Las Vegas home sales for June 2011

On July 20, 2011, in Gay Las Vegas, Las Vegas Housing Market, by Gay Real Estate Agent in Las Vegas

The Las Vegas housing market is heating up….and it’s not just the summer heat. Over 4,471 properties sold last month compared to 4,185 homes from June of 2010 showing a nearly 7% increase in number of sales while 3,900 properties sold in May of this year. Part of that increase has to do with our […]

The Las Vegas housing market is heating up….and it’s not just the summer heat. Over 4,471 properties sold last month compared to 4,185 homes from June of 2010 showing a nearly 7% increase in number of sales while 3,900 properties sold in May of this year. Part of that increase has to do with our prices. The average home that sold in June of this year sold for $151,682 and was approximately 1900 sq ft. With 52% of all of those transaction being CASH, investors and first time buyers are capitalizing on our incredible prices. CNN Money reported that Las Vegas had the best rental property market in the country for investors. I’m currently working with a lot of investors who are looking to produce passive rental income, with many getting returns on their investment of 9-15%!

Las Vegas has always been an exciting market for real estate, and now is no different. So often when I’m first meeting buyers to explain the market and show market stats, they are shocked at the speed and competitiveness of real estate in the desert. The national trends do not always reflect what is happening in our local market. It’s crutial to work with a Realtor who understands and communicates the market so you don’t miss opportunities. If you would like to see all available homes in Las Vegas for Sale and search like a Realtor would click the link to the left. You can also learn about Las Vegas Neighborhoods here. The National Association of Realtors recently reported:

Existing-home sales eased in June as contract cancellations spiked unexpectedly, although prices were up slightly, according to the National Association of REALTORS®.Sales gains in the Midwest and South were offset by declines in the Northeast and West. Single-family home sales were stable while the condo sector weakened.

Total existing-home sales, which are completed transactions that include single-family, townhomes, condominiums and co-ops, declined 0.8 percent to a seasonally adjusted annual rate of 4.77 million in June from 4.81 million in May, and remain 8.8 percent below the 5.23 million unit level in June 2010, which was the scheduled closing deadline for the home buyer tax credit.

Lawrence Yun, NAR chief economist, said this is an uneven recovery. “Home sales had been trending up without a tax stimulus, but a variety of issues are weighing on the market including an unusual spike in contract cancellations in the past month,” he said. “The underlying reason for elevated cancellations is unclear, but with problems including tight credit and low appraisals, 16 percent of NAR members report a sales contract was cancelled in June, up from 4 percent in May, which stands out in contrast with the pattern over the past year.”

Yun cited other factors in the sales performance. “Pending home sales were down in April but up in May, so we may be seeing some of that mix in closed sales for June. However, economic uncertainty and the federal budget debacle may be causing hesitation among some consumers or lenders.”

The national median existing-home price for all housing types was $184,300 in June, up 0.8 percent from June 2010. Distressed homes – foreclosures and short sales generally sold at deep discounts – accounted for 30 percent of sales in June, compared with 31 percent in May and 32 percent in June 2010.

According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage was 4.51 percent in June, down from 4.64 percent in May; the rate was 4.74 percent in June 2010.

Key Issues

NAR President Ron Phipps said home sales should be higher. “With record-high housing affordability conditions thus far in 2011, we’d normally expect to see stronger home sales,” he said. “Even with job creation below expectations, excessively tight loan standards are keeping many buyers from completing deals. Although proposals being considered in Washington could effectively put more restrictions on lending, some banking executives have hinted that credit may return to more normal, safe standards in the not-too-distant future, but the tardiness of this process is holding back the recovery.”

Phipps added that lower mortgage loan limits, due to go into effect on Oct. 1, already are having an impact. “Some lenders are placing lower loan limits on current contracts in anticipation they may not close before the end of September. As a result, some contracts may be getting cancelled because certain buyers are unwilling or unable to obtain a more costly jumbo mortgage,” he said.

Total housing inventory at the end of June rose 3.3 percent to 3.77 million existing homes available for sale, which represents a 9.5-month supply at the current sales pace, up from a 9.1-month supply in May.

All-cash transactions accounted for 29 percent of sales in June; they were 30 percent in May and 24 percent inJune 2010; investors account for the bulk of cash purchases.

First-time buyers purchased 31 percent of homes in May, down from 36 percent in May; they were 43 percent in June 2010 when the tax credit was in place. Investors accounted for 19 percent of purchase activity in June, unchanged from May; they were 13 percent in June 2010.

