Las Vegas Real Estate Blog

New Las Vegas Luxury Condos Taking Reservations!

2012-01-14T15:46:00.001-07:00

If you have been looking for a taste of luxury, hurry down to view the new models at The Modern, which should be completed by the end of January! The Las Vegas real estate market is coming to life again with The Modern, the first new Las Vegas luxury condo project to open during the past few years, was developed as a totally unique luxury loft lifestyle focusing on the essentials of what optimized living should be.

The remarkable luxury loft homes of The Modern combine a respect for the light, the color palate, and the natural environment with state-of-the-art technology and a true understanding of how people relate to space. The architecture provides progressive soaring private spaces to call home in the context of a neighborhood social community with courtyards, common areas, spa and pool, and interconnected pathways all complimented by the very finest in amenities and services.

The Modern features five distinct open floor plans with a choice of one, two or three bedroom residences ranging in size from 1138 sf. to 2244 sf. (There are only 83 residences at The Modern, and some floor plans will be in limited supply.) They won't be going to contract until early February with a projected April move-in, but they are now accepting fully refundable advance reservations.

The Modern is located close to the popular master planned community of Summerlin and the Red Rock Conservation area, but just east of the 215 Beltway for easy access to the entire valley. Residence amenities include:

Exquisitely Upgraded Design features
European Style Cabinetry
Travertine & Solid Surface Countertops
High Ceilings Approx 10 to 21 feet
Private terraces

Development Amenities include:

Resort Style Pool & Spa with Cabanas
Private Two Story Fitness Facility
Dry Sauna & Steam Room
Rooftop Sundeck with Wet Bar, BBQ’s & Cabana
Fire Pits & Water Features
Pet Parks
Gated Community
Subterranean Parking Spaces

To obtain floor plans and pricing or to schedule an appointment to tour the project, call us at 702-985-7654 or email sold@greatlasvegashomes.com.

Great Price on Guard Gated New Homes!

2011-12-13T13:00:00.001-07:00

The pricing on Las Vegas new homes has been drastically reduced over the past few years (along with the rest of the inventory in the Las Vegas real estate market), and it is amazing how affordable some of the luxury new home developments have become. Dunhill Homes has two gorgeous neighborhoods in lush guard gated golf course communities, Tuscany Village and Rhodes Ranch, which are offering some surprising values.

Rhodes Ranch is located in the popular southwest area of Las Vegas near Summerlin. One and two story floor plans in this community range from 1532 sf to over 3600 sf, and are priced from $185k to $329k. The Rhodes Ranch community offers residents a 35,000 square foot recreation center with fitness facility and resort style pools, a Fun Zone Water Park for the kids, an award-winning golf course, and miles of walking trails. The Rhodes Ranch Golf Club, a par 72 championship course named a “Best Value” by Vegas Golfer Magazine, was designed by renowned architect Ted Robinson. Standard features include: Energy Star Certification, granite slab countertops, rich beechwood cabinetry, Whirlpool appliance package, front yard landscaping and paver walks and driveway.

Tuscany Village is located in the southeast area of the Las Vegas Valley, adjacent to the world-renowned Lake Las Vegas master planned community. One and two story floor plans in this community range from 1364 sf to over 2600 sf, and are priced from $130k to $260k. Residents can play the Tuscany Championship Golf Course, work out at the 35,000 sf recreation center with fitness center and resort style pools, or walk for miles among open trails, crystal clear lakes and palm trees. Standard features at Tuscany Village include: Energy Star Certification, granite slab countertops, rich beechwood cabinetry, Whirlpool appliance package, front yard landscaping and paver walks and driveway.

Both communities have standing inventory, or you can pick your own lot and floor plan and have a home built exactly the way you want it from the ground up. And in addition to the low pricing, Dunhill is currently offering buyers between $10k to 20k in incentives that can be used towards closing costs or design upgrades.

Email us now at sold@greatlasvegashomes.com to get floor plans and the latest pricing and buyer incentives for either of these two great communities!

Condo on the Las Vegas Strip - Only $125k!

2011-12-10T03:38:00.002-07:00

Didn’t think you could afford prime Las Vegas real estate? Now you can own a condo right on Las Vegas Boulevard for only $125k!

Sneak preview - own your piece of the fabulous Las Vegas Strip for a fraction of the usual cost. Located right between the between the beautiful Bellagio and the vibrant MGM City Center in the heart of all the action, this rare Jockey Club condo is just right for the perfect vacation getaway.

Just listed - lovely 9^th floor unit with one bedroom one bath unit and full kitchen is fully furnished with everything you need in a holiday home. As an owner, you can take advantage of the Jockey Club’s fitness center, pool, sauna or business center, and then stroll casually out the front door to the finest restaurants, shops and shows in the city.

Want to know how great of a deal this is for Strip front property? Next door the MGM City Center condos start at $400k plus. The Jockey Club was actually built as a timeshare project, but a few of the units are privately owned, and this is one of them. They don’t often come on the market, and this will truly go fast once the photos and description are posted in our MLS.

So call us fast at 702-985-7654 – first come, first served!

December is the "Black Friday" of Real Estate

2011-12-01T09:56:00.001-07:00

For the past three years clients have been telling us they want a “steal of a deal” on Las Vegas real estate. So how come most of them stop looking in December? All month long, December is the Black Friday of real estate!

Savvy shoppers know that December is the best time of the year to buy property for a number of reasons. And that has never been more true of homes for sale in Las Vegas at the end of 2011 with interest rates and prices at an all time low already.

1. Motivated sellers! Many sellers will take their home off the market until after the holidays. This indicates a seller who is less motivated to sell. A seller who keeps their home on the market and easily available for showings wants to make that deal.

2. More negotiating room! Banks and other companies holding Las Vegas foreclosures want to clear their books so their year- end bottom line looks better to stockholders.

3. Less competition! There is less competition from other buyers who are distracted with holiday shopping and company parties. Or they may be waiting for more inventory to come on the market with the New Year. Yes, there will definitely be more listings after the first of the year, but again, these are likely sellers who are not as motivated to sell and may have until late spring or early summer to move.

4. Undivided attention! Real estate agents are less busy during December and have more time to hunt down that really special deal on your behalf. Listing agents are more willing to present lower offers to their sellers. Real estate agents may literally become your best friends during these slow months as they try to keep their sales moving.

5. Easier financing! Federal regulators have been threatening to tighten up mortgage guidelines yet again in 2012, and may also raise the amount of down payment required for FHA buyers. Not to mention that interest rates may also rise. A small percentage of increase in the interest rate means less buying power.

So this holiday season you have a choice: plan for the holidays, or take advantage of real estate’s annual Black Friday deals and plan for your future.

Buy a Property for $50k - Rent it for $1k per Month?!

2011-11-05T14:18:00.000-07:00

'Where in Canada can you buy a $50,000 property and rent it for $1,000 a month?' was the lead-in for an article on the Las Vegas real estate market in the Montreal Gazette this past Friday. The article implied that paying $50k for a property and being able to lease it out at $1k per month was easy in Las Vegas and other distressed US markets.

If so, I would sure like to know where these properties are. I can’t seem to find any listed in our local Las Vegas MLS system. I would be happy to buy at least 10 of them this week myself! Already our phones are ringing off the hook from Canadian buyers who saw the article and don’t believe us when we tell them it was all hype. They think we are “hiding” the listings from them! (I have yet to see a real estate agent that can afford to “hide” listings and stay in business.)

Where does the press come up with these statistics?? They seem to have little or no basis in fact. Another news article posted recently said that the Las Vegas real estate market was going to go down another 10% to 12%. Again, this was reported with no supporting documentation, just a gobbled gook of random statistics that had no bearing on what was reported. But because of articles like these, we have to spend a lot of time re-educating buyers on fact vs. fiction and what is actually possible.

Sure, we absolutely have low cost homes for sale in Vegas. But they are in neighborhoods where the purchase price reflects the potential rental income as well. (And Buyers, please check those Metro crime statistics before making a purchase.) True, many of the Las Vegas short sale properties are listed way below market just to get someone to put in an offer. But the banks always do their own appraisal before approving a short sale, and will usually counter with a price that is within 5% of the actual market value.

That is not to say that you can’t get a terrific return on Las Vegas investment properties. It is absolutely possible to buy a cute newer home for around $100k and get $1k or more per month rental income. This is actually a great time to buy, as the latest statistics are finally showing a small upward trend in Las Vegas sales prices (see Las Vegas real estate weekly trends) and inventory has come down to a five year low. Just between October 1st and November 1st single family home inventory went from 11,500 active listings down to 10,500 active listings. (For homes under $200k we are once again experiencing multiple offer situations because investors and second home buyers from all over the world are trying to take advantage of the low cost to own.)

Not to mention, prices have dropped substantially, 50% to 60%, from just a few years ago. With the strength of the Canadian dollar vs. the US dollar, it makes all the sense in the world for Canadians to finally buy that snowbird property in the States. And the Australian buyers are also taking advantage of the favorable foreign exchange rates to purchase second homes and investment property in Las Vegas.

But someone somewhere has got to finally hold the press accountable for what they print. They aren’t doing anyone any favors by not checking the facts first. The client that buys that $50k property and expects to get $1k per month in rent is going to be sadly disappointed. The client that didn’t buy because he/she read that property prices were going to decline further is going to be really upset when they come back six months later and find that the home he/she wanted is even more expensive.

Las Vegas Real Estate Weekly Market Report - October 31st

2011-11-02T17:30:00.000-07:00

October 31, 2011 - Want to know where the Las Vegas Real Estate Market is headed? Here are your weekly market statistics from Prudential Americana Group, REALTORS®.

•Your Market Report for Single Family homes in Las Vegas. Homes in Las Vegas.

• Your Market Report for Condos in Las Vegas. Condos in Las Vegas.

•Your Market Report for Single Family homes in Henderson. Homes in Henderson.

•Your Market Report for Condos in Henderson. Condos in Henderson.

•Your Market Report for Single Family homes in North Las Vegas. Homes in North Las Vegas.

•Your Market Report for Condos in North Las Vegas. Condos in North Las Vegas.

Help for Some Las Vegas Homeowners May Be On the Way!

2011-10-27T17:29:00.002-07:00

While exact details have not yet been announced, it seems that help for some Las Vegas homeowners may be on the way as early as November 15th. Homeowners that have a mortgage loan guaranteed by either Freddie Mac or Fannie Mae may be able to refinance soon, even though they are underwater.

The Las Vegas real estate market was one of the hardest hit when the real estate bubble burst. Yet many Las Vegas homeowners have honored their commitment to lenders by not walking away from their homes and keeping their loans current, even though all around them they saw their neighbors bailing out. Some of those homeowners are about to reap the reward for meeting their obligations if the new plan announced by the White House comes through in November.

Homeowners with Las Vegas mortgage loans that were purchased or guaranteed by Fannie Mae or Freddie Mac on or before May 31, 2009 and have a current loan to value (LTV) of over 80% are eligible. The loan MUST be current with no late payments in the last six months and no more than one late in the last 12 months. There will be no ceiling on the loan to value and possibly an appraisal will not even be needed.

The first step is to determine if your home loan qualifies. Go to either: www.fanniemae.com/loanlookup or www.freddiemac.com/corporate to see if your loan is listed by either Fannie Mae or Freddie Mac.

Even a small decrease in the rate should give homeowners a significant monthly payment reduction. A $200k mortgage loan refinanced from 6% to 4.5% would result in almost a $200 monthly saving. And it may be that under the new guidelines the costs to refinance the loan can be rolled into the mortgage amount so that there is no out of pocket expense.

If your loan is listed and you have been current on your mortgage payments, the next step would be to contact a lender that will be participating in the new refinance program. That way as soon as the exact details are released, you will be notified of the terms and rates. We do have a list of lenders that will be participating in the refinance program, so please feel free to contact us at sold@greatlasvegashomes.com and put “Fannie Mae/Freddie Mac refinance program” in the subject line. We will then forward your contact information on to a participating lender so you can be first in line for the new program.

Then stay tuned for the rest of the details as they are released!

Las Vegas Real Estate Weekly Update for October

2011-10-24T15:40:00.000-07:00

October 24, 2011 - Want to know where the Las Vegas Real Estate Market is headed? Here are your weekly market statistics from Prudential Americana Group, REALTORS®.

•Your Market Report for Single Family homes in Las Vegas. Homes in Las Vegas.

• Your Market Report for Condos in Las Vegas. Condos in Las Vegas.

•Your Market Report for Single Family homes in Henderson. Homes in Henderson.

•Your Market Report for Condos in Henderson. Condos in Henderson.

•Your Market Report for Single Family homes in North Las Vegas. Homes in North Las Vegas.

•Your Market Report for Condos in North Las Vegas. Condos in North Las Vegas.

Lake Las Vegas Rises from the Ashes

2011-10-24T15:32:00.000-07:00

Like the mythical Phoenix, Lake Las Vegas is rising from the ashes of the real estate melt down. Still the most unique and beautiful of any of the Las Vegas master planned communities, Lake Las Vegas stands like a Tuscan mirage in the middle of the desert, and once again new home builders are taking the plunge to put it back on the map as one of the most desirable projects in the country.

Set on 320 lush acres with its own private lake, three hotels, a casino, the Lake Las Vegas Marina and home to the prestigious South Shore Golf Club, Lake Las Vegas is an elegant European themed resort destination with 1400 luxury homes and condos surrounding the Montelago Village, a boutique collection of shops and restaurants. Each year over 20 events are featured in the community with wine walks, Shakespeare in the Park, beer fests, dragon boat festivals and more.

