I know it sounds crazy, with all the talk about high interest rates and price drops, but Vegas home prices hit another record high last month. We all know about supply and demand and a lot of people think that when inventory starts increasing, prices should automatically fall. While that can happen, we’re not there yet.
One of the biggest reasons prices continue to hold steady, and even increase, is that inventory, while growing, is still not high enough to fully satisfy buyer demand.
Since my last newsletter, the number of homes for sale has increased by roughly 500 properties, which is a nice jump. However, the market still doesn’t have enough available homes to create the kind of oversupply needed to push prices lower.
Think of it like adding a few more seats to a sold out concert on the strip. There may be more tickets available than before, but not enough to make tickets cheap.
That’s what we’re seeing in Vegas. Buyers have more choices than they did in the past, but demand remains strong enough that sellers are not being forced to lower prices across the board. Until inventory reaches a level where supply exceeds demand, prices are likely to remain at this level.
|
Las Vegas Market Snap Shot
|
||||||||||||||||||||
|
