LAS VEGAS — The state of Nevada has teamed up with housing experts to grade the local housing market, and the marks are nothing to brag about.
The struggling housing market in Las Vegas is showing slow signs of improvement.
“Right now, I’m trying to buy a house and it’s been very difficult,” said Elizabeth Valles who is house shopping.
What she is finding out is that Las Vegas is a sellers’ market and finding a home to buy is turning into a frustrating experience. She has already looked at more than 20 houses.
Valles, hoping to get some guidance, attended a housing market forum held at The Orleans Hotel & Casino Thursday.
“Prices are skyrocketing now, but it’s because we have no supply. There’s about 1.3 months of supply in southern Nevada. There should be six months,” said Bruce Breslow, the director of the Nevada Department of Business and Industry.
The department’s brand new Nevada Housing Stability Index is out. The Silver State gets a “D” for underwater loans, a “D-” for foreclosures and a “F” for too many investors. The state earns a “B-” for new home prices compared to existing houses and an “A” for new construction supply and demand. The overall grade was a “D+” for the local housing market.
“The recovery is underway. Things are improving. They’re not improving as quickly as we would like, but it’s certainly a lot better than what it has been,”said Dr. Stephen Miller, professor of economics, UNLV Lee Business School.
“They’re getting ready to build again. Some are already building. A lot more will come, and we’ll see 5,000 to 10,000 new homes built,” Breslow said.
“We’ve got a long way to go and as residential recovers, hopefully commercial will not be too far behind,” said rick smith/chairman of executive committee, lied institute for real estate studies:
Valles will have her first home one day soon, but chances are, it won’t be tomorrow.
According to the latest Zillow Home Value Index, the median price of a home in Las Vegas in May is about $146,000. That’s an increase of 28 percent from this time last year.