Las Vegas Area Real Estate News, Market Trends and Community Events!

 

You’ll find our blog to be a wealth of information, covering everything from local market statistics and home values to community happenings. That’s because we care about the community and want to help you find your place in it. Please reach out if you have any questions at all. We’d love to talk with you about about Las Vegas Real Estate.

Nov. 23, 2020

Housing Market Update: Home Prices Up 15%, Year-to-Date Sales On Par with 2019

Pending sales rose 34% and new listings were up only 9% from the same period a year earlier.

Key housing market takeaways for 400+ U.S. metro areas during the 4-week period ending October 25:

The median home sale price increased 15% year over year to $322,375—the highest on record. In the week ending October 25, home prices were up 16% from the same week a year earlier. Home prices continue to buck their typical seasonal pattern. The national median home price typically peaks the first week of July and declines through the fall, but this year since the four-week period ending July 5, home prices have increased 7.4%. Over that same period in 2018 and 2019, prices declined an average of 4.2%.

Pending home sales climbed 34% year over year even as the number of pending sales continued a typical seasonal decline.

New listings of homes for sale were up 9% from a year earlier—the largest increase since the four-week period ending September 13.

Active listings (the number of homes listed for sale at any point during the period) fell 29% from 2019 to a new all-time low.

45% of homes that went under contract had an accepted offer within the first two weeks on the market. This measure typically peaks in April or May and declines through the end of the year, but this year it has held steady since late June.

The average sale-to-list price ratio, which measures how close homes are selling to their asking prices, rose to 99.5%—an all-time high and 1.4 percentage points higher than a year earlier.

For the week ending October 25, the seasonally adjusted Redfin Homebuyer Demand Index was up 35% from pre-pandemic levels in January and February.

Mortgage applications increased 0.2% week over week (seasonally-adjusted) and were up 24% from a year earlier (unadjusted) during the week ending October 25. For the week ending October 22, 30-year mortgage rates were flat at 2.8%. Rates have been below 3% since late July.

 

-Tim Ellis

Posted in Market Updates
Nov. 16, 2020

How to Find the Best Mortgage Rates

How to Find the Best Mortgage Rates

Mortgage rates can change daily, and can vary widely depending on the borrower's personal situation. The difference can mean tens of thousands of dollars over the life of the loan. Here are some tactics to help you find the best mortgage rate for your new home loan.

 

Shop Around

You may be tempted to just use the lender who your real estate agent typically works with, but that doesn't guarantee you'll get the best rate for your home loan. It's best to compare official Loan Estimates from at least 3 different lenders to make sure you're getting a competitive interest rate.

 

Compare Fees

The mortgage rate isn't the only factor when it comes to the cost of your home loan. Be sure to look at each lender's fees and closing costs to fully assess the cost of the loan. When you apply for a loan, your lender will give you a form called a Loan Estimate that makes it easier to compare the total cost of the loan, including fees.

 

Increase Your Down Payment

Did you know that your down payment amount can have an impact on your mortgage rate? That's because mortgage rates are generally tiered, and typically lower mortgage rates are available for those with a down payment of 20% or more. If possible, consider increasing your down payment to see if it'll get you a lower rate for your home loan.

 

Improve Your Credit Score

Your credit score is one of the biggest factors that affects the mortgage rate that you'll be offered by lenders. Generally, the higher your credit score, the lower the interest rate for your home loan. Before applying for a mortgage, it's best to review your credit score and get it in the best shape possible. Learn more about how to improve your credit score.

 

Consider Your Loan Program

The 30-year fixed loan is by far the most common loan program, but adjustable rate mortgage (ARM) and 15-year fixed loans offer lower rates. If you're ok with the higher monthly payment of the 15-year fixed loan or the possibility of your rate changing with the ARM, one of these loan programs could help you pay much less interest over time for your home loan.

Posted in Market Updates
Nov. 13, 2020

Program helps homeless people afford apartments

Program helps homeless people afford apartments

By Sara MacNeil 

 

The city of Las Vegas added 10 apartments this month to a program that provides transitional housing for homeless people.

The Las Vegas City Council approved spending $93,500 to rent the units for one year. Program participants pay 30% of their monthly income for rent.

“The need for affordable housing does continue to increase for our participants who are just getting back into the workforce trying to get things so they can transition out of homelessness into stability,” said Kathi Thomas, the city’s director of community services.

There are 23 individuals or families living in homes through the program. In just over a year since the program launched, 90 individuals or families have participated.

Many participants have evictions on their records or are sorting out legal issues, such as custody battles, Thomas said. Some are on disability or pension plans, she said.

“There really aren’t a ton of landlords looking to support those kinds of needs. We work with landlords who will give people a second chance,” Thomas said.

Participants must be seeking a job, agree to work with a case manager and follow a case plan.

Thomas said homelessness in Las Vegas, steadily rising over the past 10 years, has jumped amid the coronavirus pandemic.

