Friday, March 06, 2020

Las Vegas Real Estate in February: Sales up 23% YoY, Inventory down 39% YoY

by Calculated Risk on 3/06/2020 10:08:00 AM

Note: Las Vegas will probably see a significant decline in visitor and convention traffic over the next several months due to COVID-19. We will see if this has a significant impact on local real estate.  Sales in February were strong, and prices finally hit new highs (there was a huge bubble in Las Vegas).

The Greater Las Vegas Association of Realtors reported Southern Nevada home prices finally break all-time record while supply keeps shrinking; LVR housing statistics for February 2020

The total number of existing local homes, condos and townhomes sold during February was 3,089. Compared to the same time last year, February sales were up 25.7% for homes and up 14.0% for condos and townhomes.
...
By the end of February, LVR reported 4,240 single-family homes listed for sale without any sort of offer. That’s down 40.6% from one year ago. For condos and townhomes, the 1,214 properties listed without offers in February represented a 30.8% drop from one year ago.

Meanwhile, the number of so-called distressed sales remains near historically low levels. The association reported that short sales and foreclosures combined accounted for 2.5% of all existing local property sales in February. That compares to 2.6% of all sales one year ago, 3.8% two years ago and 10.6% three years ago.
emphasis added
1) Overall sales were up 23.2% year-over-year to 3,089 in February 2020 from 2,508 in February 2019.

2) Active inventory (single-family and condos) is down from a year ago, from a total of 8,888 in February 2019 to 5,454 in February 2020. Note: Total inventory was down 38.6% year-over-year.   This is the fourth consecutive month with a year-over-year decrease in inventory, and that follows 16 consecutive months with a YoY increase in inventory.  And months of inventory is still low.

3) Low level of distressed sales.