Las Vegas has poised itself as the center of American gambling and entertainment. In the 1990s, it experienced a steady upturn in housing inventory and residential construction. Sales doubled due to new families and migrants, reaching its peak in 2001.
Homebuyers considering investing in Las Vegas can take advantage of the thriving entertainment and gaming industries. Retirees have a number of housing communities specially designed to suit their lifestyle for outdoor activities in parks and shopping centers. Master-planned communities offer houses starting at $300,000 and up. Gated luxury communities on the other hand fetch prices up to $5 million. Other housing developments abound within city limits and also in Clark County where an estimated 50,000 people migrate each year.
For the first half of this year however, Las Vegas has been severely affected by the economic downturn. S&P’s Case-Shiller Index for May recorded a 2.9 percent drop in its MoM home prices – the highest in the 20-City Composite list. YoY change shows Las Vegas’ prices with the highest plunge among the select cities with 28.4 percent.
The Center for Business and Economic Research of the University of Nevada recorded an oversupply of houses in the city due to speculative investing in housing. Colliers International Las Vegas expects no positive changes until the end of the year. However, it forecasts a rebound for the real estate market by 2009. Property agents also count on a possible upswing when construction projects are completed, a move that will cut down unemployment numbers and vacancy rates in all types of housing units.