While the Las Vegas real estate market has been getting a lot of attention over the last few months, we thought it would be good to discuss the rental market, which also has experienced a similar situation. Yes, Las Vegas rents are going up, up and up!
This is music to every landlord’s ears, especially for those who saw little appreciation for for a considerable amount of time. Yet, the Vegas market has shifted. A shift started 3 years ago, when rents started to appreciate noticeably, especially with what most landlord’s were used to. Fast forward to today, the market is hot – and landlord’s are loving it.
In a similar twist of events, a shortage of rental properties is creating a competitive market, driving rental prices up. While many tenants used to find 2 bedroom condo’s for under $800 / month or single family homes for under $1300, that price has shifted – considerably. A 2 bedroom condo now averages close to $1000 or more per month. An average single family home is between $1500 – $2000. And that’s assuming you can find one! With such a shortage, prices have been going up – and there do not appear to be indicators to show anything changing, at least for the foreseeable future. As a matter of fact, as the Las Vegas economy rebounds, driving employment and reducing unemployment, we can expect more individuals to move here. How exactly that will play out is yet to be seen.
However, all indicators point to a strong and stable economy. If inventory remains low, we can also expect rent prices to appreciate, perhaps 6-8% per year.