Sales of previously occupied Las Vegas Real Estate rebounded unexpectedly in February by the largest amount in nearly six years as first-time buyers took advantage of deep discounts on foreclosures and other distressed properties and very low interest rates.
Many Economists said sales, while still at levels not seen since 1997, may finally be coming back to life after declining sharply following the stock market plunge last autumn. We agree with this analysis.
Las Vegas Real Estate Rebounding
We think Las Vegas real estate rebounding – existing-home sales have surged from a year ago. Home Builders Research reported 2,606 resales in February, up slightly from 2,536 in January. For the first two months of the year, sales of existing homes increased 70 percent from a year ago. The National Association of Realtors said Monday that sales of existing homes grew 5.1 percent to an annual rate of 4.72 million last month, from 4.49 million units in January.
It was the largest monthly sales jump since July 2003, with first-time buyers accounting for about half of all transactions. Sales had been expected to dip to an annual pace of 4.45 million units, Thomson Reuters reported. Las Vegas real estate rebounding!
The sales figures don’t yet reflect the new $8,000 tax credit designed to lure even more first-time buyers into the market. That should buoy early summer sales, but how much will depend on the overall condition of the U.S. economy and on the mood of consumers here in Las Vegas.
Blue Skies Not Dark Clouds Here in Las Vegas
Potential foreclosures from the resetting of adjustable-rate mortgages are perceived to be “hanging over the Las Vegas Real Estate market like a dark cloud! However, those numbers may be overstated. Many of these loans that are now resetting are bringing owners a lower payment than what they had before the reset; meaning they are not moving into foreclosure. We fervently believe Las Vegas Real Estate Rebounding!
