Bob's Bulletins These articles are courtesy of Bob Evans. He's an investor from California who has invested here in Vegas and watches this stuff like crazy...
Dec 20, 2010
Dec 13, 2010
Dec 6, 2010
Nov 30, 2010
 
HOUSING MARKET: Report: Las Vegas home prices rising
Las Vegas ranked as the No. 3 market in the nation for home price gains in November, defying predictions that prices would decline further during the normally slow period of the year, real estate brokerage Re/Max reported Friday... more.
My take: That's what I'm talking about. We are officially past the bottom.

Canada boosts cross-border interests, backs off consul

Real estate brokers anecdotally report that Canadians have been buying second homes throughout the valley, taking advantage of the declining prices over the past couple of years and the rising value of the Canadian dollar against the U.S. dollar... more.

My take: Just shows you that Canadians are prudent eh?

Nevada foreclosure sales, filings slow

Foreclosure activity slowed in November for the second straight month, and Nevada foreclosure sales have decreased 50 percent from two months ago, website ForeclosureRadar.com reported Tuesday... more.

My take: This explains why investor inventory is getting crappier.

Southern Nevada economy expected to rebound in second half of 2011

Las Vegas is still reeling from the deepest recession since the Great Depression and probably won't snap out of it until the second half of 2011, the director for UNLV's Center for Business and Economic Research said Wednesday... more.

My take: I wouldn't set your watch to it as there won't be a magical moment when people feel like the worst is over.
Improving Fundamentals Indicate Positive Future For Apartment Property Investment
Rents increased for the second quarter in a row. Asking and effective rents increased by 0.5% and 0.6% respectively in the third quarter over the previous quarter, roughly matching the gains in the second quarter... more.
My take: I see relatively flat rates in Vegas over the next 2 years.

Las Vegas home prices devalued even more by “toxic neighbors”

Las Vegas homes which are not in foreclosure have lost an average of $78,000 in value since the foreclosure crisis began. Making matters worse are the number of homes in foreclosure with owners that don’t care for the property... more.

My take: This is old news and I disagree. I've seen entire neighborhoods improved because investors purchased them from people who didn't know how to be responsible.

Survey: Foreclosure scandal will delay recovery

Las Vegas home prices, which have already fallen 60 percent from their 2006 peak, are expected to tumble another 5 percent to 7 percent, in line with national projections, Sharga said... more.

My take: This is true for homes listed at $250k or greater. We are already WAY past the bottom for SFRs under $50k.

Single-family home sales rise 6.8 percent; prices up

Sales of single-family homes in November rose 6.8 percent from the previous month and the median price climbed 1.4 percent, though year-ago comparisons remain depressed, the Greater Las Vegas Association of Realtors reported Wednesday... more.

My take: Yes. Prices are creeping up and be prepared for stiffer increases in the Spring. For all of you folks that have invested with me so far, kick back and grin baby!.
Las Vegas Home Prices Inch Up Amid Foreclosure Crisis
According to the S&P/Case-Shiller 20-city index released Tuesday, for the second consecutive month Las Vegas home prices nudged up 0.1 percent... more.
My take: Yep. We will be officially past the bottom once February rolls around.

Home prices falling faster in most metro areas.

Prices are falling even in places like San Francisco and San Diego, which had posted strong increases just a few months ago. Analysts say many markets won't improve until they see fewer foreclosures and more job gains... more.

My take: I'm glad we weren't the only ones to feel the pain.

Judge halts capping of 'super priority' foreclosure liens.

District Court Judge Susan Johnson on Thursday issued a temporary restraining order against enforcement of a state regulatory advisory opinion that caps the amount collection agencies may charge under "super priority" liens against homes in foreclosure... more.

My take: For you "Auction" investors, you want to keep watching this as many of my investors have been slammed with massive liens after an Auction.

Southern Nevada economic indicators fall

The biggest drag came from gross gaming revenue, which dipped to $785.7 million in September, down 2.5 percent from the previous month. Strong baccarat play on the Strip pulled gaming numbers up in August... more.

My take: I wasn't able to determine if this was normal due to the season. November & December in Vegas is always slow.

America's Most Underwater Housing Markets

1. Las Vegas: Las Vegas was ground zero for the housing market's historic boom and bust. Loose lending standards and speculative fervor helped send home prices surging more than 104 percent from 2002 to their 2006 peaks, according to Moody's Economy.com... more.

My take: In case you have been living under a rock... Las Vegas was hit the worst - AKA - best buys today.