Nov. 12, 2020

Mortgage Rates

Latest News for NV Mortgage Rates

NEVADA 30-YEAR FIXED MORTGAGE RATES GO DOWN TO 2.94%

Thursday, November 12, 2020

The current average 30-year fixed mortgage rate in Nevada decreased 3 basis points from 2.97% to 2.94%. Nevada mortgage rates today are 3 basis points higher than the national average rate of 2.91%.

 

The Nevada mortgage interest rate on November 12, 2020 is down 2 basis points from last week's average Nevada rate of 2.96%.

 

Additionally, the current average 15-year fixed mortgage rate in Nevada decreased 7 basis points from 2.84% to 2.77% and the current average 5/1 ARM rate is up 3 basis points from 2.94% to 2.97%.

 

 

Posted in Market Updates
Oct. 23, 2020

Rentals in short supply in Nevada as thousands face eviction

Affordable rentals are slim pickings in Nevada, at a time when inventories are low for rentals and people are rushing to find rentals. 

The eviction moratorium that ended October 15 created a conundrum: a lack of vacancies, and a lack of housing options for everyone who could face eviction. 

The Nevada State Apartment Association said the vacancy rate for Nevada is 5.6%, lower than the national average of 6.8%. Officials say there is a lack of Section 8 and affordable housing for low-income individuals and families. 

"When you see something, you've got to act immediately," said realtor Jason Ross of Realty One Group. Properties are seeing multiple applications the day they hit the market. 

Landlords are also picking and choosing their tenants: Ross said a good credit score over 600 and one to two months rent down payment will also help your chances. 

Multimedia Journalist

Posted in Market Updates
Oct. 16, 2020

Late-Stage Delinquencies Now Twice Great Recession Peak

Mortgage delinquencies continued to rise in July according to CoreLogic's new loan performance report. The company found that 6.6 percent of all mortgages were at least 30 days past due (including those in foreclosure.) This represents a 2.8-percentage point increase in the overall delinquency rate compared to July 2019, when it was 3.8 percent. It was, however, a lower rate than the 7.1 percent reported for June, at that point a 3.1-point annual increase.

The improvement was in early stage delinquencies, those loans 30 to 59 days past due. They declined from 1.8 percent in July of last year after spiking in April of this year to 4.2 percent.

The rate of adverse delinquencies, loans 60 to 89 days past due, rose to 1 percent from 0.6 percent a year earlier, but were down from 2.8 percent in May. These improvements were offset by serious delinquencies, loans at least 90 days past due, including loans in foreclosure. That category surged from 1.3 percent in July 2019 to 4.1 percent. It is the highest serious delinquency rate since April 2014.

Further, the 120-day bucket was the highest in the 21 years CoreLogic has been tracking the data, 1.4 percent. The company said the persistent instability of the job market pushed many homeowners further down the delinquency funnel this summer. Dr. Frank Nothaft, chief economist at CoreLogic said the 120-day rate was more than double its December 2009 Great Recession peak. "The spike in delinquency was all the more stunning given the generational low of 0.1 percent in March" he said.

The foreclosure inventory, loans in some stage of the foreclosure process, is the lowest for any month in at least 21 years at 0.3 percent, down from 0.4 percent in July 2019. Most foreclosures actions are on hold due to the CARES Act.

The share of mortgages that transitioned from current to 30 days past due during the month was 0.8 percent, unchanged from the previous July. The transition rate has slowed since April 2020, when it peaked at 3.4 percent.

Home prices as measured by CoreLogic's Home Price Index (HPI) have been rising at an accelerated rate but unemployment levels in hard-hit areas remain stubbornly high, the company said, leaving some borrowers house-rich but cash poor. Despite the slow reopening of several sectors of the economy, recovery for other industries like entertainment, tourism, oil, and gas have a more uncertain outlook for the remainder of 2020. With persistent job market and income instability, Americans continue to tap into savings to stay current on their home loans. But as savings run out, borrowers could be pushed further down the delinquency funnel.

In July, all states logged annual increases in both overall and serious delinquency rates. COVID-19 hotspots were again impacted the most, with Nevada (up 5.2 percentage points), New Jersey (a 4.8 percentage points increase), Hawaii (plus 4.7 percentage points), New York (up 4.6 percentage points) and Florida (up 4.4 percentage points) topping the list for overall delinquency gains.

Similarly, all U.S. metro areas logged at least a small increase in serious delinquency rates in July. Odessa, Texas, hard hit by job losses in the oil and gas industry, experienced the largest annual increase, 7.5 percentage points. Other metro areas with significant serious delinquency increases included Laredo, Texas (6.6 points); Miami (6.4 points); McAllen, Texas (6.2 points) and Kahului, Hawaii (5.9 percentage).

Posted in Market Updates
Oct. 13, 2020

About VA Loans

VA home loan types

We offer VA home loan programs to help you buy, build, or improve a home or refinance your current home loan—including a VA direct loan and 3 VA-backed loans. Learn more about the different programs, and find out if you can get a Certificate of Eligibility for a loan that meets your needs.

 

How does a VA direct home loan work?

With a VA direct home loan, we serve as your mortgage lender. This means you’ll work directly with us to apply for and manage your loan. The Native American Direct Loan (NADL) program often has better terms than a home loan from a private lender (a private bank, mortgage company, or credit union). 