The balance of sales was to repeat buyers, which were a 50 percent market share in June, up from 45 percent in May, which appears to be a normal seasonal gain.

Single-family home sales were unchanged at a seasonally adjusted annual rate of 4.24 million in June, but are 7.4 percent below a 4.58 million pace in June 2010. The median existing single-family home price was $184,600 in June, up 0.6 percent from a year ago.

Existing condominium and co-op sales fell 7.0 percent to a seasonally adjusted annual rate of 530,000 in June from 570,000 in May, and are 18.0 percent below the 646,000-unit level a year ago. The median existing condo price5 was $182,300 in June, up 1.8 percent from June 2010.

Regional Performance

Existing-home sales in the Northeast fell 5.2 percent to an annual pace of 730,000 in June and are 17.0 percent below June 2010. The median price in the Northeast was $261,000, up 3.1 percent from a year ago.

Existing-home sales in the Midwest rose 1.0 percent in June to a pace of 1.04 million but are 14.0 percent below a year ago. The median price in the Midwest was $147,700, down 5.3 percent from June 2010.

In the South, existing-home sales increased 0.5 percent to an annual level of 1.86 million in June but are 5.6 percent belowJune 2010. The median price in the South was $159,100, down 0.1 percent from a year ago.

Existing-home sales in the West declined 1.7 percent to an annual pace of 1.14 million in June and are 2.6 percent below a year ago. The median price in the West was $240,400, up 9.5 percent from June 2010.

Felipe Crook

Realty ONE Group

8395 Sunset Road, Ste 190

Las Vegas, NV 89113

Felipe@felipecrook.com

1-866-589-1646

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Las Vegas is the best city for rental properties says CNN Money

On July 13, 2011, in Gay Las Vegas, by Gay Real Estate Agent in Las Vegas

FINALLY! We’re number 1 for something other than being the worse market in the US! I’m so glad to read this article from CNN Money touting Vegas as the best place to purchase investment properties. I have been working with three big investors looking to scoop up some investment properties right now while prices are […]

FINALLY! We’re number 1 for something other than being the worse market in the US! I’m so glad to read this article from CNN Money touting Vegas as the best place to purchase investment properties. I have been working with three big investors looking to scoop up some investment properties right now while prices are low and rents are trending higher. Over 50% of our sales have been paid for with CASH! That is such a large amount of money flowing into our city that people are starting to take notice. What other metropolis can you purchase a home built in the last ten years for $100,000? This city now has 2 million people, many of whom make a good living but don’t want to buy, so what do they do? Rent baby!

With rents climbing and rentals in high demand, investors are being lured to investment properties, taking advantage of low housing prices and interest rates. Nearly 20 percent of home purchases in May were for investment purposes – that’s up from 17 percent in 2010, according to the National Association of REALTORS®.

CNNMoney recently ranked cities by its estimated future investment returns. “Overall, the highest ratings are in markets where home prices have fallen substantially,” says Ingo Winzer, founder of Local Market Monitor. “Home prices in these markets are also below average, so empty homes are easily turned into competitive rental properties.”

Here are the top 5 markets in terms of investment return:

Las Vegas
Average home price (2011): $130,100
Projected home price (2014): $120,000
Gross rent (2011): $922
Projected gross rent (2014): $966

Detroit
Average home price (2011): $97,800
Projected home price (2014): $94,600
Gross rent (2011): $681
Projected gross rent (2014): $764

Warren, Mich.
Average home price (2011): $97,800
Projected home price (2014): $94,600
Gross rent (2011): $681
Projected gross rent (2014): $764

Orlando, Fla.
Average home price (2011): $165,200
Projected home price (2014): $166,200
Gross rent (2011): $980
Projected gross rent (2014): $1,148

Bakersfield, Calif.
Average home price (2011): $131,000
Projected home price (2014): $128,500
Gross rent (2011): $736
Projected gross rent (2014): $829

For the full article about from CNNMONEY click here.

I my experience through out most of the valley, rents for single family homes range from $1000-$1500. Location, amenities, upgrades, and sq footage can change that number drastically. Obviously the bigger homes rent for a lot more than a 2 bedroom home. I always, ALWAYS recommend that if you’re looking to invest in a property, buy a minimum of a three bedroom, 2 bath, 2 car garage home. These are the most common homes that people look for when you go to resell it. I’ve had a hard time selling properties that only have 2 bedrooms, or ones with a 1 car garage. Even a tandem garage (one where there is enough room for two cars right behind each other) is a harder sell than a traditional two car side by side garage.

