So Just Who Is Buying Las Vegas Real Estate?

HouseKeys

The tax credit is over.  The election is over.  So just who is buying houses in Las Vegas?

From a person standpoint, my first time home buyers have complete dropped off the face of the earth.  I went from working dozens a month to about 2 in the last two months.  It seems the tax credit was a huge motivation to purchase and now that it is over, buyers feel much more skeptical about signing on the dotted line.  A lot of that is due to the lack of funds to fix up the property once they do purchase it.  To purchase a $100,000 property, it will take a minimum of $3,500 cash to purchase, and that is if you get some help on the closing costs.  Otherwise, you are looking more like $6,500.  Most first time home buyers don’t have the additional funds necessary to purchase a bank owned property and fix it up.

That leaves us with investors.  I was just out with two of them from Canada and they were shocked at what you could get for your money.  Investors have the funds to put into these properties and get them back to habitable conditions.  Whether they use them as a vacation home, rental, or just flip them, the majority of my transactions in the past few months have been investors looking to get some value on their money.  For the time being, it looks like Vegas can still be a great place to make some money in the Las Vegas Real Estate market.