real Estate values, they are still out there.  This is your best case scenario.  No third party (bank, lender, investor etc.) to call the final shots.

In closing

Our Las Vegas real estate market is interesting, to say the least.  It still amazes me that buyers are still waiting to see what’s to come.  The numbers speak for themselves.  The deals will be around for a while, yes.  But with all of the factors we know about TODAY – low, LOW pricing, outstanding interest rates and FREE MONEY- it just makes sense!

Click HERE to view the August 2009 Las Vegas Real Estate Data Report.

Do you have a Real Estate Question or Thought you’d like to discuss?  I’d love to hear from you!