Las Vegas housing market stabilizing despite record-setting growth

By BYRON TEACH

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    LAS VEGAS (KVVU) — The numbers are in and the housing market in Las Vegas is showing signs that things are stabilizing despite setting records in growth.

Las Vegas Realtors released a monthly report showing record-setting numbers in September, however the report showed signs that the market was leveling out a bit.

LVR reported that the median price of existing single-family homes sold in Southern Nevada through its Multiple Listing Service (MLS) during September was $406,500. That continues to move upward from the all-time record of $405,000 set in July. The median home price is up 20.5% from $337,250 one year ago. The median price of local condos and townhomes sold in September was $230,000. That’s also an all-time record and up 17.6% from $195,000 in September of 2020.

“The housing market is starting to stabilize nationwide. This month’s LVR statistics suggest that we may be doing the same here in Southern Nevada,” longtime local realtor and LVR President Aldo Martinez said in a written press release.

“Prices are still increasing, but they’re going up more gradually than in previous months. We may be getting back to the type of seasonal trends we were used to seeing before the pandemic. Local home prices and sales typically peak during the summer and slow down a bit in the fall and winter before rising again in the spring. The pandemic disrupted this pattern last year.”

Rising home prices have surpassed incomes, Martinez said. Buyers are settling for cheaper housing options like condominiums, townhomes and renting. The average price for townhomes and condos in September reached $230,000.

Housing inventory has been an ongoing issue in recent in months. For the eighth month in row, September saw more homes available without offers, the report said.

By the end of September, LVR reported 3,463 single-family homes listed for sale without any sort of offer. That’s down 27.8% from the same time last year. The 628 condos and townhomes listed without offers in September was down 58.8% from one year ago.

LVR reported a total of 4,078 existing local homes, condos and townhomes sold during September. Compared to one year ago, September sales were down 1.9% for homes and up 19.7% for condos and townhomes.

Martinez said homes are selling at a faster paces compared to last year. He said the market will set a new record for homes priced over one million dollars.

During September, LVR reported that 29.1% of all local property sales were purchased with cash. That’s up from 17.9% one year ago. While that percentage has been increasing this year, it’s still below the March 2013 cash buyer peak of 59.5%.

With eviction and foreclosure bans still a factor, the number of so-called distressed sales remains near historically low levels. LVR reported that short sales and foreclosures combined accounted for just 0.4% of all existing local property sales in September. That compares to 1.0% of all sales one year ago, 2.0% of all sales two years ago, 2.5% three years ago and 5.2% four years ago.

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