The housing market’s bursting bubble has experienced a dramatic and rippling effect on the economy. That effect has been felt especially hard in the Las Vegas valley. Nevada, in reality, has the highest foreclosure rate in the country and has been consistently among the worst unemployment rates in the nation.
According to Standard & Poor’s report on May 31st, Las Vegas-area home costs dropped once in March. Prices in March were down 1.1 percent down and monthly 5.3 percent yearly. According to S&P’s reports, Las Vegas-area homes are currently at May 1999 levels.
As a Las Vegas resident it’s disheartening to see one”For Sale” or”Foreclosed” signal after a second as I drive through my area. This past week my next door neighbors, a household of four, abruptly left. No goodbye, no nothing. It kind of damage, but what hurts more is the 30-year-old TV and what seems to be the destroyed parts of a recliner that they left in their lawn.
It is sad that a family was forced from their house, but they obviously were not concerned with how it influenced me, their neighbor, so a tear I do not shed. we buy houses las vegas . Perhaps they weren’t facing bankruptcy, maybe they won the lottery and so are eating caviar and sipping champagne (likely not), who knows for certain. One thing is for sure, a neighbor left their residence and leaving garbage on their lawn can’t be good for my home value.
Well, perhaps I need to care. All these empty houses and foreclosures got me thinking. Has the industry finally bottomed out? Is now the time to buy? Will the market start to stabilize shortly? Can I make the right move for after? Perhaps I need to do some research and discover some answers to those questions…
Among all the gloomy economic figures there are some indicators of economic recovery in vegas. And in accordance with the 2010 Census, the Las Vegas population has jumped to 1.95 million people and averages 6,000 new residents yearly. These residents just are not in my area.
You’d guess new residents and less bankruptcy in Las Vegas will be good for the housing industry. Not based on David Blitzer, chairman of the Index Committee at S&P Indices. Blitzer stated in a recent statement,”The (national) dip in prices seen in 2009 and 2010 was largely due to the first-time home buyers taxation credit. Excluding the results of that policy, there’s been no retrieval or even stabilization in home prices during or after the current recession. Further, while last year saw indications of an economic recovery, the latest data don’t point to renewed gains”
Not everyone agrees with Blitzer’s evaluation, during a recent webcast market analyst Scott Sambucci stated,”Plan for prices over the long run to hit a bottom, rise somewhat, sink down, and rise again-a blueprint we anticipate with the housing market for many years. . .the housing recovery is going to have quite a while and it will occur slowly.”
Sambucci goes on to say that seeing the housing market is like any other advantage, there will not be many years of continual growth, but instead,”volatility and finding this inflection point is the opportunity to make money.”
Sambucci’s take is surely less depressing than Blitzer’s. He believes there’s still money to be made at the housing market if you are prudent and vigilant. Not because I’ve got a better comprehension of the market than many, but since I’m an optimist. If you are smart, listen, pick your spots, and find a little bit lucky you can still buy land in Las Vegas and not wind up on the street. I really don’t know whether that’s accurate, but I prefer hope over despair.