Shortage of homes, competition driving prices up in Las Vegas valley

Local News

LAS VEGAS (KLAS) — If you are trying to buy a house in Las Vegas, most likely you are frustrated.

Houses are selling within hours of being listed, and offers are way above listing price.

So who is buying these homes — and in many instances, paying cash?

Near Silverado Ranch and Arville Street in the southwest valley, you can see a lot of construction Realtors say many people from California want to move to areas just like this.

Rob Pistone is an investor-owner and real estate agent for Keller Williams VIP.

“What we are dealing with is a shortage of inventory,” Pistone said.

He said that shortage is causing competition for homes. And with competition, prices are rising.

“The housing market is no doubt very hot right now. In my 20 years, I’ve never seen the inventory at this low of a level,” Pistone said.

Pistone says he believes it will continue the be a strong market through the end of 2021.

“I can’t even keep up with it,” he said. “I drive around town and every corner is being built on.”

No state income tax and a great climate make Las Vegas an inviting place to live.

“We are overbidding here, yes. It is happening especially with the nicer properties,” Pistone said.

Marat Kremenetskiy recently bought a home, and he said it was very challenging.

“We were looking for about three months to find something, that not only would like, but wasn’t already under contract by the time we got around to put an offer to it,” Kremenetskiy said.

And offers are abundant for the hot properties — causing bidding wars among buyers.

“Most of the time we weren’t the highest,” Kremenetskiy said. “We were underbid by $10,000 on a house. We didn’t get it, obviously, because there was a cash offer.”

But after putting in five offers, he got a home.

His advice: If you see something, act quickly.

“I would say count on at least 10-15% more than what the listing goes for,” Kremenetskiy said.

The prices concern buyers, of course. And there’s concern about a repeat of the Great Recession.

“I worked through 2008 and that was a completely different dynamic, and in my opinion I don’t think we’ll see that come back again,” Pistone said.

Pistone’s advice is to be patient.

If you are in the $300,000-$400,000 range and it’s your first home, consider a home that might need som extra work, he said.

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