September 2018 – As summer bids farewell, the Las Vegas market is seeing a cooling trend after months of steady appreciation at one of the fastest rates in the country. This is in line with national trends. Inventory for resale homes has increased and the rush of buyers has diminished some. In addition, with school starting, interest rates rising and the seasonal slowdown beginning, the market is starting to level off some. A recent report by the Greater Las Vegas Association of Realtors still showed average price appreciation during the month of August, with a single family home appreciating from an average sales price of $290,000 in July to $295,000 in August. As we head into fall and winter, we can expect inventory to be slightly higher and homes remaining on the sales market longer. Rental properties have likewise seen steady appreciation this summer, with high demand and limited inventory. Average sized homes specifically have seen the most considerable increases, being the most in demand due to price point and size preference. As the season changes, though, we can expect a more level market.
Increases in the local market are being felt by investors who are now eyeing multi family properties to achieve a greater return as well as properties in need of significant repairs and maintenance, though these are in more limited availability. Older properties that perhaps were overlooked are now being considered more and as a result, seeing price appreciation.
The Las Vegas economy has thrived in recent years and the drive to invest, manufacture and diversify the economy is playing a role in property appreciation.
Steve is the founder of Nicklin Property Management & Investments, Inc. His experience in property management and as a real estate broker exceeds 30 years.