Like the rest of the city, Lake Las Vegas was hit hard by the real estate crash. Several of the surrounding golf courses closed, the Ritz Carlton shut its doors and even the casino went dark. But over the past few months, a renaissance has arrived along with international buyers looking for second homes. The “buzz” is back. The Ritz Carlton became the Ravella, the Montelago Casino opened, and The Golf Club at South Shore is offering incredible membership options to homeowners.

Harmony Homes and Woodside Homes are on the band wagon and offering some amazing incentives for Las Vegas home buyers. Harmony Homes has two lovely developments in Lake Las Vegas, and through the end of December is offering to pay two full years of homeowner’s association dues for all buyers that go into contract before December 31st in addition to some upgrade incentives. Homes sizes run from 2300 sf to over 4600 sf starting in the low $300s. Woodside Homes, starting in the low $200s, has standing inventory from 1779 sf to 2361 sf with golf course lot premiums included in the base price. In addition, Toll Brothers is closing out the last few units in their exclusive townhome development with lake and golf course frontage from 1600 sf to 2181 sf.

So if you’d like to be neighbors with Celine Dion, now is the time to take a look at fabulous Lake Las Vegas and take advantage of the great home prices and discounted golf and marina memberships. There are even some great foreclosures in Lake Las Vegas too. You only live once - and what a way to live!

Las Vegas HUD Auction – Only $100 Total Down Payment for Owner Occupants!

2011-10-17T14:58:00.002-07:00

Christmas is coming early to residents of Las Vegas, Henderson, and North Las Vegas this year. Get in on a special Las Vegas HUD auction - only $100 total down payment for owner occupants! This is a spectacular opportunity to buy a Las Vegas real estate with a very nominal investment.

Hudson and Marshall will be conducting two auctions of over 100 HUD properties around the Las Vegas Valley on Saturday November 5th, 2011 at the JW Marriott. Registration for Auction 1 will open at 9 am. Auction 1, starting at 11 am, is open to owner/occupants ONLY. Successful owner occupant bidders will be eligible for special FHA financing with only $100 total down payment (instead of the typical 3.5% down payment). Plus they can ask the seller to pay 3% in closing costs.

Registration for Auction 2 will open at 2pm. Auction 2, starting at 3 pm, will be open to both investors and owner occupants, but investors will not be eligible for special financing.

Open houses of all auction properties will be held prior to the auction sale date. Open house dates are October 22, 23, 29 and 30th from 11 am to 3 pm. They may also be viewed on other days by special appointment with your Las Vegas real estate agent.

Members of the Tonnesen Team are registered buyer’s representatives with Hudson and Marshall. We will walk you through the auction process, provide sales history and comparable sales for any properties you are interested in bidding on, get you totally pre-approved with a lender, and accompany you to the auction. To receive a complete list of the properties being offered for sale, please email us at: sold@greatlasvegashomes.com and put “Hudson and Marshall Auction” in the subject line.

In order to register of Auction 1 or Auction 2, each bidder will be required to submit a prequalification letter or a certification of cash funds which must include:

1. Bidder’s name(s)
2. Amount of prequalification and type of financing (FHA, conventional, etc.) or total amount of cash funds available - you MUST be preapproved for a loan if financing
3. Verification of income (for financed purchases only)
4. Verification of credit check (for financed purchases only)
5. Bank or lender’s letterhead and contact information

Bidders registering as owner occupants will also be required to certify that they have not purchased a HUD-owned property within the past 24 months, and that they will occupy the property as their primary residence for at least 12 months after the closing. Other registration requirements must include presentation of a valid photo ID as well as a $500 cashier’s check or money order payable to HUD. (For buyers taking advantage of the $100 down payment FHA financing, the balance would be refunded at close of escrow.) The check is not collected unless you are the highest bidder on the property.

Please note that Las Vegas auction properties are sold “as is where is.” You must view the property prior to the auction date to determine its condition, as the sellers will not make any repairs and sales are NOT contingent on inspections or obtaining financing. You are agreeing to close on the property when you successfully bid on it. If you are not certain you want the property or that you can obtain financing, do not bid! The $500 earnest deposit is non-refundable should you not close as agreed in the sales contract.

**All Las Vegas foreclosures offered in the auction will have a reserve. This means the seller must approve the high bid, and the seller has the right to accept, reject or counter the highest bid on a property.

Tired of Losing out to Cash Buyers?

2011-10-06T03:27:00.000-07:00

Tired of losing out to cash buyers on the Las Vegas homes of your dreams? You must get completely pre-approved for a loan before submitting an offer, and you must be able to close quickly once that offer has been submitted. So we found a mortgage lender who could help our clients compete in multiple offer situations.

Southern Fidelity Mortgage, one of the Tonnesen Team Preferred Lenders, wants to earn your business and help you compete with all cash offers. They will guarantee:

They will be ready to fund and close any loan within 15 days. Just submit your completed loan application with required documentation and then go house hunting with one of our experienced real estate agents. When you can close as fast as a cash offer, you have a much better chance to get your contract accepted in multiple offer situations. Banks consider preapproved financed purchase offers with two week closes to be as strong as cash offers.
Lowest rates and fees in town! Southern Fidelity guarantees to meet or beat any legitimate loan quote, so you can save money AND qualify for a higher loan amount.
The best customer service around. After your loan closes, you will be asked to complete a short survey on your customer experience. Your lending team only gets a bonus if YOU are a happy customer!

Just go to: Las Vegas Mortgage Loan Application and fill out a short pre-application form, and one of Southern Fidelity’s loan officers will get back to you within 24 hours to put together your mortgage game plan.

Bank of America Fires Bank of America?!!

2011-10-01T14:02:00.001-07:00

Bank of America announced earlier this year that it plans to lay off more than 40,000 employees, many of them loan officers and processors. They also intend to close to close 10% of their branches nationwide and gradually get out of the mortgage industry. The layoffs have already begun in Las Vegas, and you know it’s affecting customer service when, literally, Bank of America fires Bank of America!

A number of months ago, one of our agents listed a Las Vegas short sale and was fortunate enough to also find the buyer. The short sale bank was Bank of America and the buyer was obtaining a mortgage loan from B of A to fund the purchase.

The property was placed into escrow and the fun began. The seller’s documents for the short sale were submitted to B of A for approval of the sales price. Within 40 days, the full approval was received, not bad at all on a short sale! Everyone assumed there would be smooth sailing ahead for the rest of the transaction - usually the approval is the hard part of any Las Vegas real estate transaction.

But things quickly deteriorated from that point on. The buyer’s employment verification was lost twice. By the time the verification was obtained, the credit report had expired and had to be redone. Incorrect figures were submitted for the sales price and loan amount. And oopsy! Someone forgot to order the appraisal.

After four extensions to the escrow due to lender errors and oversights, Bank of America’s short sale department finally issued an ultimatum - they would only issue a fifth extension if the buyer used another Las Vegas mortgage lender besides B of A! (The good news is, the buyer actually scored a better interest rate and lower fees with their new lender.)

Conclusion: Bank of America really IS trying to get out of the mortgage industry, and they are doing one heck of a job!

Toll Brothers Giving Away Up to $14,200 in Incentives!

2011-09-28T17:09:00.000-07:00

Through October 9th Toll Brothers is giving away up to $14,200 in incentives to buyers that purchase new homes in Las Vegas during their national sales event. Toll Brothers is one of America’s highest quality home builders, with outstanding upgrades included as standard options.

Buy a new home from Toll Brothers during their national sales event (sign a contract through October 9th) and receive your choice of $4700 worth of options from their sales brochure, PLUS a $3,000 carpet allowance AND another $6,500 that can be used for more design center upgrades or closing costs. This is more than double their every day incentive package. With interest rates still historically low, this is the perfect time to buy Las Vegas real estate, and Toll Brothers is a Realtor preferred home builder.

Toll Brothers currently has three gorgeous communities in the Las Vegas Valley to select from. Two of the communities, Barcelona and Traccia, are located in the prestigious Summerlin master planned community which has over 50 miles of community trails, nine world-class golf courses, convenience stores, parks, trails and Red Rock Canyon Conservation Area

Barcelona is an intimate gated enclave of homes with spacious two-story home designs featuring up to 3,600 square feet of living space. Homes come with large pool-sized home sites, slab granite countertops, expansive second floor decks, 3 car garages and are Energy Star efficient.

Traccia is a collection of low-maintenance Mediterranean-inspired home designs, featuring up to 1,685 square feet of living space in a gated community with private clubhouse, two sparkling pools, lighted tennis courts, and fitness center. Choose from two spacious 3 bedroom floor plans with slab granite countertops, 2 car garages and Energy Star ratings.

The third community, Toll Brothers at Inspirada, is located high in the southern foothills of the Las Vegas Valley. These residences include access to miles of community trails, Sloan Canyon Conservation Area, two pools, recreation center, outdoor amphitheater, bocce ball courts, play ground, picnic and BBQ areas.

Toll Brothers at Inspirada offers a variety of upscale residences without the upscale price tag! This community includes both townhomes (1700 sf to 1900 sf) and single family homes (2100 sf to 2464 sf). All residences come with 2 car garages and are Energy Star rated.

To view the pricing and floor plans on these fine residences, please go to: Toll Brothers in Las Vegas

Then give us a call at 702-985-7654 to set up your private tour!

When a Realtor's Greed Gets in the Way

2011-09-23T17:17:00.000-07:00

I have the highest regard for most of my fellow Realtors. They are some of the hardest working (and most under-appreciated) people I know. But I have a real problem when a Realtor’s greed gets in the way of the client’s best interest. Those are the agents that give the rest of us a bad name.

I got a call a couple of days ago from a Michael in Miami. His client had seen a listing on my site, and he asked Michael to check into it for him as Michael had been his agent in Miami on other transactions. But Michael wanted the selling agent’s complete commission, not just a referral fee. He said he had an agent that worked with him who was also licensed in Nevada. I asked Michael if the agent was part of our Las Vegas MLS – no, the agent was just a Nevada licensee, had no MLS access and was not even in Nevada. He would not be able to show property, write up a contract, negotiate or perform normal duties as the buyer’s agent.

I explained to Michael that in order to get the best deal for the client we looked at ALL real estate listings in our MLS, not just our own. We could not pay him the entire selling agent’s commission, but would be delighted to pay him the usual 25% referral fee. But Michael was not interested in that – he was only interested in getting a full 3% on anything his client bought and couldn’t understand why we wouldn’t just show his client only our own listings so he could get paid more.

How sad is it that this client has put his entire trust in Michael and Michael is only interested in his own bottom line? We regularly refer our Las Vegas clients to out of state agents, and we go the extra mile to personally interview the agents first before making the referral. I don’t care what company the agent works for – I just want to know that my client gets THE best agent I can find.

I just referred a client last week to an agent in Big Bear – this client had tried to find an agent on her own and was NOT happy with her selection. So my client contacted me and I called around until I found someone I felt comfortable with. And my client absolutely ADORED the agent I found for her - thanks, Maureen at RE/MAX Big Bear! The client is elated because she got a great agent who found her a dynamite deal on a bank foreclosure, Maureen is happy because she got a great client, and I am thrilled that my loyal client is so satisfied.

This is a true win/win situation and the way every transaction should be. I hope Michael is reading this - it’s not just about the money, Michael.

New Homes in Las Vegas Under $70 per foot!

2011-09-20T14:36:00.002-07:00

Who says you can’t buy brand new homes in Las Vegas under $70 per foot?! We get inquiries all the time from investors who are looking to purchase “fixer uppers” in this price per foot range. True, you can get more slightly square footage for a slightly lower price on resale homes that need some cosmetic help, but once you put the pencil to the paper, new homes can turn out to be a better value.

For example, take a typical 1000 square foot home for sale (built since the year 2000 to compare apples to apples) that just needs carpet, paint, and other minor TLC priced at $50 per foot. (Usually the landscaping on even cosmetic fixers is also dead, but since you have to put in landscaping on a new home, we will call that a draw.) Generally speaking, it will cost about $20k to do a basic rehab on the home without going crazy.

Now the price of that $50 per foot fixer has just gone up to $70 per foot, ($20k divided by 1000 sf = $20 of rehab per foot plus the original $50 per foot purchase price) and the color of cabinets and countertops may not be what you would have chosen for yourself. And since most of the MLS listings in Las Vegas are sold “as is where is” in today’s market, you have no recourse later if you find other problems with the home.

With a brand new home, you get to pick out all the options to suit your taste. Most of the new home builders are offering an astonishing array of “upgrades” included in the base sales price (granite counters, etc.) that were costly add-ons in previous years. If the home hasn’t been started yet, you can even choose what lot you would like it put on. (Many Las Vegas new home builders are now waiting until the buyer picks the lot to start construction, so this is a very realistic expectation.)

So not only may the cost end up being close to the same as that “fixer” without all the headaches of doing the fixing, but you also get a home with all the new home warranties and latest energy saving technologies in nice new neighborhoods without other fixers down the street.

To view a list of 47 new homes and their floor plans priced at under $70 per foot in the range of $95k to $300k, go to: New Homes Under $70 per foot. Then give us a call at 702-985-7654 to arrange a viewing!

Live Next to Wayne Newton in a Las Vegas Luxury Home!

2011-09-07T12:20:00.000-07:00

Great deals on real estate in Las Vegas abound in the custom estate market! Live next to Wayne Newton in a Las Vegas luxury home or buy an incredible golf course estate in the exclusive Spanish Trails Country Club for a song.