Most of the investors looking to buy rental properties in Las Vegas tend to look at entry level homes, but there are a few investors looking to purchase luxury properties here in Nevada. Obviously the capital required is significantly higher, but the appreciation potential tends to be great as well. The Median rent for a property with 4000 sq ft plus is $3500. If you are considering purchasing a rental property in Las Vegas, please give me a call toll free at 1-866-589-1646. I understand the needs of an investor and can help you navigate through a successful transaction with the best return for your money. If you want to search for rental properties in Las Vegas click this link and start your search from home. This website has everything that is currently available on the MLS and is updated hourly. Realtor.com and Trulia tend to be a bit behind when a property goes under contract. I can also provide more specific rental statistics and a referral to a quality property management company.

Felipe Crook

Realty ONE Group

8395 Sunset Road, Ste 190

Las Vegas, NV 89113

Felipe@felipecrook.com

1-866-589-1646

LGTB Housing Discrimination-How to make a complaint?

On July 8, 2011, in Gay Las Vegas, by Gay Real Estate Agent in Las Vegas

Nevada has passed laws protecting the LGBT community from housing discrimination. Have you experience discrimination? File a complaint.


I had the privilege of going to a meet and greet with Assistant Secretary for Fair Housing and Equal Opportunity John Trasvina this morning at AFAN.  It was a small group of activists wanting to learn more about what HUD is doing to protect the LGBT community.   Unfortunately, the Fair Housing Act doesn’t currently cover sexual orientation as a protected class.  The seven protected classes include: race, color, religion, national origin, sex, disability, and familial status.   Until our legislators pass legislation to protect discrimination against LGBT, the Fair Housing and Equal opportunity office is trying to use “gender expression” under the protected class of gender as a way to enforce fair housing.

What should you do if you are discriminated against for housing? While the Federal laws are slower to act, Nevada has been quite progressive with passing legislation this session to protect the LGBT community.  Both SB331 and SB368 passed this year, which is great news for the struggle for equal rights for our community.   If you have experienced discrimination, please file a complaint! It’s so important to make sure our voices are heard so we can end this type of ridiculous behavior.

To file a complaint, please contact:

HUD- Office of Fair Housing staff:


Janie Lopez: janie.o.lopez@hud.gov / (702) 366-2107

Nancy McCloskey: nancy.mccloskey@hud.gov / (702) 366-2161

You can also visit http://www.HUD.GOV/FAIRHOUSING

 

Our Legislators need to hear from us as well.  They need to know that any type discrimination is unacceptable. Please contact your legislators below:

Senator Harry Reid (D- NV) 202-224-3542 202-224-7327 http://reid.senate.gov/contact/index.cfm
Senator Dean Heller (R- NV) 202-224-6244 202-228-6753 http://heller.senate.gov/contact_form.cfm
Representative Shelley Berkley (D – 01) 202-225-5965 202-225-3119 http://berkley.house.gov/contact/email-me.shtml
Representative Vacant ( – 02) 202-225-6155 202-225-5679 None Currently Available
Representative Joe Heck (R – 03) 202-225-3252 202-225-2185 https://heck.house.gov/contact-me/email-me

They are listening to us.  Make your voice heard!


Felipe Crook

Realty ONE Group

8395 Sunset Road, Ste 190

Las Vegas, NV 89113

Felipe@felipecrook.com

1-866-589-1646

Aurora Loan Services and LBPS Short Sale Approvals in Vegas

On July 1, 2011, in Las Vegas Short Sales, by Gay Real Estate Agent in Las Vegas

I recently closed two short sale transactions here in Las Vegas Nevada- both with lenders who don’t have the best track record for being easy to work with. My team has been working on short sales since 2009, and we have closed over 30 short sale transactions with many different banks including, Bank of America, […]

I recently closed two short sale transactions here in Las Vegas Nevada- both with lenders who don’t have the best track record for being easy to work with. My team has been working on short sales since 2009, and we have closed over 30 short sale transactions with many different banks including, Bank of America, Citibank, Wells Fargo, LBPS, Aurora Loan Services, Chase, EMC, AMC, Specialized Loan Services and a few other smaller banks.

