There are currently only 29 foreclosure (bank owned) high rise condo listing in Las Vegas MLS, this is less than 10% of total listings
Only 2-3 years ago distressed high rise condos dominated the listings in Las Vegas MLS which resulted in 60%-80% price drops. Today the total number of bank owned high rise condos is less than 10% of total number of high rise condo listings and a few buildings have no bank owned condos.
I don’t call buildings that have less than 8-10 stories as high rise condos, I call the mid rise condos. As of today the total number of high rise condo listings in Las Vegas MLS equals 309 of these 89 are short sales and 29 bank owned condos (foreclosures).
190 high rise condos were sold in the last three month of these 56 have been bank owned (foreclosure) condos, 78 have been short sales and 56 have not been distressed sales.
Table below shows Las Vegas high rise condo inventory in Las Vegas MLS by type, high rise condos that have sold in the last 90 days along with the percentage of condos that sold in 30 days, median sold price per square foot percentage of sold prices divided by asking price and median number of days on the market before these high rise condos sold.
|Las Vegas high rise condos||condos Available for sale||Sold last three month||Percentage of listings that sold in less than 30 days||Median sold price per square foot||Median Sold price/asking price||Median days on the market|
|Non-distressed regular sale||191||56||32%||$264||93%||50|
|Bank owned or foreclosures||29||56||41%||$151||98%||38|
As you can see the real pressure in high rise condos is applied by foreclosures as the median price per square foot is only $151 per square foot while median sold prices for non-distressed is $264 per square foot.
For example in the last three months, Panorama Towers 1 and 2 only two condos have sold for more than $200 per square foot and those were 29th and 30th floor condos. The rest sold for about $127-$200 range. 6 out of the 17 condos were bank owned, 9 were short sales and only two were regular sales.
Currently other than a couple 3rd and 4th condos the price range for non-distressed condos are $236-$411 while the price range for 4 out of 5 bank owned condos is $144-$191.
There is a reason for lack of bank owned high rise listings; however that is for my customers and I will not discuss it here furthermore I don’t see the number of bank owned listing going any higher than 15% of total listings.
Many think that high rise condo prices will free fall further and I absolutely don’t see any reason for this and the reason is that our inventory of bank owned high rise condo is 1.5 month, short sales inventory is 3.42 months. These numbers don’t lead to further significant price drops.
Our inventory of distressed high rise condos is not going to endless and I think we have gone through majority of them. Keep in mind that current prices reflect our bad economy and there were announcements about companies hiring 2000 new workers in the last two weeks only which caught me completely by surprise as I thought we are at least one year away from it.
For the reasons that I discussed above I believe that it is a good time to buy Las Vegas high-rise condos and that there is good chance that in two or three years those who bought will be happy they did.