Home prices in Southern Nevada stayed at a record high in February, according to Las Vegas Realtors.
The median sale price for a house sold in February was $485,000, the same it was in January, a record high, signaling a potential slowdown in price increases across the Las Vegas Valley that have continued over the past few months.
Homes continue to flood the local market. By the end of February there were 5,229 single-family homes listed for sale without any type of offer, a 50.6 percent increase from a year ago, according to LVR, which pulls its data from the Multiple Listing Service. There were 2,025 condos and townhomes listed without offers in February, representing a 74.6 percent increase from one year ago.
LVR President George Kypreos said this is a sign that the housing market is becoming “more balanced” after a prolonged seller’s market.
“We’re seeing more homes available for sale here in Southern Nevada, giving buyers more choices,” he said. “The decrease in mortgage interest rates during the past week or two is also welcome news for home buyers. Overall, it’s a more level playing field right now.”
Redfin has the average mortgage rate for a 30-year-fixed term at 6.6 percent. According to the Federal Reserve Bank of St. Louis, the average mortgage rate has not dropped below 6 percent since August 2022.
In February, a total 2,296 homes, condos and townhomes sold in Southern Nevada, a 6.1 percent drop from the same month last year. The sales pace last month equates to more than a three-month housing supply and last year at this time, Southern Nevada had less than a two-month housing supply.
According to Redfin, the median days on the market for a home in the valley is 57, a four-day increase from this time last year. Approximately 23 percent of homes selling right now in the valley sell with a price drop.
Las Vegas finds itself in the middle of a housing crisis caused by a number of factors including a lack of land to develop residential real estate, high mortgage rates, increased building, construction and labor costs and the “locking effect” created during the pandemic when mortgage rates bottomed out.
Contact Patrick Blennerhassett at pblennerhassett@reviewjournal.com.
