Condos: to buy or not to buy
We've all heard the horror stories of developers promising to build amazing high-rise condos, selling units, collecting earnest money, then pulling out and closing up shop.
There are various reasons for the change of heart. But we all know a developer's true yardstick is his pocketbook. So the bottom line, when a project no longer can make money as proposed, despite how many units have been sold or how much has already been spent on marketing, it's going to be canceled.
That's what happened to Janine Hagg who owns a smoothie shop in the Las Vegas Valley. She purchased a condo, watched as the selling price of similar units increased more than $100,000, then had to deal with the disappointment of a canceled project once construction costs went up 30 percent. She's now part of a lawsuit against the developer to recoup money she would have made if the unit had been built . . . now that will be an interesting case to watch.
You see, while I'm sure a developer would love for everyone to fill-up their pie-in-the-sky high-rise, they're simply not that generous. They can't afford to sell units for less than they're worth.
Having said this, of the condos under construction in the valley, there's still less than 10 percent availability of units. And prices will continue to rise.
So, if you can afford it and want to own a Vegas high-rise condo, there's no time like the present. Just be sure you select a project that's more certain than not and a developer that's more experienced than not.