The Ultimate Golf Course Estate

Ultimate one of a kind Santa Barbara style estate spread across four golf course frontage lot compound in prestigious guard gated Spanish Trail community inside a private separately gated enclave. Spectacular resort style grounds & living! Total living space between Main, Garden & Guest house is approx 24,000 SF with 11 bedrooms & 21 bathrooms all on over 1.5 acres. An abundance of room, extensive fine woodwork, chandeliers, custom ceiling treatments, Spanish tile, inlaid wood floors, butler's pantry, wine cellar & living room with built-ins. Multiple terraces & outdoor areas maximize entertainment. Multiple pools, grotto spa, BBQ area, double waterfall, gazebo bar and 2nd floor party area. This is a one of a kind opportunity to own a premier entertainment home in Las Vegas near the Sultan of Brunei’s compound for WAY below today’s market value at only $3.999M!

Read more about it and view more pictures at: 1.5 Acre Spanish Trails Golf Course Estate

Be Wayne Newton's Neighbor!

This unique custom estate in a secluded fourteen home enclave is located in the historic district of south Las Vegas. This is the area that has been home to celebrities like Wayne Newton, Clark Gable, Carole Lombard, Robert Goulet, the Sultan of Brunei and Mike Tyson. The area contains several of Nevada’s most expensive properties, including estates ranging to more than 40 acres, but it is just minutes from the Las Vegas Strip and Downtown. These distinctive homes can best be described as "desert contemporary," with an abundance of water features, waterfalls, rooftop gardens, meditation areas and secluded courtyards that soothe and refresh. The exquisite 8,800 square foot model home won the National Homebuilder's Home of the Year Award for 2009, and integrates such an astounding array of luxury features with smart home technology and solar power, that even the most sophisticated buyers are blown away. Pictures are of the model and builder will make changes to suit your lifestyle. Have it all, including resort style pool and landscape for only $2.64M finished.

Read more about it and view more pictures at: Custom Home next to Wayne Newton's Estate

Hot Las Vegas Real Estate Deal - Custom Home!

2011-09-04T16:16:00.000-07:00

Luxurious 9,290 sf Custom Home in Green Valley!

Las Vegas real estate is known for its amazing deals, but you won't believe this magnificent custom home in the prestigious guard gated Fountains community of Green Valley is only $999k! Exquisite attention to every detail and no expense was spared to create this gorgeous estate. Incredible finishes from rich custom cabinetry to flooring to window treatments. Dramatic open floor plan, 4 bedrooms, 5.5 baths, gourmet island kitchen, incredible master suite with humongous walk in closet, spa tub and steam shower, game room, loft, and office, plus a 3000 bottle designer wine room. Spectacular courtyard entry, fabulous resort style pool and spa, basketball court, outdoor kitchen, and too much more to mention. Originally sold for $2.1M, and then the owner added another $500k in improvements. Now selling at only $108 per foot for this dream home!

View more photos at:

http://las.mlxchange.com/DotNet/Pub/EmailView.aspx?r=686774728&s=LAS&t=LAS

And then give our office a quick call at 702-985-7654 fast because this was just listed and it surely will not last!

Fired Mortgage Exec Burns Homeowners Too

2011-09-03T10:03:00.003-07:00

You hear all the time about angry ex-employees trashing a company’s computers or stealing their client files. Usually it is not just the employer that is harmed, but staff and customers as well. It’s sad to think that one disgruntled person could thoughtlessly hurt so many others in retaliation, but that’s just what happened this week at one local Las Vegas company.

For purposes of this article we will call our executive “Tom.” Tom was the president of the residential loan division of a local Las Vegas mortgage lender. Mortgage brokers typically have lines of credit that they use to fund their home loans prior to selling them to the end investor. A principal or officer of the brokerage is usually the designated beneficiary of the loan funds from the credit line before they are sent to escrow. Tom was the designated beneficiary of this particular company.

The owners of Tom’s company had come to the decision to let Tom go because his views and philosophies of the mortgage industry did not mesh with their own. Tom did not take the news well. A few days after he was fired, he not only insisted that the credit line be discontinued because his name was on it, he also leveled serious allegations of impropriety against his former company and threatened litigation.

Normally it would only take a few days to switch over a credit line into a new beneficiary’s name and business could go on. But because of Tom’s threats, the credit line was suspended pending further investigation. And because of the threatened litigation, the mortgage company didn't want to take on any more liability. In one fell swoop Tom effectively shut down the entire residential mortgage division of a good sized company and forced them to lay off all their loan officers, processors, underwriters and staff.

In addition, there was now no money for all the loans that were waiting to be funded on Las Vegas real estate. So Tom’s thoughtless actions also affected the lives of hundreds of buyers and sellers who were waiting to close escrow on their Las Vegas homes. Sellers had no money to move, and buyers were stuck with their belongings in moving vans.

It’s just too bad Tom didn’t take a moment to think of the impact he was having on the lives those around him instead of trying to “get back” at those who fired him. Many of his co-workers who lost their jobs were people he called friends. These are people who are out there scrambling to find new positions so they can pay their bills. Not to mention all the buyers and sellers who face uncertainty in the weeks ahead as they try to find new Las Vegas mortgage loans so they can go on with their lives as well. (It’s bad enough going through the loan approval process one time these days, now they have to jump through all those hoops twice!)

Oh, and by the way, Tom had already secured another job for himself before he threw everyone else under the bus.

Buy Las Vegas Real Estate Before FHA Loan Limits Decrease!

2011-08-22T14:44:00.005-07:00

Prospective owner occupants need to hurry up and buy Las Vegas real estate before FHA loan limits decrease! The Department of Housing and Urban Development has revised its FHA loan limits for counties across the United States based on the most recent average sales prices, and as of October 1, 2011, Clark County Nevada limits will be lowered substantially.

Currently, owner occupant Las Vegas home buyers are able to purchase a single family residence up to $400k using FHA financing in Clark County with a 3.5% down payment. Or they can buy an owner occupied four plex up to $769,250, again with a 3.5% down payment. But for loans closed after October 1, 2011 the new limits will be CONSIDERABLY lower, decreasing to $287,500 for a single family residence or $552,900 for an owner occupied four plex.

So if you have been considering the purchase of a primary residence and you want to buy something above $287,500 with only a 3.5% down payment, you will need to get cracking to beat the October 1st deadline! Otherwise you will have to pay any difference between the new loan limits and the sales price in cash, or get a conventional mortgage and come up with a 10% or 20% down payment.

Allure Las Vegas Close to Selling Out!

2011-08-19T16:23:00.011-07:00

Because of the great prices and lower association fees than most high rises, only about 50 units are left in this 41 story Las Vegas luxury condo development located on the North end of the Las Vegas Strip. Plus the developers of Allure Las Vegas have made further price reductions to move the remaining inventory quickly!

"We are excited to continue to provide great value to investors and people looking to make Allure their home," said John Tippins, president and broker of Northcap, the sales and marketing management company for Allure. "I believe that the Las Vegas community recognizes the value of the building. The fact that the building is 90 percent sold out and the outlook that there will be no new competition of this magnitude within the next few years, provides buyers with the extreme confidence that Allure is the best value in Las Vegas."

Las Vegans are not the only ones recognizing the value of the property. The Robb Report recently featured Allure in its "Where to Buy Now" section and ranked the building as the No. 1 value in the Las Vegas high rise real estate market.

With 1, 2 and 3 bedroom residences starting at only $174,900, owners at Allure Las Vegas can enjoy views from their private balconies of the surrounding mountains and Las Vegas Strip. Incorporated into these luxurious residential condominiums are 9-foot-6-inch ceilings, European-style cabinetry, granite countertops and Italian porcelain flooring. And all residents enjoy the security of a 24-hour doorman, a club room with catering kitchen, a private rooftop pool with cabanas, and on-site concierge service.

Plus Allure is one of the few new high rises offering financing to potential buyers along with buyer incentives for flooring upgrades. Allure was developed by Steven Fifield of The Fifield Companies, a Chicago-based leading real estate development firm producing luxury urban high rise condominium residences and office towers.

The Las Vegas Real Estate Agent Who Went Too Far

2011-08-08T12:53:00.005-07:00

As Realtors we are programmed to go the extra mile for our customers. It’s all about providing superior service, right? And Las Vegas real estate is super competitive, so you really have to step up your game. Over the years I have scrubbed toilets, cleaned ovens, babysat for pets, helped clients find jobs, and in a couple of instances even let them move into my own home for up to a month when an escrow was delayed.

But sometimes you just have to say “no” to a client, as one Realtor found out the hard way. Below is a true story of the Las Vegas real estate agent who went too far trying to please a client.

“Poindexter” had cash buyers in town that were on a mission to purchase several Las Vegas investment properties. They had already predefined a certain neighborhood they wanted to purchase in – one where the crime index was a bit high - but the prices were cheap and the return on investment was exceptionally good.

“Poindexter” had done his research on the MLS, and had a list of eleven homes for sale in Las Vegas with good cash flow potential ready to show. He and his clients headed out late in the afternoon just as the sun was beginning to set.

About halfway through the list, “Poindexter” and his clients came to a property with no lock box, though the MLS listing indicated that one should be there. This was a brand new listing and the sign wasn’t even in the front yard yet. But the house was supposed to be vacant and the clients were REALLY insistent about seeing it RIGHT NOW, so “Poindexter” circled the home looking for a door that had been left unlocked. (This happens more times than we like to think!) “Poindexter” didn’t find an open door, but he did find a window that was unlocked, so he proceeded to climb through the window and let his clients in through the front door.

Unfortunately for “Poindexter,” one of the neighbors saw his unorthodox method of entry and called the police, who responded quickly. Faster than you can say “commission check,” “Poindexter” and his client were sitting on the curb in front of the home, hands shackled behind their backs while the police tried to contact the listing agent, who, of course, was nowhere to be found.

Overzealous “Poindexter” and his clients were then treated to a tour of local police headquarters. In the meantime, his lovely almost new Lexus was left in front of the home. A few hours later the misunderstanding was cleared up (though “Poindexter” was ultimately charged with illegal entry). Upon returning to the neighborhood via cab, “Poindexter” discovered much to his dismay that not only had the car been broken into and all his “stuff” stolen, but it had also been professionally been redecorated by a graffiti artist. (The all-too-observant neighbor lived behind the subject property where the entry window was located, but couldn’t see the front of the house.)

Needless to say, even though “Poindexter” was trying to please his clients by acceding to their request to view the house NOW, the clients weren’t too pleased with the unplanned field trip to police headquarters. So the ungrateful clients took off in a cloud of dust, never to be heard from again, and “Poindexter” was left with no sale, no car and a police record. There does come a time in every agent’s life when going the extra mile is just going too far, and poor “Poindexter” crossed that line.

Three Great “Excuses” to Buy a Las Vegas Luxury Home Now!

2011-07-26T17:12:00.014-07:00

Is now the time to buy a luxury vacation home or primary residence? According to the Wall Street Journal – YES!

As per the WSJ: “The clouds hanging over upscale vacation-home markets are starting to lift. While prices are still falling in most regions, the luxury segment is picking up, and brokers are reporting more inquiries than they have had in years.

The upshot: If you have the money and plan on staying put for the long term, now may be a good time to buy.”

Luxury real estate in Las Vegas is no exception. Prices are at an all time low – 40% to 60% less than what they were a mere 5 years ago. But demand is up as affluent buyers are in the market again, and the bargains are priced for every budget.

Excuse #1

Enjoy true luxury living in the gorgeous guard gated Southern Highlands estates at an amazing price! 5064 sf 6br 5.5ba with fabulous amenities including granite, stainless steel appliances, dramatic wrought iron staircase, 3 fireplaces, spa tub and separate 700 sf guest casita. The backyard has a resort style pool and spa, covered patio, and lush mature landscaping! Guard gated private country club - memberships available. Appraised for over $1.2M in 2006 and now bargain basement priced at only $440k.

Excuse #2

Las Vegas golf course homes don’t get any better than this incredible former model home on a spectacular elevated lot in Anthem Country Club with phenomenal views! Gorgeous 3571 sf 1 story with four bedrooms (fourth bedroom built out as office with private bath), black granite island kitchen, custom tile floors, 2 fireplaces, skylights, family room with built in entertainment center and TV, 2 wine fridges and more. And then there's the yard - a lush 1/3 acre lot high above the 7th fairway with pool, spa, swim up bar and barbecue with a beer tap. True perfection! Seller's loss is truly buyer's gain on this one. Owners paid over $1.275M, but have priced it lower than the bank repos at only $775,000!

Excuse #3

Or how about a fabulous Las Vegas penthouse condominium with panoramic 360 degree views of the entire Vegas Valley? All three top floor penthouses of Panorama Tower II were combined to make this remarkable 14,000+ sf 6 bedroom 8.5 bath one-of-a-kind Mega Penthouse! Spectacular finishes and magnificent décor through-out, designed for the entertainer with a 14 seat dining room, 22 seat theater, multiple master bedrooms, Zen garden, and over 2800 sf of terraced balconies and patios. Not to mention the superb location adjacent to the MGM City Center and Las Vegas Strip. Bargain basement priced at $6.5M! Priced as low as other Las Vegas penthouses with less than half the square footage, and the only other available penthouse of comparable size is listed at $20M+!

Again, according to the Wall Street Journal report, “… many second-home buyers are wealthy enough to pay in cash, sidestepping the restrictive and time-consuming mortgage process. Last year, 36% of vacation-home transactions were all-cash deals, up from 29% in 2009, according to the National Association of Realtors. "If you have cash right now, you are in unique position," says Paul Dales, senior U.S economist with research firm Capital Economics.”