If you are having trouble making payments and you’ve tried the extremely frustrating process of a loan modification, a short salemight be an option to consider. What is a short sale? A Short Sale is when a seller is upside down on their home, and they try to sell it. The bank who hold the mortgage has to approve the sale by reviewing all of the seller’s financial documents, the market value, and the seller’s hardship. If the bank approvals the short sale, the seller and buyer can proceed with the transaction and sell the home. Now, that is a grossly simplified version of a short sale. Short sales are not the most fun transaction to deal with. Many times the banks will ask for the same documentation over and over again claiming they never received it, or they’ll ask for the same information on a different type of form, or they will ask for completely random things that are odd, weird, or annoying. That is part of the process. It’s frustrating, a little painful, and tedious. However, getting a short sale approved and hopefully cancelling thousands of dollars of debt is such a great relief to many sellers that they are willing to deal with the process. The goal in doing a short sale is to get the bank to release their right to pursue a deficiency judgement (the remaining amount of the loan after the sale). For example, a home was purchased for $300,000 in 2005, sold as a short sale in 2011 for $150,000. The deficiency amount is roughly $150,000. It’s important to have the proper verbiage in your approval letters stating that the bank with waive their right to pursue the balance.

Here are actual examples of an Aurora Loan Services Short Sale Approval Letter and an LBPS Short Sale Approval Letter:

LBPS Short Sale Approval Letter:

LBPS Short Sale Approval Letter

Aurora Loan Services Short Sale Approval Letter:

Aurora Loan Services Short Sale Approval Letter

Aurora Loan Services Short Sale Approval Letter

Some positive changes in law have taken place in Nevada recently:There are changes to debt collection as to short sales in Nevada. This bill has many points, from Seconds to Guarantors. For real estate sales the major change is effective July 1, 2011. There are certain restrictions on the ability to recover deficiency at all by Junior Lien Holders of a secured note created after June 2011. But the 5 star change, is that as of July 1, 2011 junior lien holders (and perhaps senior) have only six (6) months to file suit against a home owner after the foreclosure.

A civil action by the junior lien holder against the home owner after a foreclosure sale of the real property or a sale in lieu of a foreclosure sale may only be commenced within 6 months after the date of the foreclosure sale or sale in lieu of a foreclosure. This six month rule section applies only to an action commenced after a foreclosure sale or sale in lieu of a foreclosure sale that occurs on or after July 1, 2011. But that is only foreclosures you ask? Nope. It is for short sales also. A “sale in lieu of a foreclosure” is a short sale. Sale in lieu of a foreclosure means a sale of real property pursuant to an agreement between the seller and lender in which the sales price of the real property is insufficient to pay the full outstanding balance of the obligation and the costs of the sale. The short sale (close) or foreclosure (trustee sale) must occur after July 1, 2011. Then, the Second Lien holder has 6 months, NOT SIX YEARS as was previous rule, to file a law suit for debt collection. Here exactly what the law says,

A civil action not barred by NRS 40.430 or section 3 of this act by a person to whom an obligation secured by a junior mortgage or lien on real property is owed to obtain a money judgment against the debtor after a foreclosure sale of the real property or a sale in lieu of a foreclosure sale may only be commenced within 6 months after the date of the foreclosure sale or sale in lieu of a foreclosure.”

This Section 3.3 this act apply only to an action commenced after a foreclosure sale or sale in lieu of a foreclosure sale that occurs on or after July 1, 2011.

The explanation of this Section from the Legislature is here –> Existing law authorizes a creditor under an obligation secured by a junior mortgage or deed of trust to bring an action to obtain a personal judgment against the debtor only if the action is commenced within 6 years after the date of the debtor’s default. (NRS 11.190) Under property securing such an obligation is the subject of a foreclosure sale, a trustee’s sale or a sale or deed in lieu of such a sale, the creditor may bring an action to obtain a personal judgment against the debtor only if the action is brought within 6 months after the foreclosure sale, the trustee’s sale or the sale in lieu of a foreclosure sale or trustee’s sale.

Read the entire bill here——-> http://www.leg.state.nv.us/Session/76th2011/Bills/AB/AB273_EN.pdf

If you would like a free consultation regarding short selling your home here in Henderson or Las Vegas, please give me a call toll free at 1-866-589-1646. All information is strictly confidential. I ALWAYS recommend my short sale clients speak to an attorney and an accountant to understand the legal and tax ramifications of a short sale.

Felipe Crook

Realty ONE Group

8395 Sunset Road, Ste 190

Las Vegas, NV 89113

Felipe@felipecrook.com

1-866-589-1646