Las Vegas home prices should continue to rise, firm projects

A “for sale” sign is displayed outside a foreclosed home near Hacienda Avenue and Jones Boulevard on Saturday, Feb. 5, 2011.

Las Vegas-area home prices should continue increasing through the end of the year, a real estate data tracking firm reported Tuesday.

After struggling during the recession with steep price declines, the Las Vegas area saw prices increase 4.7 percent from the first quarter of this year through the second quarter, Clear Capital reported.

The Truckee, Calif., firm said Las Vegas-area prices are expected to rise 9.3 percent by the end of the year.

That ranks Las Vegas No. 3 on the Clear Capital projected price-appreciation list, behind Seattle and Phoenix.

A slowdown in banks putting foreclosed homes on the market helped push Las Vegas-area prices up in June, the Greater Las Vegas Association of Realtors (GLVAR) reported separately.

The Realtors said the median single-family price was $131,785, up 3 percent from $128,000 in May and up 5.9 percent from a year ago. This was the fifth consecutive month that median home prices increased locally, the Realtors said.

They said that with the tightening supply of homes, condominiums and townhomes for sale, sales fell to 3,945 units in June. Single-family home sales fell 5.8 percent from May and 11.4 percent from June 2011, the GLVAR reported.

Nationwide, prices were up 1.7 percent on a quarter-to-quarter basis and are expected to rise another 1.7 percent through the end of the year, Clear Capital said.

“June home price trends provided further evidence that housing has turned the corner, with the momentum of the recovery picking up speed,” Alex Villacorta, director of research and analytics at Clear Capital, said in a statement.

“The current strength in housing fundamentals remains vulnerable to domestic and global economic challenges,” Villacorta cautioned.

Tourism

Share

Previous Discussion:

Discussion 4 comments

Only trusted comments are displayed on this page. Untrusted comments have expired from this story.

  1. Another cruel story inflicted on the citizens of Las Vegas. It will be a very long time before anything comes back considering the powers that be in this town and the state of the economy.

  2. Seriously, how many times am i going to have to read these stories about the housing market that only include the positive facts about the industry???

    "A slowdown in banks putting foreclosed homes on the market helped push Las Vegas-area prices up in June, the Greater Las Vegas Association of Realtors (GLVAR) reported separately."

    - Nobody finds this peculiar? The real question should be how many homes are in default? How many are in technical foreclosure? So the bank is slowing the flow from the dam, that doesn't mean much, just that they are keeping prices inflated.

    ""June home price trends provided further evidence that housing has turned the corner, with the momentum of the recovery picking up speed," Alex Villacorta, director of research and analytics at Clear Capital, said in a statement."

    - Anyone know why June home price trends are showing evidence of this...because its summer. Housing always goes up during summer because of no school. It's the best time for families to move, its a historic pattern!!!!

    ""The current strength in housing fundamentals remains vulnerable to domestic and global economic challenges," Villacorta cautioned."

    - Oh there it is, just a sliver of doubt yet no real information or facts to show why, because that might hurt the housing industry's circlejerk.....

  3. and if you look on Zillow in the same area, most houses are below 100K. Basic tenant of making a sale is to establish product urgency..... i.e., the price will go up so buy now. Or inventory is being reduces which will allow us to raise our prices. Las Vegas contracted, the available jobs also contracted. Now we have enough people to fill current positions, no major expansions on the strip will be completed for 4 more year....we have no industry, so where are these houses going, nowhere.......just the spin doctors making us THINK there is a shortage.

  4. I had a retort from a REALtorfacts... i think was their name. Anyways, they went on to talk about how there isn't a shadow inventory, and generally rebute my first post. However there is plenty of evidence that the banks are actively trying to increase pricing in the market.

    http://www.nakedcapitalism.com/2012/07/r...

    I understand the logic of "everything is coming up roses" by realtors, it's their livelyhood that depends on a rising housing market. I just dislike how we keep being told things are getting better even when the bulk of the data suggests otherwise and predicts a much longer road out of this ditch.