Find out if you qualify for a NADL

 

How does a VA-backed home loan work?

With a VA-backed home loan, we guarantee (or stand behind) a portion of the loan you get from a private lender. If your VA-backed home loan goes into foreclosure, the guaranty allows the lender to recover some or all of their losses. Since there’s less risk for the lender, they’re more likely to give you the loan under better terms. In fact, nearly 90% of all VA-backed home loans are made without a down payment.

Lenders follow our VA standards when making VA-backed home loans. They may also require you to meet additional standards before giving you a loan. These standards may include having a high enough credit score or getting an updated home appraisal (an expert’s estimate of the value of your home).

 

Explore different loan types

Purchase loan

Looking to buy a home? Find out if you're eligible for a VA-backed purchase loan to get better terms than with a private-lender loan.

Native American Direct Loan (NADL) program

Are you a Native American Veteran or a Veteran married to a Native American? Find out if you're eligible for a NADL to buy, build, or improve a home on federal trust land.

Interest Rate Reduction Refinance Loan (IRRRL)

Have an existing VA-backed home loan? Find out if you're eligible for a VA-backed IRRRL to help reduce your monthly payments or make them more stable.

Cash-out refinance loan

Want to take cash out of your home equity to pay off debt, pay for school, or take care of other needs? Find out if you're eligible for a VA-backed cash-out refinance loan.

Posted in Tips for Buying
Sept. 28, 2020

Market Amid Pandemic and High Unemployment

LAS VEGAS (KSNV) — Las Vegas has been hit hard with high unemployment numbers this year, but through all the apocalyptic insanity that came with 2020, area home prices are up nearly 8% in August.

The average price of a home in the Las Vegas metro area grew 7.8% year over year to $310,000 in August, according to Redfin.

But why is this happening amidst such economic pressure?

“A lot of sellers are asking me the same question: How is my neighbor’s house going under contract in two days, but I pick up the local newspaper and it’s all doom and gloom for the economy?” said Las Vegas Redfin agent Shay Stein, adding, “It’s because there’s so much more demand than supply, driven by two groups: People coming from high-priced places like California, Hawaii and New York who can suddenly work from home, and locals whose needs have changed due to the pandemic.”

Now that workers don't have to roll into an office every day, people who once were forced to commute to their jobs in places like San Francisco and New York, no longer need their high rent homes. So they're looking at less expensive places, like Las Vegas.

“I helped a New York couple who sold their home for $1.9 million, bought a larger home here for $475,000 and pocketed the remaining equity. Plus, their property taxes went from $23,000 per year to $2,500," said Las Vegas Redfin agent Patrick Thomas.

The influx of new residents may also change the political landscape of the state.

“The wave of migration could also impact the area’s politics. Some of the people coming from big coastal cities are fleeing liberal business and tax policies for a place more in line with their views, and some are strict Democrats who are moving for other reasons. It will be interesting to see if it results in a more conservative or a more liberal Nevada," Thomas said.

 

by Mat Luschek

 

Sept. 23, 2020

Home Prices Amid Pandemic

The median sale price of an existing home in Southern Nevada hit $335,000 in August, a new record, according to the Las Vegas Realtors trade organization.

The previous record was $330,000, which was set in July.

The rising prices have come despite the coronavirus pandemic, which has battered the economy and sent unemployment skyrocketing.

Tom Blanchard, a longtime agent and president of Las Vegas Realtors, said the region’s housing market “continues to defy expectations.” But, he said, he’s not sure how much longer the market can perform like it is now.

“Those that can purchase have been purchasing, pretty much since this pandemic started,” Blanchard said. “That part of our business has been steady and constant. The only thing I’m concerned about is if the assistance people are getting — unemployment insurance, the Cares Act, all of the government assistance out there — goes away and the jobs haven’t come back, we’ll see us fall off the crevasse.”

The median price for an existing home last month was up 10% from August 2019, according to the monthly Las Vegas Realtors report.

Townhomes and condos sold for a median price of $185,000 last month, a 5% increase from August 2019.

In 2012, the median price for a home in Southern Nevada bottomed out at an all-time low of $118,000, according to LVR figures.

Blanchard said the number of homes for sale remains well below the six-month supply generally considered to represent a balanced market.

By Bryan Horwath 

Posted in Market Updates
Aug. 31, 2020

EVICTIONS

LAS VEGAS (KTNV) — Thousands of Nevadans could be facing homelessness for the first time.

Many people across the state have been facing eviction since the start of the coronavirus pandemic. The moratorium in Nevada expires in one month, but a new law could protect renters.

Gov. Steve Sisolak ordered an eviction moratorium in late March, protecting Nevadans from housing insecurity during the COVID-19 pandemic. That moratorium expires on Sept. 1, meaning landlords can start kicking tenants out again if they can't pay their rent.

Monday, state lawmakers passed a bill that would buy renters a little bit more time.

About 300,000 people across Nevada could lose their homes. In an effort to prevent a backlog in the court system, and keep people in their home, renters would be able to remain in place for 30 days while they work out some sort of mediation with their landlord.