So if you have a bit of extra money lying around, bring the checkbook and cash in on these amazing Las Vegas homes for sale!

Is B of A Finally "Getting It" on Short Sales?

2011-07-15T08:55:00.004-07:00

Yes, it actually DOES look like Bank of America is finally getting their act together in the Las Vegas real estate market on short sales! We have seen a marked improvement in service and approval times over the past six months, and just recently B of A has rolled out two new changes to improve their image.

The first big change is their new Bank of America Cooperative Short Sale program, similar to the government's HAFA program (but hopefully much more effective!) B of A is now allowing sellers to apply for a pre-approved short sale prior to listing their home with a real estate agent and without a purchase contract. The seller must complete all the short sale documents including their hardship letter, and must submit all their current financials to the Bank. Once the bank reviews the seller's package, it is submitted to the investor holding the loan for final approval. If the seller is approved, they are given a guaranteed approved sales price AND they may also receive up to $2500 as a moving incentive, kind of a cash for keys.

Our first two attempts at this process have been resoundingly successful: both sellers were fully approved within three to four weeks of submitting their packages, and the prices were realistic. Both Las Vegas homes were placed on the market and both sold within a couple of weeks. One has already closed and the other is due to close next week.

This is a HUGE win for sellers, buyers, agents, lenders and title companies. As long as the sales contract follows the terms of the bank's approval, there is no more wondering for months on end if you even have a sale! Having guaranteed approvals on short sale will also reduce the number of homes for sale in Las Vegas in the near future. And it's smart on B of A's part, because a pre-approved short sale will garner a higher list price and improve their bottom line.

The second big change is that now Bank of America will allow back up offers to be submitted, so that if the first buyer walks or fails to qualify during the escrow, the second buyer's contract may be substituted without starting the approval process all over again. The listing agent can continue with the original transaction in Equator and still work with the same short sale specialist. This change will save several weeks of time by not having to repeat a number of the short sale process steps.

Since over half of Las Vegas short sales are being processed by Bank of America, this is GREAT news. Hopefully some of the other big banks will follow B of A's lead since the current government has already proven hopelessly inadequate for the task. Kudos to B of A for thinking outside of the box and keep it up.

Celebrity Lawsuit Over Las Vegas Real Estate

2011-07-04T09:03:00.008-07:00

Las Vegas is in the news again, but this time the scoop involves a celebrity lawsuit over Las Vegas real estate. It seems Baywatch star Pamela Anderson is suing developer Laurence Hallier for $1M, and Hallier is counter suing Anderson for $22M for loss of sales in the Panorama Towers high rise project.

Panorama was originally slated to be a four building high rise development directly behind the MGM City Center project. Hallier completed two of the buildings, and in April of 2006 Pamela Anderson hosted the ground breaking for the third tower, previously known as Panorama North. But a collapse of the U.S. economy and the local Las Vegas housing market left Hallier and his business partners short of funds. The building was sold to pay off debt and Panorama North became “The Martin” which recently launched its new brand.

Anderson’s claim: She had agreed to give public appearances to promote the Panorama high rise development in exchange for a penthouse suite of her own. Part of the deal was that if the condo was not finished on time, she would receive $1M in cash for her efforts. She filed suit against Hallier claiming that she never received the condo or the agreed upon fee of $1 million. (Leonardo di Caprio did receive a condo in exchange for his sales efforts.)

Hallier’s counter claim: Anderson reneged on promotional appearances which led to him losing $22M in condo sales.

As one who has never been more than a 5 on her best day, just on general principal I have to hate a perfect 10 like Pamela Anderson who sets the bar way too high for most mortal women. (Please don’t take this personally, Pamela. I also hate Sophia Loren, Raquel Welch, Farah Fawcett, Claudia Schiffer, Heidi Klum and Jennifer Lopez among others, not to mention Virginia Saunders from 8th grade who stole my childhood sweetheart with her blond cover girl looks.) But to hold Anderson responsible for losing $22M in condo sales?

I have no idea whether or not Anderson’s claim for $1M in lieu of a condo is valid, as I am not privy to the contracts she signed with Hallier. Obviously Anderson did perform at least some of her promotional duties. But my personal experience in the local Las Vegas housing market does lead me to believe that Anderson should not be held accountable for a loss in sales. Celebrities may be able to attract star struck fans to promotional functions and generate initial interest in a new development, but a real estate project stands on its own merits as to whether or not those fans will buy.

Over the past 28 years we have had countless buyer requests for homes “near Celine Dion” or “close to Wayne Newton’s ranch,” or “within walking distance of Andre Agassy.” (And yes, I hate Celine too.) None of these buyers actually purchased Las Vegas homes. Most just wanted the chance to get close to the star of their dreams for a brief instant. (We have learned the hard way to ask for financials before putting these marginal prospectives in the car.)

So in my opinion Hallier’s countersuit for $22M in lost revenue is frivolous and should be dismissed. As for Pamela’s suit, who knows? And maybe she really needs the money to pay for the renovations to her Malibu home. After all, she and her kids are currently living in a trailer park waiting for the work to be done.

But if anyone really does want to purchase a condo near Leonardo DiCaprio, we have some lovely Las Vegas foreclosures for sale in Panorama Towers for half the original cost!

When Las Vegas Real Estate Was Hotter Than Hot

2011-04-27T07:48:00.003-07:00

Remember the good old days, when Las Vegas real estate was hotter than hot? The bad news back then was that if you were looking for a good deal in Vegas, you were better off in the casinos than in the home market. The good news for home buyers today is that the housing market in Vegas has cooled off considerably and now is an excellent time to buy.

According to a recent study done by Deutsche Bank cited by CNN Money, Las Vegas is 6th on the list of top 10 most affordable housing markets! That's a real turnaround from just a few years ago when many people were priced out of the Las Vegas real estate market and forced to put their dreams of living here on hold.

The study looked at the percentage of their income that average Vegas homeowners pay into their homes after tax. It found that the current percentage is 9.8%, down from 17.2% at the height of the housing bubble in 2007. The study also looked at the cost of home ownership in Las Vegas versus renting. Here are the statistics for the Las Vegas housing market:

Rent as a % of after-tax mortgage payment: 125.1%
Median home price change, 2006-2010: -56.5%

Due to the number of foreclosures in Las Vegas, the rental market here is booming. Many of these renters have lost their homes to foreclosure and are unable to buy an affordable home due to bad credit. This opens the door for cash buyers and those with good credit and/or no home sale contingency to get fantastic deals on available homes.

According to Dotan Melech of UnitedAMS, more than half of the sales in Las Vegas are cash, and if you are buying a Las Vegas condo, cash may be your only option. Companies such as UnitedAMS are buying up foreclosures to rent them out. With high occupancy rates comprised of reliable renters who lost their homes, the Las Vegas real estate market for rentals is a good investment.

It’s something to think about for both those looking to buy and those looking to invest in Las Vegas real estate. Prices are competitive, rental income is steady and prices will only rise in the coming years. Is now the time to buy Las Vegas real estate? All indicators say yes, and experts are advising that prospective homeowners jump in before the market heats back up.

This article was written by Beth Hrusch, an expert
in the Las Vegas category at http://www.yoexpert.com/

Proposed Bill Deprives Las Vegas Mortgage Lenders of their Rights

2011-04-13T08:28:00.009-07:00

The Nevada Legislature is discussing a proposed law that would eliminate liability for many residential loans after a shortsale or foreclosure on primary residences (not Las Vegas investment properties). Not a horrendous idea, and one already in effect in a couple of states. But this proposed bill deprives Las Vegas mortgage lenders of their rights!

The problem with the Nevada version is that this proposal would be retroactive! This means that residential loans on primary residences that were written a year, ten years or even twenty years ago would be affected, and the lender would not be able to pursue a deficiency judgment against the borrower even though that was part of "the deal" in the original contract.

This is a truly horrendous precedent. (Not to mention that in actual fact very few lenders ever pursue a deficiency judgment and very few people would actually benefit from this law.) The crucial point is: this law changing the terms of a contract that was entered into in good faith by both parties to the detriment of one of those parties. It is one thing to change the law to read that mortgage lenders do not have the right to pursue a deficiency judgment on loans written for personal residences in the future AFTER the bill is passed. But it is quite another to make such a bill retroactive. This deprives the lender of their ability to collect on a loan that was already granted on terms agreed to by both the lender and the borrower. The lender made the decision to lend based on those terms.

No one feels more for the families affected by the recent Las Vegas real estate bust - I deal with absolutely heartbreaking stories every day. I have sat down and cried with distressed homeowners at the kitchen table too many times to count. And I also own properties that are shockingly upside down in value myself. But to negate one of the basic terms of a contract because the economy is bad and deprive one of the parties to that contract of their legal rights after the fact is not good business in any economy.

In the future, this could apply to any contract. What if the courts should decide that just because you decide to stop making payments on your car, the lender is not entitled to repossess it because it is your only means of transportation to work? The auto industry would come to a screeching halt. Thousands would be laid off and prices on new cars would skyrocket. You have tenants in Las Vegas homes that can't pay their rent. But you can't evict them because they just passed a law that lets them stay rent free. No one would buy rental properties, the real estate market would plunge further and again thousands would be laid off in the construction industries. Your employer has a contract with you stating they will give you certain benefits, say a matching contribution for a 401k. But now a new law is passed saying that retroactively they can take back those benefits because the economy is poor and they "need" the money to stay in business. There goes your retirement.

It is just dangerous to make retroactive changes to a contract to the detriment of one of the parties who entered into that contract in good faith. Business can't stay in business that way. You might be on the "right" side of the law this time if you are facing foreclosure in Las Vegas, but tomorrow you could easily find yourself on the "wrong" side. This kind of thinking undermines the principles on which our entire country was founded.

SB 346 has to make it out of Senate Judiciary Committee to get a vote on the Senate Floor. The deadline is Friday April 15, 2011 for the bill to pass out of the committee, otherwise it just goes away. Please contact the members of the Judiciary Committee below and tell them to vote NO to SB 346, and do it today!

• Valerie Wiener – Chair – vwiener@sen.state.nv.us
• Allison Copening – Vice Chair - acopening@sen.state.nv.us
• Shirley A. Breeden – sbreeden@sen.state.nv.us
• Ruben J. Kihuen – rkihuen@sen.state.nv.us
• Mike McGinness – mmcginness@sen.state.nv.us
• Don Gustavson – dgustavson@sen.state.nv.us
• Michael Roberson – mroberson@sen.state.nv.us

And once you have contacted the Senate Judiciary Committee, forward this post to all your friends so they can do the same. This law is NOT in the best interests of any Nevadan!

Las Vegas Real Estate IS a Depressed Market, But...

2011-04-08T11:29:00.005-07:00

Yes, Las Vegas real estate IS a depressed market, but is it truly a buyer’s market? That’s the $64 Million Dollar Question.

The answer is yes and no. Las Vegas is not necessarily a buyer's market, even though it is a very depressed market. At certain price points the market definitely favors the buyers, but in the lower ranges, under $250k, you are in the seller’s ballpark. In other words, lower end properties are already so undervalued that there is stiff competition to purchase. You can’t reasonably expect to low ball something that is already so low that there are multiple offers on it. And yet many buyers make below list price offers (against the advice of their agents) and are angry when they don't get a bid.

Inventory levels have remained steady for the past six months and all cash sales account for over 50% of purchases. Investors are buying Las Vegas because the prices are so low they receive a great return on rental income. So under $250k the competition is fierce. Most Las Vegas foreclosures and short sales are actually selling for MORE than list price as there are multiple offers from these cash investors. Yet even above list price these are great deals FAR below replacement cost and with great rent yields.

But if you are truly looking for more bang for the buck, think about the Las Vegas homes for sale in the higher price ranges. The higher the price point, the more open sellers are to negotiation. There are fewer offers to choose from (unless the property is grossly underpriced which happens often on the short sale listings). Bank foreclosures are much more willing to deal and “real sellers” tend to have more equity. If they have been sitting on their homes for a few years and finally get to the point where they have to move, a real seller can be just as good of a deal as a foreclosure. Plus they come with warranties and are in generally better shape, which makes them less costly in the long run.

Las Vegas Real Estate Now Being Featured on Thumbtack.com!

2011-04-05T13:51:00.003-07:00

Las Vegas Real Estate is now being featured on Thumbtack.com! Our company was contacted by the all new website, Thumbtack.com to be one of their featured Las Vegas real estate sites! It is always nice to be recognized by outside service providers for doing a great job, and we are excited about the extra promotional opportunities this will afford us to market our listings.

Speaking of new listings, we have a dandy in Green Valley Ranch! It’s a beautiful and immaculate 1769 sf 3 bedroom 2.5 bath townhome in a guard gated community across from the fabulous Green Valley District. This will go fast, so check it out at: Green Valley Town Home

HomePath Real Estate Listings in Las Vegas

2011-04-03T16:40:00.006-07:00

If you are looking for a GREAT deal on Las Vegas real estate, you definitely need to check out the HomePath real estate listings in Las Vegas! HomePath listings are properties that were foreclosed upon and are now owned by Fannie Mae. Fannie Mae (a federally chartered corporation that purchases mortgages) has thousands of properties in it database, and is known for pricing those listings VERY competitively to sell quickly.

