I have kept track of median home sales price in the Las Vegas Valley since mid 2006. Below is a graph that gives a visual representation of that slide and then subsequent stabilization.
Short sales continue to dominate this market with 45.3% of the closings in October. Foreclosures represented 11.3% of the sales. Banks seem to be more responsive to short sales lately. Another factor, I believe, is the heavy marketing done particularly by local law firms representing their short sale services. I really do not know if there is any advantage to the seller in this. I can tell you that it makes the process for any buyer harder due to the general lack of responsiveness I see from the seller’s agents working with these law firms. In any event, plan on having your patience tried if you choose make an offer on a home listed as a short sale. Having said all this, in some cases, if you are patient, the rewards can be considerable.
One example. I represented a buyer in a short sale purchase this summer. There was no immediate pressure from other buyers, to my knowledge. My client paid $525,000. Almost immediately after the sale my buyer was transferred by his company. I then re-listed this home at $565,000 as a conventional sale and had multiple offers within a few days and eventually closed at list price. I will say that since then, particularly at lower price points, the competition for short sales, as a buyer, has increased substantially.
