Foreclosure Impact on Las Vegas Real Estate
This lens provides some overview of what is happening in the local market and how to make an informed decision when purchasing a Las Vegas foreclosure.
This lens also provides a detailed overview of what an optimum Las Vegas Foreclosure is.
Las Vegas Real Estate Foreclosures
What to Look for in a Las Vegas Foreclosure
Surprise, surprise the news media has been beating the drum about how bad the Las Vegas Foreclosure market is with dire warnings about impending doom and gloom.We disagree and hate to question national media, but our local market is unique when contrasted with other major cities that have experienced drops in real estate valuations. Don't tell anyone - we may have hit bottom!
Some quick facts - we get 40M visitors to our fair city every year and some portion of them fall in love with Las Vegas and decide to relocate here. We should point out, about 20% of our visitors are from outside of the US and some percentage of them are buying second homes here and/or also relocating.
International interest in our real estate is further heightened by the dollar's weakness against most major currencies - a charming pied-a-terre here for say $400K in one of our gorgeous high rises is a great deal versus a comparable spot in trendy St. Johns Wood in London for $1.5M!
Growth does wonderful things for any real estate market! Are we growing at warp speed like we've done in the go/go 90's and later? No, we are not. But, we are growing - our job market has an unemployment rate at about 5.5% (approx), which is bit higher than the national average. But, you have to balance this out with our increase in population - we experienced a net gain of about 12% for calendar 2007.
What's driving our population growth? We are realtor's not statisticians - but, as we look out over the virtual and realworld landscape we can reference some major multi-billion mega development projects going on in the city such as our huge downtown City Center Project, the Echelon, Aliante Station in North Las Vegas, the Encore at Wynn Las Vegas, the Palms Place and a number of others that are opening later this year or have opened.
These huge projects are fueling job growth and relocations to our fair city. Did we mention our local bird is the moving crane? You can't drive a block without seeing one. But, don't look too hard at the cranes - you don't want the bottom of our real estate marketing hitting you when you aren't paying attention.
What to Look for for a Great Las Vegas Real Estate Foreclosure Investment
There are a number of variables that impact an optimum Las Vegas Foreclosure Real Estate Investment strategy including overall investment strategy (aggressive, long term, etc), timeline for assessing market, budget, resources, etc.
•Single Family Home
•Price range $200-250K, with $125 per square foot or less
•Seller Pays all Closing Costs
•Factor in our "Starbucks proximity" rule - you want the home to be no more than 5-10 minutes from a Starbucks and/or Freeway Access
•Home built within the last 4-6 years
•Two car garage with a Tile Roof for Low Maintenance
•Quiet Neighborhood with no proximity behind or in front of home to Commercial Thoroughfares or busy streets, if suburban area
Minimal Maintenance Needed for Home
•Located in Subdivision with Homeowners Association, with very Low CCR ("Covenants, Conditions & Restrictions) under $50. per month
•3 Bedrooms & 2 Full Bathrooms, with Garage
•Neighborhood Location: should have very small number of vacant or foreclosed homes and within 10-15 minutes from the Las Vegas Strip to be close to Jobs, Commerce Entertainment
•No or minimal "touchup" work required for tenant move in
•Vacancy rates in neighborhood are very low - desirable area
•No pool or spa - this may be counter intuitive, but saves you maintenance costs
•If there is a pool, you need to factor in higher maintenance costs
•Ideal Home is Las Vegas Foreclosure and Not Short Sale
If you follow these guidelines for a Las Vegas Foreclosure Real Estate Investment you will generate a sizable return.

John and Ruth Ahlbrand, Co-Founders of RE/MAX CENTRAL of Las Vegas
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Las Vegas Foreclosure Impact
Las Vegas Foreclosures Impact on Las Vegas Real Estate - Analysis, Insight, Facts, Updates
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