Fannie Mae may also offer special HomePath financing with less strict guidelines than traditional Las Vegas mortgages. Whether or not a property is eligible for HomePath financing is determined on a case by case basis and will be listed on their web site. There are a limited number of Las Vegas mortgage lenders who are authorized HomePath brokers, and the benefits can be no required appraisal and no required condo certification. This really helps in many of the condo communities where traditional financing is not available at all.

Fannie Mae listings are not quite like other Las Vegas foreclosures. They have certain guidelines that must be followed in order to purchase. When Fannie Mae foreclosures first come on the market, there is a 30 day mandatory "First Look" period. During this time frame Fannie Mae will ONLY accept offers from buyers who are purchasing the property as their primary residence. Offers from investors will only be considered after the 30 day "First Look" time period has expired with no acceptable offers from owner occupants. Fannie Mae will also require a lender pre-approval or proof of funds to pay cash to be submitted with any offer. They will not consider any contingencies on the sale of another property.

And while Fannie Mae may make some repairs to properties to increase their marketability, the buyer should be aware that other repairs may be needed. Fannie Mae sells each property "as is," which means that the buyer accepts the property "as is." Though the buyer will have a due diligence period to inspect the property for major defects, Fannie Mae is not responsible for fixing any problems after settlement.

But back to the part about the great deals! Fannie Mae properties typically sell for 10% to 15% less than comparable properties. It can be frustrating for investors to wait out the 30 day mandatory "First Look" period, but there are many terrific Las Vegas homes and condos that slip through the cracks or fall out of escrow. Primary homebuyers (owner occupants) should definitely be targeting Fannie Mae foreclosures as some of the best deals on the market. There are currently over 1200 Fannie Mae properties on the market in Clark County, Nevada, and they even release new listings in advance of actually putting them on the market. If you would like to receive new Fannie Mae listings monthly, weekly or even daily, just contact us!

Playing Fair with Your Real Estate Agent

2011-03-27T14:40:00.008-07:00

This week's blog is about playing fair with your real estate agent.

Last week I was in New York City visiting family, and while I was there I met my niece and her husband for lunch and a show. They live in the city - my niece is an astrophysicist and only about ten people in the world really understand what she does. Something to do with black holes and dwarf stars and galaxies far far away!

We had just settled into our seats at this great Cuban restaurant when my niece said she needed to ask me some real estate related questions. I told her I would try to answer her questions, but with the disclaimer that New York City real estate was out of my realm of expertise.

My niece and her husband have decided they need more room than they currently have, so they are looking for a two bedroom apartment. Number one on their list was an apartment with about 900 square feet, 2 bedroom 1.5 bath for $4,500 a month. (You can buy 6,000 square foot Las Vegas luxury homes around the $700,000 price range for that kind of monthly payment, including the taxes and insurance!)

She showed us the floor plan, and the second bedroom was literally 10x5 - really more of a den off the dining room. The kitchen was minimal, and the bathrooms were only just big enough to turn around in if you were on the slender side.

But here's the kicker and where the real estate question came in. They had previewed this apartment with a local real estate agent. In addition to paying $4,500 per month for the place, they were also expected to pay the real estate agent 15% of the total rental amount for the year, another $8,100! But after returning home they found the same apartment listed on another agent's web site for only $4,400 per month with the landlord paying the agent's fees.

The question: what kind of liability/responsibility did they have to the agent that showed them the apartment in the first place?

After I picked my jaw up off of the ground in amazement at how much the New York agents make on rental properties, my first question to them was whether or not they had signed any type of agency agreement with the first agent. They said she had tried to get them to sign an agency agreement, but they had declined signing her paperwork. (My niece's husband is an attorney, fortunately, and he knows better than to sign something without fully investigating the ramifications.)

So I felt pretty confident telling them that they had no financial obligation to the first agent. However, I also explained that in the Las Vegas real estate market we have what is called "procuring cause." The agent that shows the listing to a client is entitled to the commission in most circumstances as per the guidelines of our local Las Vegas MLS board. I told them I did not know if the same rules were true in New York, but it could be that if my niece and her husband used another agent, the second agent might be liable to the first agent for the commission.

I suggested that as a courtesy to the first agent they let her know that they had found the apartment online for less money and without the agent's commission being paid by the tenant. They should give her the chance to represent them if she was willing to negotiate on their behalf and collect the agent's fee from the landlord. However, if she was not willing to do that, they should contact the second agent and let that agent know the circumstances so the agent wouldn't be blind sided later in the transaction.

This way the first agent would still have the opportunity to work with them. But if she declined their terms, the second agent would be in a much better position to collect the commission for performing the job, though that would still not be guaranteed.

This is an issue that all buyers/tenants should be aware of. If an agent shows you a property, in most states they are entitled to the commission from the sale as "procuring cause" of the sale unless there are extenuating circumstances. While most of the time "procuring cause" does not affect the buyer/tenant financially, they need to be sure they are being fair to the real estate agent that has done most of the work. After all, who wants to work for free? We have seen too many situations where a buyer asks an agent to show them Las Vegas homes for days on end and then turns around and has a friend (who was either too lazy or too busy to show them homes at the time) write the offer.

You have to have a compelling reason to use another agent, or that second agent may not be entitled to compensation. A compelling reason is NOT that you prefer to use a friend or that the first agent was not available on short notice to write an offer. A compelling reason would be that you had good reason to believe that the first agent was not working in your best interests or had "abandoned" you as a client. Most of the time that is very hard to prove.

And above all, the morals and ethics of the situation call for being fair to all parties. If the real estate agent does the work, they should get compensated for that work. So if you are looking for homes for sale in Las Vegas, make sure that only the agent you expect to represent you shows you the homes you might want to buy.

Las Vegas Real Estate Market Inventory

2011-03-05T13:57:00.003-07:00

As real estate agents, we often are asked the question: How does the current Las Vegas real estate market inventory stack up with past years? What about this “shadow inventory” we keep hearing about in the news? Will prices go down further? Have we hit the bottom of the market yet?

Unfortunately we cannot give predictions for the future. (If we could, we would be playing the international money markets!) But we can share statistics on current listing inventory vs. previous years to give buyers an idea of how balanced the market may or may not be.

Today’s inventory - As of March 4th, 2011 there were 12,238 single family homes and 2,658 residential condos listed as active (with no contracts pending or contingent) in the Las Vegas MLS system. As of January 2011 (the most recently published report supplied by the Greater Las Vegas Association of Realtors) the average sales price of a single family home was $157,081, and the average sales price of a condo was $83,828.

Inventory in 2008 – In February of 2008, there were 22,497 active single family home listings and 5,388 active condo listings. The average sales price of single family homes was $297,597 and the average condo sales price was $276,222.

Inventory in 2005 – In February of 2005, there were 14,041 active single family home listings and 2,593 active condo listings. The average sales price of single family homes was $334,732 and the average condo sales price was $189,462.

What do these statistics tell us? They show that currently there are fewer active Las Vegas homes for sale now than there were in the height of the “boom” years, but that the sales prices are less than half of what they were at that time. We are seeing cash investors buying up the “bottom of the market” because rental yields are so good at today’s low prices. (Over 51% of the housing sales in January 2011 were cash.) Sales prices are less than the cost to build new. Most Las Vegas foreclosure listings are actually selling for over the initial list price. And some zip codes in Las Vegas even experienced appreciation during the past year.

Again, no one can predict with any accuracy what prices will be in the future – there are too many global factors that could impact sales. But indications seem to be good for those that are willing to buy and hold for the long term.

Las Vegas Real Estate Agents Fire Buyers!

2011-02-23T16:47:00.003-07:00

It doesn’t happen every day, but every once in a while Las Vegas real estate agents fire buyers! Real estate agents as a whole work harder than the average person in a 9 to 5 job. They are on call 24/7, and, especially in today’s market, often work for minimum wage when you count up all the hours and expenses that go into a transaction. That is why it is especially important for real estate agents to realize the value they bring to the table and when they should fire buyers that are just not worth their time.

Sometimes the agent doesn’t know the buyer’s mindset going into a transaction, but sometimes the buyer tips their hand in advance, like this actual letter we received on Valentine’s Day. Tim writes:

“I am seriously considering buying Las Vegas homes, BUT ONLY on a KILLER DEAL. I am not interested in a good, great or market price deal. I can pay cash, so there won't be any financing. So, probably a Las Vegas foreclosure, but open to all. I know that there are killer deals out there because I know of them all around me here. So, please, only a straightshooter reply to me.
My criteria: $50-100K. House, new or newer preferably, but not mandatory, 2> beds, 1>bath, a real fireplace is a must, garage, yard or acreage, good area/part of town. I have more likes/dislikes, but these are the standard facts.

I am retired. I want to be near or in relatively close driving distance to golf courses, casinos that have concerts, places to walk and hike, and take my dog. You get the picture?

I don't have a timeframe. As I said, if it is the killer deal for me then I am ready to buy today, or willing to wait until tomorrow, in a week, month or year or more until that deal transpires.
I want an agent that knows Vegas extremely well, is not pushy, is not in desperate need of a sale, will work with me on what I want and not what they want, and obviously knows real estate. Don't laugh. There are way too many people that received their licenses during the big boom years ago that don't know a thing about real estate, and many of them are still out there with their license. Please don't reply because I will know.

If you have someone qualified and interested, let me know, and we can talk.
Tim”

Since we received this letter on Valentine’s Day, we decided to have a little fun with it and instituted our First Inaugural “Kiss Off the Client” Contest. Agents contributed entries to let Tim know (politely) why they were firing him in advance. Below are a few of the entries submitted:

“Dear Tim, You’ll be excited to know that every home for sale in Las Vegas is by definition “a killer deal”. Knowing that should take a lot of the pressure off of both of us.

The remainder of your criteria you’ll find out in Pahrump, Nevada. Are you interested in looking at a few properties there? If so, I’ll be happy to recommend an agent. Make sure to pack your snake and scorpion repellant. Judy”

“Dear Tim, I would love to help you, but sadly my dog ate your listings. As he is on an all starch diet and will probably continue to eat your Las Vegas MLS listings for the foreseeable future, you will need to find another agent to assist you. As a dog owner yourself, I am sure you understand. Good luck! Dave”

“Dear Tim, Since killer deals seem to be falling off the trees right where you are now, why would you want to come to Las Vegas? Please let me know where you are so I can get my real estate license there! Gina”

“Dear Tim, The Good News: Our Las Vegas real estate agents are all HIGHLY experienced, with pit bull negotiating skills, impeccable integrity and incredible work ethics. The Bad News: They are all so successful and already have so many wonderful, motivated clients, none of them are “available” to help you. Management”

Please feel free to use these excuses the next time you are approached by a buyer that needs to be fired!

Las Vegas New Homes - $0 Down and $0 Closing!

2011-02-05T08:50:00.008-07:00

One Las Vegas new homes builder is pulling out the stops to attract new buyers! R/S Development, a highly respected local Las Vegas developer, has announced a special $0 down payment and $0 closing cost promotion for their new Liberty Hill project in the 1200 acre master planned community of Providence.

In an effort to compete with the foreclosures for sale in Las Vegas, R/S if offering terrific in-house financing with NO money down and NO closing costs to qualified buyers. Credit just has to be good (though not perfect), and of course the buyer must have enough income to make the payments comfortably. There are three floor spacious plans to choose from, ranging from 1513 square feet to 1876 square feet.

Providence itself features two community parks, Huckleberry Park and Knickerbocker Park, which capture the essence of small town Americana, and the whole community is interwoven with 10 miles of tree-lined walking trails and paseos. The Liberty Hill neighborhood also has its own private community swim park complete with pool house, restroom facilities, playground equipment & green belt.

R/S, a boutique builder in the Las Vegas Valley for almost 30 years, has long been known for the exceptional quality of their homes vs. other tract home competitors. Family owned and operated, they have won numerous Homer Awards for design.

Standard features included in the Liberty Hill Homes are:

13 Seer air conditioning system
Dual Glazed Low “E” Glass Windows
Climate enhanced balanced power heating & air conditioning system
40 gallon high efficiency gas water heater
10-year limited structural warranty from Professional Warranty Corp.
Monier® concrete tile roof in designer coordinated colors
Drought tolerant front yard landscaping w/ automatic irrigation system
Fully enclosed rear yard with masonry fencing and wrought iron gate
Fully drywalled and textured garage
9’ high ceilings on main floor
Formal ceramic tile entryway
Custom hand finished textured ceilings and walls
Architecturally rounded corners
Ceiling light in all bedrooms
Attractive beech wood cabinetry with finished interiors, adjustable shelves and hidden hinges
Energy Star rated Kenmore® appliances

To find out more details on Liberty Hill and other great deals on real estate in Las Vegas, give us a call today at 702-985-7654! But hurry before this special promotion ends.

Foreign National Mortgages Are Back for Las Vegas Homes!

2011-02-03T14:46:00.001-07:00

During the recent mortgage melt down, banks had suspended all foreign national financing except for Canadians buying second homes in the United States. But as of last week, foreign national mortgage financing is once again available for citizens of other countries wanting to buy vacation homes in Las Vegas.

