One Investor Says Las Vegas Home Prices May Have Hit Bottom

Steve Bottfeld, a real estate analyst with Marketing Solutions has a 3 point theory of how to gauge the bottom of a real estate market. First, he looks at the inventory of homes listed on the local Multiple Listing Service (MLS). Second, he evaluates the volume of business which is simply the number of homes being sold in the marketplace. Lastly, he considers the average median price of homes. Bottfeld states that once the inventory stops increasing, the volume begins trending upward and the median price stabilizes… you have found the true bottom of the market. Concludes Las Vegas real estate investor Glenn Plantone: "From the data we are now considering for the Las Vegas valley, it appears that the elusive bottom may be right around the corner if not already here." He says the current median price of homes in Las Vegas is near $184,000, and "1in 76 homes is currently in some stage of foreclosure." What can you get for that price? 3 BR home shown above, currently on Las Vegas MLS, built in 2003, is listed at $179,999.

Have Prices Fallen Enough to Buy in Las Vegas?

Now may be the best time ever for investors to buy a home in foreclosure-slammed Las Vegas, says Glenn Plantone, whose National New Builds company based in Vegas specializes in undervalued markets."Since the beginning of 2008 the inventory of homes listed in the multiple listing service (MLS) has been slowly decreasing, while the volume of sales has slowly been picking up," he says, adding. "the average price of these homes has been dropping by about $10,000 a month." Thus, as of September 20008, homes with 20% down payments and fully amortized loans will now once again" make sense. Pantone, who says he is a full-time investor and a licensed realtor, declares that Vegas home prices are "as low as 30 – 50 cents on the dollar," making a purchase now a "great cash flow play." He also cites statistics indicating the migration into Las Vegas by residents continues unabated, providing a ready made buying public.