Josh Geidel

As home prices and interest rates keep falling in the Las Vegas Valley, more and more buyers are snatching up houses.

The Greater Las Vegas Association of Realtors reported May 6 that 1,794 homes were sold in April, a 21 percent jump over March's 1,478 home sales. The sales are 30 percent higher than April 2007.

In addition, 7 percent more condos and town houses on the Multiple Listing Service were sold in April, compared with March.

"We continue to see this as a good sign for the local housing market," the Realtor group's president, Patty Kelley, said. "With four months in a row of month-over-month gains in homes sold, we see this as a positive trend."

Properties owned by banks and other lenders accounted for more than half of the homes sold in April and that has created bargains since those homes are being sold below market prices, Kelley said.

The increase in sales comes as prices continue to fall. The median price of single-family homes sold in April was $235,875, down 3 percent from $243,169 in March. Prices are down 23 percent from April 2007.

Las Vegas housing analyst Steve Bottfeld said the valley will have to deal with thousands of foreclosures in 2008, but the increase in sales is a good sign. The Federal Reserve's reduction in interest rates has been the difference, he added.

"It is not about price, not about floor plan and not about design or location," Bottfeld said. "It is about the monthly payment, and that's why the interest rate change has been so important."

In the condo and town house market, the median price fell 5 percent to $155,000 in April. That's down 23 percent from April 2007.

The increase in sales, however, has prompted an increase in the housing inventory, which had been dropping in previous months. There were 22,942 homes listed for sales in April, up 179 from March, the Realtors' group reported. The inventory is 3 percent higher than it was in April 2007. Of those new listings, the median price was 3.6 percent lower than March and 23 percent below April 2007.

The number of condos and town houses for sale increased 1.7 percent in April to 5,373. That's 11.5 percent below a year ago. The April list price is 3 percent lower than March.

In April 53 percent of homes were sold within 60 days of their listing. That's up from 47 percent in March.

Brian Wargo covers Real Estate and Development for In Business Las Vegas and its sister publication, the Las Vegas Sun. He can be reached at 259-4011 or at Wargo@lasvegassun.com.

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May. 07, 2008
Copyright © Las Vegas Review-Journal

At last, positive signs in housing

April data show inventory steady, sales up for LV

By HUBBLE SMITH REVIEW-JOURNAL

Housing in Southern Nevada

For the first time since September 2005, sales of single-family homes in Las Vegas rose from the same month of the previous year, the Greater Las Vegas Association of Realtors reported Tuesday.

Home sales jumped to 1,794 in April, up nearly 30 percent from April 2007 and the fourth consecutive monthly increase.

The inventory of homes available for sale on the Multiple Listing Service has stabilized at 22,942, a 3.1 percent increase from a year ago.

These are good signs for the local housing market, said Patty Kelley, president of the local Realtors association.

"Things are really improving as far as the number of sales, up 20 percent (from March) and the fourth month of steady increases," she said.

The median price of a single-family home continued to decline in April, dropping 3 percent from March to $235,875, according to GLVAR statistics. The price is down 22.7 percent from a year ago.

As in past months, Kelley attributes the slight decline to the number of short sales and foreclosures selling for prices below market value. Properties owned by banks and other lenders still account for more than half of all homes sold each month, she said.

"Every month we've got to work through those foreclosures until we get through 2009," she said. "All those (adjustable rate) loans from 2006 come due in 2009, so we're going to have the problem of foreclosures with us for a while. What it means for buyers is, there are tremendous buys out there right now."

Jeremy Aguero, principal of Las Vegas-based Applied Analysis, said he's encouraged by the declining inventory, which is near a 12-month low, though the number of vacant units on the market is higher than he'd like to see.

"More important than that, the number of pending and contingent sales are at their highest number in the past 12 months," he said. "So not only are people taking units off the market, but houses are selling."

Las Vegas still has to get past some hurdles, primarily working through the oversupply of homes for sale, but the numbers are encouraging, Aguero said.

GLVAR statistics are based on data collected through the MLS and do not necessarily account for new homes sold by local builders and other transactions not involving a Realtor.

For condos and townhomes, sales increased to 212 in April, up 7.1 percent from March and down 28.4 percent from April 2007. The median price fell to $155,000, down 4.9 percent from March and down 22.3 percent from a year ago.

Condo and townhome listings increased 1.7 percent to 5,466 in April. That's down 11.5 percent from last April.

Local real estate transactions tracked through the MLS during April totaled more than $510 million of sales volume, up 13.1 percent from last month.

Kelley said homes are coming onto the market priced much lower than in the past. She's listing a home in Queensridge for around $300,000 that sold for $525,000 in 2005. Anything under $350,000 is receiving multiple offers, she said.

Contact reporter Hubble Smith at hsmith@reviewjournal.com or 702-383-0491.

Local housing statistics for April 2008

GLVAR reports fourth straight month of increased local home sales

Local housing statistics released today by the Greater Las Vegas Association of REALTORS® (GLVAR) show that the number of homes sold in Southern Nevada increased for the fourth straight month, while local home prices decreased slightly April.

“We continue to see this as a good sign for the local housing market,” GLVAR President Patty Kelley said. “With four months in a row of month-over-month gains in homes sold, we see this as a positive trend.”

GLVAR statistics for the month show a slight decline in the median price of homes, condos and townhomes sold in April. As in past months, Kelley said GLVAR experts continue to attribute this slight price decline to the number of short sales and bank-owned properties selling for prices below market value.

“Properties owned by banks and other lenders are still accounting for more than half of all the homes sold each month. Until recent months, this sort of thing was unprecedented,” Kelley said. “Of course, if you’re in the market and qualified to buy a home here in Southern Nevada, this situation works in your favor. Bargains abound.”

This month’s GLVAR statistics include activity through the end of April. The association distributes such statistics each month based on data collected through its Multiple Listing Service (MLS), which does not necessarily account for newly constructed homes sold by local builders. This month’s highlights include:

The total number of local single-family homes sold in April was 1,794. That’s up 21.4 percent from 1,478 homes sold in March. For condos and townhomes, 212 were sold in April, up 7.1 percent from 198 sales in March and down 28.4 percent from last April.

The median price of a single-family home sold in the Las Vegas area decreased by 3.0 percent from $243,169 in March to $235,875 in April. That’s down 22.7 percent from last April.

For condos and townhomes, the median sales price decreased 4.9 percent from $163,000 in March to $155,000 in April. That’s down 23.3 percent from last April.

The number of local homes listed for sale through April increased 0.8 percent for single-family homes, with 22,942 homes listed for sale, compared to 22,763 homes listed for sale in March. That’s up 3.1 percent from last April.

The number of condos and townhomes listed for sale increased 1.7 percent from 5,373 in March to 5,466 in April. That’s a decrease of 11.5 percent from last April.

Kelley said that all local real estate transactions tracked through the MLS during April totaled more than $510 million of sales volume, up 13.1 percent from last month.

Through April, 53 percent of all single-family homes and 49.1 percent of all condos and townhomes sold within 60 days. In March, 47.3 percent of all single-family homes and 52.0 percent of all condos and townhomes sold within 60 days.

To arrange interviews with GLVAR experts, please call George McCabe or Elizabeth Holzhauer at (702) 967-2222.

GLVAR was founded in 1947 and provides its nearly 15,000 local members with education, training and political representation. The local representative of the National Association of REALTORS®, GLVAR is the largest professional organization in Southern Nevada. Each GLVAR member receives the highest level of professional training and must abide by a strict code of ethics. For more information, visit www.lasvegasrealtor.com.