Most Las Vegas mortgage lenders, like Bank of America and Wells Fargo, don’t have these programs available, but there are now a few smaller “rising star” lenders that have foreign national funding for second homes. The basic guidelines of the programs are as follows:

1. Can only be for a second home, no investment properties
2. Buyer cannot own any other property in the United States
3. 30% down payment
4. An international credit report with acceptable credit scores – must be paid for in advance (about $200)
5. Buyer must have 24 months of credit history
6. $417k maximum loan amount
7. Debt ratios – housing debt ratio cannot exceed 36% of total income and total debt cannot exceed 45% of income
8. Buyers with diplomatic immunity are not eligible

The best news is that the interest rates and closing costs are excellent – very comparable to what a US citizen would pay. Over the past few years we have had hundreds of calls from the UK and Australia from buyers who wanted to purchase Las Vegas real estate because the exchange rates are great and the prices are so low. Most were willing to put up at least 50% for a down payment. But many were unable to come up with all cash for a purchase. Now second home ownership is once again affordable for these buyers with only a 30% down payment.

So call up all your out of the country friends and let them know the good news. (Maybe they’ll let you stay in their purchase as a thank you!) And tell them to give us a call at 702-985-7654 so we can get them hooked up with one of these great loans.

Real Estate and Real Life - Say What?!!

2011-01-24T02:43:00.003-07:00

Communication is key in real life and in real estate. How we express ourselves and how other people interpret our words can make a HUGE difference to the context of a conversation. When buying Las Vegas homes, a miscommunication can lead to a lawsuit. In real life it can also be serious or just plain funny. Case in point:

My friend, Jamie, recently purchased a property in San Diego, California. This house is 80 years old and was originally the home of a sea captain’s widow. The home is only about 700 square feet and will need almost $150,000 in rehab work. But the location is great – only 5 blocks from the beach – and in a lovely residential neighborhood. (San Diego is pretty pricey - there are homes for sale in Las Vegas that are cheaper than the rehab! Luxury Las Vegas golf course homes with more than 4,000 sf are cheaper than Jamie's 700 sf fixer upper.)

Among the items that needed attention:

Shore up foundation
Exterminate termites, fleas and rats
Replace all interior sheet rock
Replace plumbing
Get all new cabinetry and appliances

I've never seen a foreclosure in Las Vegas that needed this much work! Not only that, but the floor plan needed to be redesigned within the existing footprint to make it more practical (no easy matter when you are only working with 700 square feet!)

After more than six months of trying to get permits (the City of San Diego does NOT make it easy!), finally the last blue print was signed off on, and work began last week. One of the first items on the agenda was removing the sheet rock and re-doing the foundation.

Unfortunately, the foundation was even worse than anticipated, and the home had to be raised to allow them to pour an all new foundation. In the process a Bobcat forklift was being used and the entire front of the house almost collapsed. (Thankfully they were able to save it!)

During this time, Jamie was emailing our friend Lisa about the progress being made and how fragile the whole structure was. Then she sent Lisa this message “Unbelievably busy with work, and then today my new-old house was almost knocked down by a bobcat doing foundation work. It's been a time alright.”

Lisa took this statement literally, and was hysterical thinking a wild bobcat had wandered up the road in downtown San Diego, brushing against the home and almost knocking it into oblivion. The following conversation ensued via email:

Lisa: “Are you kidding me?? A real bobcat..that’s incredible!”

Jamie: “I should have been more specific about this- actually it was a Bobcat forklift. Today they had to remove the foundation and lift the house in the air. Stressful wondering if the whole place was going to fall apart.”

Lisa: “OMG… I’m so stupid that I almost wet my pants in a fit of uncontrollable laughter thinking you meant a real animal. Promise me you won’t tell Diann!”

But of course this was one miscommunication that was just too good not to share. So Jamie, in an email to both of us, asks Lisa if it is all right to tell me about the “cat” with no other explanation. Keeping in mind I had not seen the previous correspondence, I immediately responded “What cat?” and Lisa, not realizing that I have NO idea what is going on, responds to me:

“The cute adorable kitten I left at Jamie’s doorstep was killed by the orange bob cat that strolled in her yard. Can you believe it?”

And now I am freaking out because I lost my cat a couple of years ago to wild coyotes in our back yard. I figured since Jamie knew how upset I was about losing my kitty she purposely didn’t tell me what had happened. I write Lisa back a LONG note about how devastating the experience was when my cat was killed and how sad Jamie must be. Fortunately I cc’d Jamie who finally clued me in on what had happened. But only after I had had a bit of a cry over my poor cat.

This is a perfect example of how one simple sentence misinterpreted in the wrong way can set off a totally unintended chain of events. That is why Las Vegas real estate contracts must be clear, concise and NOT open to interpretation.

Drive Past a Home and Get the Listing Right on Your Phone!

2011-01-21T23:36:00.004-07:00

There are some incredible new phone applications coming out on the market every day, and the best one yet has been released for real estate. Ever been driving around a neighborhood and see for sale signs on some Las Vegas homes that looked appealing? Did you wonder what the price was and what it looked like inside? Wonder no more! Now you can get the complete MLS information right on your phone while you are still sitting in front of the house.

Just register for our new mobile text search and start cruising the areas you like the best. Using your phone, you will send a text message to our system to log on. Then you will enter the property street number and choose which street you are interested in. Our system will send you the complete MLS listing, including price plus all the photos that the listing agent has taken on the property. And if you want to schedule a showing, all you have to do is click the link right in the listing to call us immediately.

Our system will give you detailed information on ANY properties listed in the Las Vegas MLS system throughout Las Vegas, Henderson, Boulder City, North Las Vegas and Pahrump, including foreclosures and auction properties. So don’t forget to save the application right on your phone. You can use it as many times as you like. And later on when you get home, you can log on to your main computer and bring up every home you texted about for further review and comparison.

To get started, just go to: http://www.greatlasvegashomes.com/text_mls_listings.htm. You can register the cell phone numbers that you want to use, and then you will receive an email with instructions to start texting for homes!

Las Vegas Hotel Implosions Make Way for New Real Estate Developments

2011-01-16T13:47:00.005-07:00

I decided to start off the New Year looking back at what we lost when the Las Vegas real estate market took off and some of the iconic hotels that made our city famous were sacrificed on the alter of development. Many of the famous names from the 1950s that hosted the Rat Pack or infamous mobsters like Jimmy Hoffa and Bugsy Siegel have been torn down to make way for the new Las Vegas high rise condos projects that line the Las Vegas Strip .

Some of my own fond memories of the Ghosts of Casinos past:

** The Landmark Hotel was the first casino I ever dropped a nickel into a slot in 1979. I walked away a winner with an extra $2.15.
** I saw my very first Las Vegas show at the Stardust Hotel, The Lido de Paris, also in 1979. At that time Siegfried and Roy were just one of the variety acts sandwiched in between the lavish costume numbers (along with Bobby Berosini and his Orangutans and the magnificent Lipizzaner horses), and no show since has ever measured up to that first magical extravaganza.
** Later I got to see Siegfried and Roy when they first opened up at the Frontier Hotel.
** During my early years in Las Vegas I worked for a tourist center on the Strip next door to the Aladdin Hotel where my co workers and I used to hang out almost every night after work. It was a great place to people watch and periodically we would see celebrities or "suspicious" looking tough guys.
** My husband worked at the Sands in the dice pit until right before it closed.

And I will never forget the night they imploded the Dunes. I had just gone to see my first ever hockey game, The Las Vegas Thunder, at the Thomas and Mack Center. The enthusiastic fans
were yelling and cheering after an exciting win with lots of body checking action and some bench clearing brawls. But as we came out the exits, the news swelled among the crowd that they were about to bring down the Dunes. A solemn hush came over 15,000+ raucous hockey fans as the Dunes fell gracefully to the ground in the City's first ever implosion.

So for the nostalgia buffs amongst us, here is a link to the implosions of some of the most majestic casinos to ever grace the Las Vegas skyline. Las Vegas Hotel Implosions Viva Las Vegas and we will never forget you!

Why Husbands Shouldn’t Show Houses « Vegasagent’s Weblog

2010-12-08T04:58:00.000-07:00

Why Husbands Shouldn’t Show Houses « Vegasagent’s Weblog

Selling Your Home - Las Vegas Short Sale Tips

2010-10-30T13:19:00.005-07:00

The collapse of the general economy has left the Las Vegas real estate market in a shambles. If, like many, your home is upside down and you need/want to sell it, you are going to need the approval of your existing mortgage lender(s) to take less than what is owed. This is what we call a short sale, or pre-foreclosure property. Short sales are complicated transactions, so you can’t just hire your sister’s best friend who works part time in real estate to handle it for you. (Well, you can, but you may not be happy with the outcome.)

Who actually makes the decision to approve a short sale? As the seller, you will not be allowed to take any money from a short sale transaction. So you, the seller, really don’t care what you sell your home for. Surprisingly enough, your lender, who is probably only servicing your loan, doesn’t care either. The servicing bank merely collects the appropriate documents and presents the entire file to the investor who is actually holding the note and is owed the money. Literally, you could have two identical homes with two identical cash offers being serviced by the same bank and yet one will get approved and the other will not. It is entirely up to the investor holding your note how much of a loss they are willing to take.

Why would you short sale your home? The main advantage to doing a short sale is that you will ask your existing lender(s) to release you from any deficiency judgments. In other words, they agree not to go after you for the difference between what you owe and what the home sells for. (After a Las Vegas foreclosure they automatically have that right. On a short sale, this is negotiable.) In addition, if you can keep your payments current during the short sale process, it may not ding your credit too badly. While you won’t be able to finance another Las Vegas home for 3 years under FHA guidelines or 4 years under conventional guidelines, you should be able to buy a car or obtain credit cards. A foreclosure could prevent securing any type of credit for a number of years.

What will you need to provide to your lender to get a short sale approved? Most lenders will require the following documentation in addition to a multitude of standard forms:

· hardship letter – you are telling the lender in detail why you can no longer make your payments. Loss of employment, reduction of income, job transfer, divorce, illness, etc. In some cases the investor holding the note may still be willing to do a short sale even if you can afford the payments, but that is on a case by case basis
· last two paycheck stubs
· last two bank statements from all accounts
· last two years of tax returns
· financial worksheet showing expenses

What is the best way to go about a short sale? First of all, you would want to contact your lender to see if you qualify under the HAMP program or Home Affordable Modification Program. If you qualify under program guidelines, your lender may agree to reduce your interest rate so that you can afford to stay in your home. If you still can’t stay in your home for one reason or another, you may then qualify for the HAFA program or Home Affordable Foreclosures Alternative. Under this program you may get pre-approved for a short sale based and you may also receive relocation assistance up to $3k upon the sale of your home. Definitely something worth checking out.

The next step, whether or not you are HAFA eligible, is to hire a Las Vegas real estate agent EXPERIENCED in listing short sales. Your home must be listed on the local MLS so that the investor has a chance to receive the highest possible price on the open market. You cannot sell your property to a family member or friend either with the idea of buying it back later. Part of the bank paperwork you will be required to sign at closing is an “arm’s length” disclosure stating that you have no relationship with the buyer who purchases your property. (Breach of that disclosure is federal fraud and subject to severe penalties.)

Should you hire an attorney to help negotiate a short sale? If you have been unable to obtain a preapproved short sale under the HAFA guidelines, this is an excellent idea as long as the attorney you hire does not charge you anything at all, and only collects a fee from the bank’s proceeds upon the successful completion of the short sale. Your real estate agent should be able to help you locate a firm that has been successful in negotiating short sales, and the attorney should be brought in at the beginning of the listing process. Often if the investor proves stubborn about approving a sales price or terms of the short sale, just an attorney’s letter can alter the outcome favorably. Again, the attorney takes their fee from the bank’s proceeds at no cost to the seller or buyer.

How much should you list your home for? You are trying to establish a reasonable value for your home in the marketplace, keeping in mind that it is a short sale transaction which is not popular with either buyers or buyer agents as it may take months for them to find out if they even have a deal. Your agent should look at recently sold comparable properties and price your home at the bottom end of that spectrum but taking into account comparable condition and amenities. Once your home has been listed for several weeks without an offer, you want to do regular price reductions (your agent can advise you on how much is reasonable) until you are able to generate an offer with a solid buyer.

What happens after I get an offer on my home? Your lender, the servicing bank, puts together a file containing the contract, your updated financial documents and all documentation that you have tried to obtain the best price possible. They order a BPO or Broker’s Price Opinion (basically an appraisal) to establish market value of the home. They present this file to the investor for approval, rejection or, in many cases, counter offer if the BPO comes in higher than the sales price. If there is a counter offer on the price, the buyer may decide to accept the counter subject to a second appraisal of the property by the buyer’s lender. If both the buyer and seller accept the initial terms of the short sale approval, the buyer’s due diligence period commences. The buyer’s Las Vegas mortgage lender will order their appraisal and the buyer will complete all inspections and review any HOA documents.

Quite often the buyer’s appraisal is lower than the bank’s appraisal, and then the buyer will ask for a reduction of the sales price to meet that appraisal. The investor can either agree or disagree. Once a final price is agreed upon by all parties, the transaction proceeds pretty much as normal.

Why do most short sales fail? Most Las Vegas short sales fail simply because of the time it takes to find out if they are approved. Even the most serious buyer can become fidgety after a month or two of waiting to hear something, anything. That is why it is crucial for your agent to give weekly updates to the buyer’s agent, even if there is nothing new to report. Just a steady stream of communication can keep a deal alive. The second most common reason short sales fail is the difference in appraisal values between the short sale bank and the buyer’s lender. Again, a strong listing agent can go a long way toward documenting reasons for a lower sales price, though again this is ultimately the decision of the investor and sometimes those decisions seem to make no sense at all! But it is quite common to see the same Las Vegas homes for sale go into escrow several times before a successful closing. There is nothing wrong with the property itself, just the process.

