Las Vegas real estate housing market report for condos priced at $150,000 to multi-million dollar luxury condos
Las Vegas housing market report for condos and lofts for sale in Las Vegas, Henderson and North Las Vegas priced $150,000-$1.8 million. This report covers short sales, foreclosures and regular sale condominiums and lofts.
I wanted to do blog for $150,000-$200,000 price range but since we have only 38 properties available for sale and only 4 sold in August-2010 the sample size is too small to analyze, so I will cover all condos that are priced higher than $150,000. It should be noted that this series doesn’t include Las Vegas high rise condos and lofts. I will discuss them on an individual basis.
Las Vegas inventory of condos and lofts listed for more than $150,000 is 96 and 10 condos sold in August. This puts our inventory at 9.6 months. However, to have a meaningful discussion I will go back 2 months.
The table below shows inventory of Las Vegas condominiums and lofts for August 2010 by type
|Greater Las Vegas condominiums inventory||Total Listings||Bank owned condos or foreclosures||Short Sale condos||Non-distressed condos or Traditional Sales|
|$100,000-1.80 million dollars||96||6||21||59|
Only three luxury condominiums are priced higher than one million dollars, one in Mira Villa at Summerlin and two are at Lake Las Vegas. 84 out of 96 are priced below $500,000. Even though foreclosures and short sales still offer the best deals, asking prices for regular sales condos compete well with distressed sale pricing. However, some non-distressed condominiums in the same condo community are price at 200% or more of distressed or reasonably price condos.
The highest asking price per square foot is quite a bit more than $500, while the highest price per square foot paid in Las Vegas is $357. I f your asking price is 30% more than the highest price paid in the Valley in the last 6 months, chances are it will not sell.
Two short sale condos at Meridian sold for $115 dollars per square foot and you saw $140 per square foot paid for two bank owned condos there in the last blog post. Now you decide the following:
Is investing in Meridian condos a good idea or not?
Clearly it is in the first case and probably not a good idea in the second case, since they are already in the hole for $15-$20k when compared with comparable units.
The reason that I will not discuss sold numbers is that there is just not enough data to do it right. However, I will discuss the reason for lack of activity in this segment and it is simple. It is next to impossible to get financing for these condos and lofts except in two cases and one is builder financing, call me for the second.
In order to buy a home that needs a JUMBO loan, the buyer has to put up a significant down payment, say 40%. So for someone that wants to buys a $600,000 condo, he/she has to put up $240,000, which they could use to buy a $240,000 condo and not have any payments. Check out my blog about Las Vegas real estate market – homes for sale priced $500K-One Million and you will see it is similar to the condos and lofts market report for this price range. Some of these below $250,000 condos or lofts are truly luxurious and can’t be built for the asking prices, ever. There are four bank owned lofts at L0ft 5 are listed in the Las Vegas MLS. Asking prices for these luxurious, highly upgraded condo lofts start at $75 per square foot which is a true bargain. Lack of financing has badly hurt this sector which makes for a great bargain for cash investors.