Predictions for Las Vegas real estate in 2007
Welcome. Please step-in to the rear of the elevator, face forward and prepare to be lifted.
Our first stop will be the offices of some national financial publications that predict a decrease in property values around the Las Vegas Valley for this year. It appears these analysts have only considered the recent boom in Las Vegas home prices to make their determinations. Somehow they fail to enter into the equation two of the most important factors that determine real estate value: population growth and job opportunity.
Recent statistics show that approximately 7,000 people a month are moving in to the Las Vegas Valley. In addition, Nevada’s Department of Employment predicts that the state’s employment will grow 5 percent in 2007. Those statistics point to an increase in property value in 2007.
Our next stop is the GLVAR offices on East Sahara. The Greater Las Vegas Realtors Association operates and manages the MLS, the Multiple Listing Service. This is the best place to gauge the inventory of the homes available in Las Vegas and recent trends.
The inventory in Las Vegas ballooned to 23,474 homes in October 2006. The good news is that the inventory in December was down to 17, 834. This is a sure sign that more homes are selling and the inventory is dropping. A lower inventory is another factor that will move toward increased home value; good old supply and demand.
The next stop is the January 10, 2007 edition of the Las Vegas Review-Journal. The headline on the front page of the business section reads, “LV Home Prices to drop, says magazine.†Many local analysts and real estate professionals are quoted as saying that the national view of the Las Vegas market is skewed and the citizens of Las Vegas should not be overly concerned. Of course the headline paints a very gloomy picture. Just remember that whenever you read an article about real estate, the bad news always comes first, so remember to read the entire article.
The Las Vegas real estate market will continue to grow as this fabulous city reaches new heights of activity and excitement. Watch your step as you exit the elevator and enjoy the view.
Whether you are selling or buying, The McKenna Team is here to answer your real estate questions and assist you in making all the right moves when it comes to securing your chunk of the very prosperous Las Vegas Valley.