That is why it is vital that the seller, the buyer and the agents all remain calm and be willing to jump through many hoops to a successful close. Guaranteed, there will be many hoops! But the patient buyer can get a great deal and the seller can walk away with a clean slate, and that is what makes it all worthwhile.

How will the Foreclosure Moratorium affect Las Vegas?

2010-10-15T17:15:00.001-07:00

Bank of America, Chase and GMAC, among others, have announced that they will be temporarily suspending new foreclosures in 23 states that use the judicial foreclosure process pending internal review of their paperwork. (Nevada uses non judicial foreclosure procedures.) In addition, Bank of America announced that they will extend their temporary moratorium to all 50 states. How will that affect Las Vegas foreclosures? The Las Vegas real estate market has been one of the hardest hit by foreclosures in the past few years, though things have seemed to stabilize over the past six months.

At first the rumors were flying that any bank owned foreclosures currently in escrow would be canceled and that many of the title companies would refuse to insure such transactions. Las Vegas real estate agents and their buyers were in a panic. Many buyers had already spent hundreds of dollars on inspections, appraisals and HOA documents that they feared would be lost, not to mention the trauma of not being able to move into their new homes.

I am delighted to report that these rumors are unfounded! While some deals may be canceled after review in the 23 states that use the judicial foreclosure process, it does not appear that transactions currently in escrow in Las Vegas will be affected. And though there are some title companies that have announced they will not be issuing title insurance on bank owned properties in the 23 states, it is not anticipated that this will occur in Las Vegas.

It does look like Bank of America will not be taking back any more Las Vegas homes through foreclosure during the next few months, however, at least until after the first of the year. Yet typically most banks suspend foreclosure proceedings during the holiday months anyway, so this is not expected to have much impact on the normal market. “Take your kids, your Christmas tree and get out,” is not considered good PR in the best of times. So even though a foreclosure moratorium SOUNDS like an earth shattering economic event, the current moratorium really shouldn’t affect the market all that much.

So if you are a homeowner that has been fearfully awaiting that final foreclosure notice - put up the decorations, bake your holiday pies and invite the family over. The chances are pretty good that you will able to stay in your home a few more months, at least until after January 1st of 2011.

When is the Best Time to Close on a Las Vegas Home?

2010-10-08T14:29:00.004-07:00

By guest blogger Jamie Cailor

We all have probably heard that it is better to close Las Vegas real estate transactions at the end of the month as opposed to mid-month or early on in the month. In fact, many borrowers are under the mistaken impression that they can save money on interest if they close later in the month.

Closings are more often scheduled for the end of the month than any other time for two reasons:

1. An offer to close by month end is more attractive to the seller as it “saves him” having to pay another mortgage payment out of pocket.
2. From the buyer’s perspective, it reduces the amount of cash needed to close in prepaid interest.

In realty, no one is actually saving any money. Las Vegas mortgage interest is paid in arrears – in other words, after you have used the money. The seller will still owe the interest from the previous month, but instead of writing a check, the amount will be deducted from his proceeds. The buyer will still be paying the interest for every day he has the loan, he just doesn’t need as much money up front. So total cost is not so much the issue as having the out of pocket cash to meet the requirements to close.

What is prepaid interest anyway? Well, prepaid interest is essentially the amount of interest due at closing to cover the period of time in the month between the date the mortgage lender closes your loan and the date your first payment is due. Say you close your loan on October 1st, paying 30 days of prepaid interest at closing. While you’ll have to pay that interest upfront, your first mortgage payment won’t be due until December 1st.

However, if you close on October 30th, and pay only one day of prepaid interest, your first mortgage payment will be due December 1st, so that first full mortgage payment will come due sooner. Either way the same amount of interest will be paid - it’s just a matter of when you pay it. But the difference in closing costs can be significant for first time home buyers strapped for cash to get into their new Las Vegas homes. So many homeowners opt to close at the end of the month to reduce their upfront closing costs.

Smart mortgage brokers will typically disclose enough prepaid interest for 15 days or more on the Good Faith Estimate to ensure borrowers have enough money to cover the costs no matter what day the loan actually closes. It’s not always easy to time a closing as “life happens,” so it’s better to overestimate, especially if you’re cutting it close with limited funds. The last thing a borrower needs is to be short on funds at the tail-end of the funding process.

And there are definite disadvantages to closing at the end of the month too. This is always a frantic time for title, escrow companies and lenders, as more than 60% of all contracts are written to close between the 25th and the 31st of each month. But there is NO guarantee that the loan will actually close at that time, and you may be out the prepaid interest anyway. Too many things can happen that delay an escrow. The homeowner’s association doesn’t submit the payoffs for the previous owner in a timely manner, the underwriter asks for more conditions at the last minute, there are mistakes on the final loan documents that need to be corrected, a Las Vegas foreclosure property might not receive final HUD signoff, the title company finds a lien or judgment has just been filed… The list can go on and on. In addition to that, other service providers, like moving companies, rental trucks and even utility companies are also jammed at the end of each month, and you may find it difficult to get the services you need.

On the other hand, if you plan your funds in advance and can close early in the month or mid-month, you’ll have a lot more time devoted to your loan documents and closing packages and it may be cheaper to rent that moving van. Plus even if something happens at the last minute that could cause a delay, the escrow officers and lenders will have more time to expedite your transaction as much as humanly possible.

All that said, perhaps you shouldn’t be looking at Las Vegas homes for sale if the amount of prepaid interest can make or break you. So be sure you have sufficient funds regardless of whenever you close your loan.

The Ultimate Las Vegas Party Home!

2010-09-29T14:56:00.003-07:00

As a Las Vegas real estate agent, I have seen some really cool houses over the years. (I have thousands of great ideas I would love to try out if only my pocketbook matched my dreams.)

But Friday was extra special. I got to see a home that was 25,000 square feet of pure unadulterated Man Cave. No, that is not a typo. The home is really 25,000 square feet and is listed for $12M, which is actually an incrediblly LOW price per foot for the neighborhood and the amenities.

Anyway, one of my agents was previewing for a client that is coming to town, and she happened to ask if I would like to go with her. Usually I have to say no because I am always so slammed at work, but for once I decided to play "hooky" and tag along.

Like I said, I have seen many exclusive Las Vegas homes over the years, but this one was something else. It is located in McDonald Highlands, an exclusive gated country club community in the Green Valley Ranch area of Henderson. The property is still under construction on one acre (though the acre next door is also for sale - it is a Las Vegas bank foreclosure - and could be purchased at the same time), and it is just across the street from Rich McDonald's home - developer of McDonald Highlands.

Even unfinished, this home has loads of personality. The owner/contractor met us and gave us a personal tour and we were blown away, especially by the "play" areas of the home. Just a few of the indoor amenities in the family room included:

ten car garage with glass viewing window from the family room so your guests can see your Bentley and Rolls without getting up off the couch
30 person professional theatre room with stage and dressing room for private plays
wall length aquarium with built in TV screens that rise up within the tank so your exotic fish can enjoy HBO or Showtime along with you
raised dias for band or DJ for your parties
full size kitchen (that is bigger than the one in my home)
game station area with two screens for competitive Wi matches
full size state of the art gym
spa room with two pedicure chairs, perfect for a girl party
two lane regulation Brunswick bowling alley
extra room for either your shooting range or golf practice range

The gigantic pool area was also spectacular, with swim up bar, outdoor kitchen, cascading waterfalls, bridges and multiple outdoor seating patios. Above it sits the "Poker Room," encircled by a true "lazy river" for drifting along in your innertube on a hot summer's day.

And of course the rest of the home is packed with fabulous and one of a kind ceilings, countertops, floor coverings, etc., all in very contemporary design with floor to ceiling windows and hundreds of planters scattered throughout. For the money, this may just be the best value in Vegas, and for sure it will be the most fun!! So if you are looking for the ultimate party house, give me a call and we'll go take a look.

Las Vegas Real Estate Foreclosure Auction in October!

2010-09-17T12:31:00.004-07:00

Hudson and Marshall is back with a new auction of 153 properties in the Las Vegas Valley! This will be by far the largest auction they have held in more than a year. Auction properties will include every type of Las Vegas real estate, from small condos to single family homes to luxury high rise residences. The auction will be held at the JW Marriott hotel at 1 pm on October 9th, and auction properties will be held open for viewing the previous weekend on October 2nd and 3rd from 1 pm until 3pm.

In addition, early viewings and pre auction bidding are available through your Las Vegas real estate agent, and you should choose an agent that is thoroughly familiar with the auction process. Auction properties do NOT list prices, and your agent will need to do a lot of research to come up with an appropriate bid amount. Your agent’s commission will be paid by the seller and there is NO cost to the buyer. Since the auction house only looks at the highest bid, whether or not the buyer is representing himself or has an agent, it pays to have an experienced auction agent at your side!

One thing to keep in mind on auction properties is that there is a 5% buyer’s premium that will be added to the winning bid amount, so a Las Vegas home that goes for $150K will actually cost the buyer $150,000 plus the $7500 buyer’s premium in addition to normal buyer closing costs. Offers cannot be made with any kind of contingencies, including inspections, appraisal or financing. Escrows must close within 30 to 45 days, and on the day of the auction, successful bidders will be required to present a $2,500 non-refundable cashier's check as earnest deposit. (Many auction properties CAN be financed, as long as your lender can close within the stated time period.)

To receive a complete list of auction properties being offered, please contact us at sold@greatlasvegashomes.com and we will be delighted to send you the auction brochure.

"Smart" Credit System Helps Las Vegas Home Buyers!

2010-08-04T22:47:00.002-07:00

Whether your credit is already good or if it needs a helping hand, you need to read this blog article!

A local Las Vegas mortgage lender, Residential Capital Mortgage, has developed a proprietary credit reporting system capable of helping prospective purchasers determine the quickest way to boost their credit scores within 30 to 60 days. This “smart” system, Credit Compass, pulls the borrower’s credit from each of the three major credit reporting bureaus: Experian, Equifax and TransUnion, and then prints out a summary for each credit bureau. The summary details exactly how many points the borrower’s score will be raised at each bureau if they pay off/down certain credit lines, pay off specific collection accounts, or have items deleted from the report that should not even be there.

Most lenders “guess” which items are having the most adverse affect on a borrower’s credit and then have to wait for a credit rescore to determine if the borrower will be eligible for a loan. If the lender guesses wrong, the borrower could spend thousands paying off the wrong bills and still not be able to qualify. Residential Capital’s innovative new system allows the borrower to prioritize which items on the credit report should be addressed first for the least amount of money out of pocket to raise the borrower’s scores enough to qualify for the purchase of Las Vegas real estate.

Once specific items have been identified and taken care of, the borrower’s loan officer would contact the credit reporting bureaus and have them initiate an immediate credit rescore. Already many borrowers have had their credit scores raised 50 to 60 points within a short time period, allowing them to buy Las Vegas homes or Las Vegas condos far more quickly than with conventional credit systems! And for far less money.

All types of loans use the “middle” score from the three credit bureaus to determine eligibility. FHA and VA loans require a minimum 620 credit score to qualify for a loan, but the rate is the same no matter how high the score. Conventional loans require higher credit scores, and the interest rate charged on a conventional loan varies according to the credit score based on federal risk guidelines. So even buyers with good credit can benefit greatly from the Credit Compass system. Raising a borrower’s score from 680 to 720 could save the borrower 1/4% or more on their interest rate! (By the way, this lender’s rates and fees are consistently lower than Bank of America, Wells Fargo, and Chase.)

And the cost? A mere $22.00 for the credit report AND summary! If the borrower pays off a credit line or has an item deleted from the credit report, there would be an additional charge of $25 per item per credit bureau to have the credit rescored. The lender would only have the credit score updated on as many credit bureaus as necessary to increase the borrower’s middle score quickly, within three to five days. For example, if the buyer needs two items updated on two different bureaus, the cost would be $25 per item or $50, times two credit bureaus = $100. The third bureau will automatically update at the beginning of the month, so in most instances there is no need to pay for a quick update on all three credit bureaus, and sometimes an update is only necessary on one credit bureau. The $25 per item is charged by the credit bureaus, and is NOT a lender charge.

For borrowers who need more time to work on their credit due to bankruptcy or foreclosure and/or to save enough money to payoff existing credit/collections, the Credit Compass system can also put the borrower on a detailed long term plan that is MUCH cheaper than other credit consulting companies. For a one time fee of $295 per borrower (or an additional $100 for a borrower’s spouse), the system will outline exactly what the borrower needs to do to improve their credit rating and provides periodic updates on how their credit scores are doing. Most credit consulting agencies charge $250 per month OR MORE for the same service. Plus when the borrower eventually gets a mortgage through Residential Capital, this fee is refunded at closing.

With today’s low interest rates and the all time low prices of Las Vegas homes for sale, including Las Vegas foreclosures and short sales, it makes sense for a borrower to get into a home as quickly as possible before prices and rates rise again. The Credit Compass system, available in Las Vegas for owner occupants, second homes and investors alike, can help make your dreams come true. For more information, please call us at 985-7654.

Real Estate Tax Credit Extended for Qualified Veterans!

2010-05-29T16:14:00.001-07:00

Attention all Veterans! Did you know that you might still be eligible to receive a real estate tax credit on a primary home purchase? If you are relocating and would like to purchase a Las Vegas home, we would be delighted to help you take advantage of this additional benefit!

Qualified Veterans have an additional year to take advantage of the first time home buyer $8,000 tax credit or the $6,500 move up buyer tax credit for any property put under contract before April 30, 2011 as long as it closes by June 30, 2011. To be eligible, the Veteran must have served on qualified official extended duty service outside of the United States for at least 90 days during the period beginning after Dec. 31, 2008, and ending before May 1, 2010. Members of the uniformed services, the Foreign Service and employees of the intelligence community are all eligible for this special rule.

