Thursday, September 06, 2018

Las Vegas Real Estate in August: Sales Down 3% YoY, Inventory up 20% YoY

by Bill McBride on 9/06/2018 11:33:00 AM

This is a key former distressed market to follow since Las Vegas saw the largest price decline, following the housing bubble, of any of the Case-Shiller composite 20 cities.

The Greater Las Vegas Association of Realtors reported Southern Nevada home prices hovering this summer, GLVAR housing statistics for August 2018

After climbing steadily since 2012, local home prices have been hovering this summer, with a report released today by the Greater Las Vegas Association of REALTORS® (GLVAR) showing prices back to where they were in May.
...
The total number of existing local homes, condos and townhomes sold during August was 3,881. Compared to one year ago, August sales were down 6.4 percent for homes, but up 11.0 percent for condos and townhomes. Overall, he said sales so far this year remain behind last year’s pace.
...
Meanwhile, Bishop said the housing supply increased in August, which he called good news for potential buyers. However, he said Southern Nevada still has less than a two-month supply of existing homes available for sale when a six-month supply would be a balanced market. By the end of August, GLVAR reported 5,818 single-family homes listed for sale without any sort of offer. That’s up from July and up 12.8 percent from one year ago. For condos and townhomes, the 1,184 properties listed without offers in August represented a 73.4 percent increase from one year ago.
...
The number of so-called distressed sales continues to drop. GLVAR reported that short sales and foreclosures combined accounted for just 2.5 percent of all existing local home sales in August, down from 6.1 percent of all sales one year ago.
emphasis added
1) Overall sales were down 3.3% year-over-year from 4,012 in August 2017 to 3,881 in August 2018.

2) Active inventory (single-family and condos) is up from a year ago, from a total of 5,840 in August 2017 to 7,002 in August 2018. Note: Total inventory was up 19.9% year-over-year.   This is a significant change in inventory.

3) Fewer distressed sales.