Welcome to the February issue of my monthly market update for Southern Nevada. In this issue I will be going over January 2020 numbers.
Southern Nevada’s housing market had another big jump in sales last month, compared to this time last year and prices remained relatively flat.
There were 2,283 single-family houses that sold in January, down 12.5% from December, but up 25.2% from January 2019.
This huge increase from last year is very significant. As I reported last month, I had a feeling that January was going to be a very busy month, especially compared to last year’s numbers.
The median sales price of previously owned single-family homes is now at $305,000. In December it was at $312,900, which is down 2.6% from December, but up 1.7% from the prior year. According to the Greater Las Vegas Association of Realtors.
I am actually glad to see that the median sales price dropped to $305,000, because for a minute there I thought that it was going to continue to rise, causing affordability concerns.
Luckily Las Vegas’ median sales price remains below its pre-recession peak of $315,000, back in June 2006. Adjusted for inflation, the pre-recession peak would be around $398,000 in today’s dollars.
Southern Nevada also had a total of 3,097 new listings for the month of January, up 54.8% from December, and down 18.6% from the prior year.
There were also a total number of 4,906 single-family houses listed without offers at the end of January, down 11.4% from December and down 32.4% from the prior year.
I am glad to see that we had an increase of new listings from December, however, we were still down from the prior year.
If you are a seller, I would seriously consider selling your house now! We need the listings! There are a ton of buyers out there right now looking to buy in Las Vegas and with very limited inventory you may be able to sell your home for top dollar.
There is still a 2.1 months housing supply in Southern Nevada, up 1.2% from January and down 46% from prior year.
So, what does “Months of Supply” mean? Months of supply is the measure of how many months it would take for the current inventory of homes on the market to sell, given the current pace of home sales. …
Months of supply is a good indicator of whether a particular real estate market is favoring buyers or sellers.
Typically, a market that favors sellers has less than 6 months of supply, while more than 6 months of supply indicates an excess of homes for sale that favors buyers. We are still in a sellers-market, but it is not as strong as it was from a year ago.
46.1% of the closings for the month January was on the market 30 days or less, in December this number was at 48.7% and in January 2019, 48.3% of the homes were on the market 30 days or less.
The key take-away is this, if we continue to have an inventory shortage this year, it only means two things! One, bidding wars! I said it, mark my words, there will be buyers fighting for homes. And number two, these bidding wars will cause an increase in the median sales price and we will definitely surpass our pre-recession peak of $315,000!
So again, if you are a seller and have been sitting on the fence about selling your home, now is the time to SELL! If you have equity and would like to upsize, downsize or relocate, now is the time to do so. I can’t stress it enough. I predict that this year is going to be a peak year and that next year we will taper off.
If you would like to download the full report provided by the Greater Las Vegas Association of Realtors, CLICK HERE!
Also, if you are thinking about buying or selling in the Las Vegas Valley, CLICK HERE or you can call me at 702-370-5112.
Well, I hope you have enjoyed my monthly market update for February 2020.
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