By the numbers
Local real estate research firm, SalesTraq reported that resale inventory rose 63 percent to 17,161 Homes in April 2006. Additionally, approximately 7,000 converted condominiums sat on the market, and 4,000 new single-family homes and traditional condominiums were also for sale. That brings the total backlog of properties for sale in Southern Nevada, as of the end of April, to 31,000.
Some experts believe that the large backlog of homes is not a problem, as long as it peaks soon and begins to retreat. As Lawrence Yun, a senior economist with the National Association of Realtors points out, 17,000 resale listings aren’t excessive in a market of 2 million. Furthermore, the Las Vegas Valley adds up to 7,000 residents a month, and area employers created 47,000 jobs in the past 12 months.
Finally, the biggest potential barometer — prices — continues to rise. SalesTraq shows the median price for an existing home is up 5.2 percent from $268,050 in April 2005 to $282,000 in April 2006. That even though resales were down 25.7 percent year over year in April.
New-home sales in Las Vegas were down 9.1 percent in April year over year. Yet new-home prices are up substantially. The median cost jumped 18.1 percent, from $282,060 in April 2005 to $333,117 in April 2006.
Maybe a little optimism is warranted…
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