Las Vegas Market Update by Dana Whittaker

I caught the 2007 Las Vegas Perspective on the news this morning in Las Vegas, on KVBC channel 3. Because of our strong internet presence for real estate in Las Vegas, on www.DanaAnderson.com, we have many clients from out of state asking for this kind of information because many people are still considering making the move to our wonderful area. 8000 people per month in fact, are moving to Las Vegas and Henderson in the Clark County area of Nevada, according to the report.

The Las Vegas population is up 5.3% from last year to a whopping 1.9 million people. Can we be considered a large city yet? I think we have to hit 2 million residents for that consideration. Median household income rose 12% to $53,100. This tells me that job growth is still strong in Las Vegas. That's great for our economy. It is job growth, not interest rates, that is the best barometer of a city's economy. It is hard data like this that makes me a confident Realtor and firm believer in our market, not the media hype or scare tactics of bubbles bursting. Las Vegas and Henderson aren't going anywhere. We are strong cities with tons of potential. I trust that the developers that continue to spend billions of dollars building up the Las Vegas valley did their homework.

That being said, local home sales did slow by 27% since 2006, yet new home prices were up 10% to $334,000. Also, up .5% were existing home prices to $287,000. If you were to purchase a property today, in 5 to 10 years you'll think you got it for cheap. Buy and hold. If you bought a property in 2004 or 2005 and you're freaking out about your value, hang tight. I've heard Suze Orman say more than once that one must expect to hang on to a property for at least 5 years. My advice is to make it work where you are. Consider updating your kitchen or upgrading the flooring. Stick with neutral colors and natural materials. That way, when the Las Vegas and Henderson markets do bounce back, and they will bounce back--my prediction is 2010--your property is in premium condition for hungry buyers. If you must move, due to a job transfer or family emergency for example, and you purchased in '04 or later, you'll probably take a hit on the sale, however you'll probably make it back up when you purchase.

One thing to keep in mind: smart investors do the opposite of what everyone else is doing. Remember Economics 101, Buy Low-Sell High. Many homes are on the market now, there are some great deals to be had. How will you be positioned when the upswing comes back around?