 

Why are there so many houses for sale without listings?
Q: GLVAR's stats show 12,379 (local housing) units out of a total of 22,570 available -- more than 50 percent of all listings in Las Vegas -- have no offers of any sort. Is that normal? -- Rob H., New Jersey... more.
My take: Yep. This guy is spot on. Investors come out of nowhere and purchase dozens at a time.

Home sales down, resale prices sink to 1996 level

Sales of new and existing homes fell in October from year-ago levels and the median resale price sank to its lowest point since 1996, Home Builders Research reported Tuesday... more.

My take: Prices continue to bump along the bottom. Winter prices are always at their bottom.

Nevada jobless rate falls for first time since 2007

IThe state Department of Employment, Training and Rehabilitation reported Monday that tens of thousands of residents have abandoned the Silver State's work force, either moving to other markets or staying put but quitting their job search... more.

My take: I see the jobless rate to remain at about 13% for another year.

NEVADAN AT WORK: Bank-buying entrepreneur sees rebound for valley

In recent months, you start seeing that people are willing to inject capital into community banks. Today, we have lower loan delinquencies than two or three years ago. In the long term, (community banks investments are) good for the community and it makes good business sense.. more.

My take: My belief too is that weak have already been eaten. The businesses remaining have been profitable and will remain so.

Rotten economy hurts Las Vegas’ prospects for 2011

“National and international investors we talk to look at Las Vegas as a market where there are problems,” Roschelle said. “There are job growth issues and since jobs are the engine for real estate investment, they’re not bullish on any market that has risk that jobs won’t be created in the near future. That’s the broad point of view of Vegas.”... more.

My take: I don't see a major increase in business either. This article focuses on appreciation, not cash flow. Does anyone know where they can get greater than 15% returns in real estate except in Detroit?

 

Nov 22, 2010 Nov 15, 2010
Nov 8, 2010
Nov 1, 2010
Oct 25, 2010
Unfazed investors shell out cash for distressed properties
The hang-up over so-called foreclosure "robo-signers" is definitely cause for concern, but it hasn't stopped investors from sinking their cash into low-priced Las Vegas homes that throw off a relatively high rate of return, real estate sources said... more.
My take: Nevada is very "Owner" friendly and doesn't follow the same liberal guidelines found in many states like California. That's why I invested here.

Investment Properties as Rental Homes Provide Great Tax Breaks

The tax code permits most owners of residential rental properties to offset income by writing off numerous rental home expenses. You can find all of the details in IRS Publication 527, “Residential Rental Property.” Many rental home expenses are tax deductible... more.

My take: This is a really good article the new investors.

Rates leap to 3-month high

The benchmark 30-year fixed-rate mortgage rose 16 basis points this week, to 4.62 percent, according to the Bankrate.com national survey of large lenders. A basis point is one-hundredth of 1 percentage point. The mortgages in this week's survey had an average total of 0.37 discount and origination points. One year ago, the mortgage index was 5.05 percent; four weeks ago, it was 4.42 percent -- the lowest in more than 50 years... more.

My take: Mortgage rates will continue to increase for at least another decade. If you are going to get a loan, you are already 3 months behind.
Credit scores differ with each company, change often
United Feature Syndicate Inc. - Here is a scenario that happens all too frequently: A would-be home buyer applies online to obtain his or her all-important credit score. It comes back at a healthy 720, good enough to qualify for the best rate in the mortgage market. But then, when he or she applies for a loan with a local lender, the score is much lower. So low, in fact, that he or she might not qualify, even at less favorable terms... more.
My take: This is a really nice explanation that explains to many folks why credit scores are mystery. Excellent reading.

Rates edge higher awaiting QE2

Mortgage rates bumped higher this week, as global financial markets awaited details of the Fed's second round of quantitative easing…. more.

My take: Rates will continue to go up. The historical lows are over.

Las Vegas: 4,000 High Rise Condos still for sale

The CityCenter (18% sold) is even doing worse than Trump Tower (25% sold). It will take years to clear this inventory. .. more.

My take: This confirms what I have been telling investors for the past 4 years. There will be more blood on the streets in front of these High Rise Condos.

Report shows continued decline in housing prices

Vegas isn't declining too steeply because it already has," Altos Research spokesman Scott Sambucci said. "At this point, I'd say Vegas should take any stability in prices occurring in concert with rising inventory as a huge positive. If prices can hang on -- relatively speaking -- while inventory grows, that's a good thing because usually more supply at fixed demand leads to lower prices."…. more.

