New-home sales in Las Vegas continue rise, report says
The Southern Nevada housing market continues to show signs of increased stability as sales and prices move in a positive direction, an analyst from SalesTraq research firm said Friday.
The new-home construction sector posted its ninth consecutive month of year-over-year sales increases with 580 closings in October, and the median price reached $216,045, a 9.4 percent jump from a year ago, SalesTraq reported.
The resale segment also showed increased vitality, with sales up 1.4 percent to 4,257 in October, and the median price up 18.1 percent to $124,000. It's the ninth consecutive monthly increase in median resale price, SalesTraq principal Brian Gordon noted. Values continue to reflect the effects of relatively tight availability, he said in the October report.
With about 1.3 months of effective inventory in the Multiple Listing Service and fewer real-estate owned, or bank-owned, homes coming through the system, home buyers are facing conditions reminiscent of the 2004 housing price boom, he said.
Regulatory effects of legislation such as Assembly Bill 284 - Nevada's robo-signing law - are expected to be less of a constraint as lenders seek alternative methods to repossess homes, he said.
Changes to AB 284 are possible, Gordon said, but the earliest they could occur is February, when the Nevada Legislature begins its 77th regular session.
The number of foreclosures remains low with just 262 in October as a result of the regulatory environment.
"While these external factors will play a role in the recovery, underlying fundamentals such as population and employment growth will ultimately press the housing market to the next level," Gordon said.
