After some record-breaking sales in July and August, home sales in Las Vegas became more stable in September according to statistics released by the Greater Las Vegas Association of Realtors.
Median prices for single-family homes hit $200,000 for the first time since 2008 in August. Although there were fewer cash buyers in September, the market held steady and the median price pushed to $202,500, up 1.3 percent from a month ago and up 12.5 from one year ago. Condominiums and townhomes sold in September were priced at $104,250 which was down 0.7 percent from the previous month and up 9.7 percent from a year ago.
Good Time for Buyers: GLVAR President Heidi Kasama commented on the agency’s website that it’s a good time to enter the market because buyers have more homes and low mortgage interest rates to choose from. She said that inventory levels are slightly increasing while price increases stabilize.
Historically the GLVAR’s median home price was at its peak in 2006 with $315,000. In January of 2012 family home prices were at $118,000 for the median price. For September of this year, the total number of homes, condominiums, and townhomes sold for Las Vegas was 2,982. That number was down in August from 3,120 homes and down from 3,259 homes a year ago.
A steep drop in investor spending was reflected from the fact that 34 percent of homes sold in September were paid in cash. While investors step back, more homes are being left on the market. By the end of September there were almost 8,200 houses without offers. That number is almost 30 percent up from a year ago.
Short Sales Declining: For the year so far, short sales have been declining partly because of uncertainty over a vote on the Mortgage Forgiveness Debt Relief Act of 2007 that expired in 2013. If the law is not extended and Congress does not make it retroactive there will be a significant tax hit for those who conducted short sales. A short sale occurs when a home is sold for less than the current owner owes on the mortgage.