My take: I see relatively flat pricing on the low end of the properties my investors typical pick until March 2011.
Local economic indicators continue to rise.
LAS VEGAS REVIEW-JOURNAL - Strong growth in Clark County's gaming revenue for August drove the Southern Nevada Index of Leading Economic Indicators to its second consecutive monthly increase, UNLV's Center for Business and Economic Research reported…more.
My take: I am convinced more than ever the worst is over. Time to open up the storm shutters and let the sun in.

Valley land prices fall during quarter, may decline further

LAS VEGAS REVIEW-JOURNAL - Land prices continued to slide in the third quarter and further reductions are expected through the end of the year as more property goes back to the bank, a real estate analyst for Colliers International brokerage…. more.

My take: You've got to be insane to invest in land or commercial right now.

Are Las Vegas Foreclosures A Smart Investment Strategy?

In Las Vegas, the term foreclosure is practically synonymous with investing. The reality is that buying foreclosures in this town isn't always the smartest investment strategy. So, how can you be sure that you're making an wise long term investment, and not just digging yourself... more.
My take:This backs up my belief that you should give ROI equal weight to neighborhood desirability. .

Mass e-mails mislead readers about home sales tax

The health bill passed this year by Congress included a provision that imposes a new 3.8 percent Medicare tax for some high-income households that have net investment income. Any revenue collected by the tax is dedicated to the Medicare hospital insurance program... more.
My take: This is just for you folks who may have received a misleading email from spammers.
Canadians take advantage of 'record low housing prices
So far this year, more than 60 per cent of homes on the market in and around Glitter Gulch have sold in less than 60 days. Another interesting aspect of the Las Vegas market is that 45 per cent of the sales were cash deals -- a number that exceeds the market's peak in 2004, says Clarke... more.
My take: No surprise here. Canadians experience really bad cash flow in their markets and after doing some math, discover Vegas rocks.

Vegas home sales down 15% in September: DataQuick

Las Vegas home sales fell 15% in September from a year ago but held flatter than normal on a monthly basis, according San Diego-based real estate data provider MDA DataQuick... more.

My take: This is the market reaction to less inventory. The little inventory for investors that has come online recently is just not that exciting.

Five Las Vegas Real Estate Facts You Should Follow

No matter if you’re planning to move to the city, or simply looking to jump directly into Las Vegas real estate investment property arena in Las vegas, there’s something you should know about this area. Like most people, you’ve probably been made aware ... more.
My take:The only one I have a problem with is the Short Sale myth. 80% of these deals go sideways at the 11th hour. Life is too short to deal with these headaches.

Las Vegas apartment rent prices continue to fall.

Apartment rents in the Las Vegas Valley continued to fall while occupancy rose slightly in the third quarter, business advisory firm Applied Analysis reported.... more.
My take: $8 less per month over a one year period is not the Apocalypse. I have adjusted my market rents on my web site to reflect the current rates and market conditions.

Lower housing prices may be here to stay.

The sub prime mortgage crisis and massive home foreclosures have reset America's housing market to a level more in line with today's economy, which means less consumption and more conservatism, a scholar with Brookings Mountain West said Tuesday... more.
My take: This scholar isn't married.
Las Vegas still faces foreclosure snags.
Several mortgage lenders earlier this month halted foreclosures in the 23 states that require court approval on housing repossessions... Nevada's not one of those states, but local housing observers say the foreclosure-paperwork questions could still affect the Las Vegas real estate market... more.
My take: Excellent news. Let the real estate market do what it needs to do without government interference.

Top Five Mistakes to Avoid when Investing in Las Vegas Real Estate

Las Vegas real estate investing can be very profitable; however, it can also be risky. Learn from the mistakes of other Las Vegas real estate investors.  By avoiding these five most common Las Vegas real estate investing mistakes, you can be that much closer to your goals for owning a lucrative Las Vegas real estate investing business... more.

My take: My tips are better than these but it's a good overall view of what to avoid.

Record-low mortgage rates keep falling

Mortgage rates hit another modern-day low this week. The benchmark 30-year fixed-rate mortgage fell 5 basis points this week, to 4.42 percent, according to the Bankrate.com national survey of large lenders.... more.
My take: Now all we need is people interested in buying real estate...

Analyst: Home prices slip slightly in '10

Las Vegas home prices are probably going to finish the year down from 2009, but not by the double-digit percentage declines witnessed in the past few years, housing analyst Larry Murphy said Thursday... more.
My take: I don't think this will be true for properties under $80k. Inventory under $80k continues to dry up while more investors are clamoring for them.