In addition, the penalty for selling a home purchased with the tax credit before three years may be waived. Normally the borrower is required to live in the property as a primary residence for three full years or be subject to repaying a prorated portion of the tax credit. But members of the uniformed services, the Foreign service or the intelligence community are exempt if a home is sold or stops being the taxpayer’s principal residence because of government orders for qualified official extended duty service. Qualified official extended duty is any period of extended duty more than 90 days while serving at a place of duty at least 50 miles away from the taxpayer’s principal residence (whether inside or outside the U.S.) or while residing under government orders in government quarters.

So not only might you still be able to receive the tax credit on your next home purchase, but you can also take advantage of the Las Vegas real estate market and our historically low prices! CNN Money has named Las Vegas the most undervalued housing market in the country. Check out the great deals you can get on Las Vegas foreclosures and come live in one of the most vibrant cities in the world.

Las Vegas Home Sales Up, Inventory Down

2010-04-06T00:02:00.003-07:00

Inventory has dwindled substantially in the Las Vegas real estate market over the past couple of months, and the volume of sales so far this year has been comparable to the volume of sales in 2005, a “boom” year. First time homebuyers and move up buyers are vying for properties that will allow them to cash in on the government tax incentives being offered through April 30th. But competition with cash investors has frustrated many would-be purchasers, especially for homes listed under $250k. To be eligible for the tax credit, the property must go into escrow by April 30th, and must close no later than June 30th, 2010.

Two years ago there were more than 27,000 single family homes listed on the Las Vegas MLS system. As of the end of March 2010, there were less than 7800 active MLS single family listings. According to CNN Money, Las Vegas is currently the most under-valued market in the country, and homes are selling for less than half of what they were three years ago - far below replacement value. (Here is a link to the Las Vegas appreciation rates by zip code over the past eight years.) This lack of inventory and the low listing prices mean that Las Vegas homes in the most popular neighborhoods may receive anywhere from 10 to 50 offers ABOVE list price within the first week of being placed on the market.

Buyers who need bank financing to purchase a home are regularly losing out to the all cash investors, even though they have received a full bank pre-approval for their loan. After endless days of house hunting, it is not uncommon to see buyers who need financing put in 10 to 20 offers on different homes before securing one for themselves. And quite a few are in a panic because they are trying to meet the April 30th deadline to get a home in escrow before the $8,000 first time homebuyer tax credit expires. The low inventory situation in Las Vegas is made even more difficult by the fact that only about 30% of the 7800 single family homes actively listed are “real” sellers or Las Vegas foreclosures. The rest are “short sales” or pre-foreclosures, and it may easily take three or four months to find out if the bank holding the mortgage will even approve a short sale. Since the buyer also has to be able to close before June 30th to get the tax credit, purchasing a short sale is not even an option.

Move up buyers that want to take advantage of the $6500 tax credit and who are looking at homes over $250k are in a better position, as there is not quite as much competition from the cash investors for higher priced homes. And there are some amazing steals for those who can spend up to $1M (or more), including custom and semi custom homes in some of the Valley’s most prestigious guard gated golf course communities. The Las Vegas high rise condo market also offers some incredible deals. A penthouse near the Las Vegas Strip that originally sold for well over $2M may be listed for sale at less than $1M.

In other words, it is a great time to buy real estate in Las Vegas, and it looks like the market here may recover a lot sooner than financial experts originally predicted.

Real Estate Blog - Real Estate in Las Vegas - What is Included in the Contract

2010-03-07T16:00:00.000-07:00

Real Estate Blog - Real Estate in Las Vegas - What is Included in the Contract

Real Estate in Las Vegas - The Buying Process

2010-03-07T14:27:00.008-07:00

Every country, state and city has different procedures when it comes how a real estate transaction is handled. Below is an overview of how the Las Vegas real estate purchase process is handled.

Obtain a loan preapproval from a major bank or provide proof of funds (bank statements) for an all cash sale to your Las Vegas real estate agent. This is required before submitting any offers on properties, and some sellers will not allow you to view their property without one.
Identify potential Las Vegas homes for sale that meet your needs and view them with your agent. Remember to give your agent as much advance notice as possible. Many properties require appointments to view, and if you can give at least a week's notice it is easier to make sure you get to see all properties on your list.
Select property that you would like to make an offer on. Because there are multiple offers on many properties, especially those under $400k, it is wise to select several properties and not just one.
Have your agent run comparable sales to determine an approximate value. If you are getting a loan, your lender will also require an official appraisal to be done on the property. If this is a cash sale, an appraisal is not required, but the buyer may pay for one and that can be a condition of the contract. We use the standard Greater Las Vegas Board of Realtors purchase contract which contains many provisions for the protection of both the buyers and the sellers. The only exception to using a standard GLVAR contract would be when purchasing a brand new Las Vegas homes from a developer. In that case the purchase contract is supplied by the developer.
The agent will write up a purchase contract including all terms of the sale. The buyer will sign the contract and the agent will submit it to the listing broker along with a copy of the earnest money deposit check or a notation that these funds will be wired directly to the escrow company within one business day.
The seller then has three choices: they can accept the contract as written, they can reject the contract, or they can make a counter offer to the buyer.
If the seller makes a counter offer, the buyer can accept it, reject it or make another counter offer to the seller. All offers and counter offers must be in writing. Verbal offers are not acceptable.
Once all parties have reached agreement in writing, the contract is considered accepted. The buyer's agent will submit all documents and the earnest deposit check to the escrow company and escrow will be opened. Once again, the earnest deposit will be cashed at this time and the funds will remain at the escrow company until the closing occurs.
The buyer's Las Vegas mortgage lender will also immediately receive an executed copy of the contract so that they may start processing the loan.
The lender should be instructed to order the appraisal immediately and collect funds for the appraisal from whoever is paying for it.
The property inspection should also be set up immediately so that the results can be reviewed and accepted or rejected by the buyer during the due diligence period. Should there be items on the inspection list that the buyer wishes to have fixed by the seller, a separate form will be prepared itemizing those items. Keep in mind that Las Vegas foreclosures and short sales are mostly sold "as is, where is" with no repairs to be made. Short sale sellers have no money, and Banks will very seldom pay for any inspection items unless a major issue is found like mold or a structural defect.
HOA docs should be ordered immediately so that the buyer can review them in a timely fashion within the due diligence period.
The buyer should also immediately contact their preferred homeowner's insurance company and order a homeowner's policy. The buyer will need to supply the property address, the property square footage and both the lender' and escrow company's contact information so that the insurance company can provide them with the necessary paperwork for closing.
Once the items of the due diligence period have been covered and the due diligence period ends, the buyer's earnest deposit is considered non refundable unless the seller is unable to provide clear title to the property or the property is materially damaged in some way prior to the closing.
About three days prior to the closing, the buyer will have an opportunity to "walk through" the home once more to make sure that the property is still in the same condition as it was when the offer was tendered. Also if there were repairs that were to be made by the seller, the buyer would check to make sure that those repairs have been done. If the buyer is unable to be at the property for the walk through, the buyer may nominate someone else in writing to perform this walk through on the buyer's behalf. The real estate agent may be present during the walk through, but CANNOT do the walk through for the buyer. If the buyer or a buyer's nominee cannot do the walk through, the buyer will need to waive his rights to the walk through in writing.
About three days before closing, the buyer will sign all the closing documents and lender documents, if applicable. The escrow company will have prepared an estimated HUD settlement statement outlining all fees being charged and this will be reviewed for accuracy by the buyer and the buyer's agent. The lender documents will be returned to the lender for review, and then the lender will wire mortgage funds to the escrow company. The buyer will deposit the remaining funds needed to close by WIRE TRANSFER only. Escrow companies will not accept cashier's checks as "good" funds. If a cashier's check is used, the escrow company will wait five to ten days for the check to clear. This will delay closing and may result in fees and penalties to the buyer.
About three days before closing the buyer will call the utility companies to have the utilities turned on in their name at the close of escrow date.
Once the property is officially recorded in the buyer's name at the Clark County Recorder's office, the buyer is obtains access to the property and keys from the seller. Prior to recording, no work may be done on the property by the buyer and no furnishings may be installed without prior written permission from the seller. (Bank owned properties never allow any kind of access prior to recording.)
Recording a property on the specified closing date is not an exact science, though we do everything we can to accomplish this goal. Some of the most common delays are: the HOA does not return the demands to escrow on time, the seller does not sign off on the final HUD statement, the loan documents need to be resigned because of a clerical error, escrow is waiting on the lender funds, final repairs have not been made, or title needs to clear a lien. These are all items outside of the control of the buyer or the buyer's agent, and a sense of humor helps to get through the process.

For non US Citizens: the above process for purchasing Las Vegas homes is the same for US and non US Citizens. One other item that foreign nationals need to be aware of when purchasing property in the United States: when you eventually sell the property, a certain percentage of any profit over the original sales price will be withheld at the closing to pay US federal taxes.

Taking title to property as an LLC or Corporation: it is possible to take title to a property in the name of a US registered Corporation or LLC if you are paying cash for a property, but the purchase contract must contain this information when it is presented to the seller. Most sellers will not sign a contract that allows an assignee to take over the contract. You must also provide your real estate agent with the appropriate documentation proving you are authorized to sign for that entity. Otherwise you will have to wait until after the transaction is closed and then transfer the property into the entity's name, at which time you would be subject to the applicable Nevada transfer tax for that change of title. If you are transferring title to a trust containing the names of the principals, transfer tax is not required.

Las Vegas Home Sales Indicate Cash is King

2010-01-26T15:04:00.003-07:00

Yes, Las Vegas is definitely having a half price sale! Prices have dropped on average of 59.2% from their all time highs in early 2006. But despite reports of doom and gloom in the local and national press about the Las Vegas real estate market, the actual sales volume stats for the year 2009 say something different. The total number of closings for single family homes in 2009 finished at 38,127, a 53% increase over closings in 2008. Condos and town home sales volume finished the year at 8752 closings, a 137% increase over 2008.

In fact, total closings in 2009 actually EXCEEDED the number of closings in 2005, the former sales volume annual record holder. Inventory for single family homes is down to 9,119 as of today’s date compared to a peak inventory of 26,000. Of the available homes currently on the market, almost half are short sales and the rest are divided pretty evenly between Las Vegas bank foreclosures and “real” sellers.

And why is the inventory of Las Vegas homes for sale so far down and why was the 2009 sales volume so high? Investors, attracted by the low sales prices which yield a good rate of return for rental income, are flocking back to the city. They are coming with cash and competing with first time homebuyers and move up buyers for the limited number of available listings.

December closings sold according to the following terms:

Cash 41% with an average sales price of $117,522
Conv 23% with an average sales price of $192,915
FHA 30% with an average sales price of $143,515
VA 5% with an average sales price of $188,113

Prices in some of the most popular areas of the Las Vegas Valley actually appreciated a small percentage in December, most notably in Summerlin, Anthem and the Southwest. The big banks are still sitting on a large number of foreclosures that have never been put on the market, but sources indicate that they will only be releasing these in controlled numbers over the next year or two so that prices remain stabilized.

MGM City Center Provides Financing for Las Vegas Condos

2009-12-10T11:16:00.002-07:00

The following excerpts were taken from this week's MGM City Center press release announcing that City Center will be providing mortgages for condos and condo hotel units in its 67 acre mega development on the Las Vegas Strip. This is great news for Las Vegas condo purchasers who wrote checks for 20 to 30% down payments five years ago but have been unable to secure outside financing since the Las Vegas real estate crash. Along with City Center's recent price reductions to meet current market conditions, MGM Mirage seems to be doing everything possible to ensure that the MGM City Center development is a huge success.

LAS VEGAS (December 8, 2009) – CityCenter Holdings, LLC today announced that it has selected Private National Mortgage Acceptance Company, LLC (“PennyMac”) to serve as a lending resource for buyers of condominiums and condo-hotel units at CityCenter. PennyMac will assist buyers in arranging financing for their residential purchases. CityCenter, a joint venture of MGM MIRAGE (NYSE: MGM) and Infinity World Development Corp, a subsidiary of Dubai World, also announced that it intends to provide a seller financing program to well-qualified buyers, which will also be administered by PennyMac.

“PennyMac will be a resource to help our customers to assess their financing options and assist them with the closing of their purchase,” said Bobby Baldwin, President and Chief Executive Officer of CityCenter. “We are pleased to provide qualified buyers an additional option through a competitive seller financing program.”

PennyMac, through its subsidiaries, will coordinate loan origination, servicing, and secondary market activities. PennyMac has partnered with EvoFi One, a leading lender headquartered in Nevada, as an origination provider for this development.The seller financing program will include both a fixed rate and a variable rate option. With the assistance of PennyMac, CityCenter has developed a comprehensive program which takes both the buyer’s financial standing and their purchase into consideration when determining loan terms.

CityCenter also recently announced a 30 percent price reduction to buyers who consummate existing purchase contracts and who execute an addendum to their existing purchase and sale agreement. “We have spoken to the majority of our buyers since the price adjustment announcement, and it is clear that our efforts has been well received,” said Tony Dennis, Executive Vice President, CityCenter Residential Division. “By adding PennyMac as a lending resource, we now provide our buyers with a Las Vegas mortgage option to assist with their closing needs.”

CityCenter closings are scheduled to begin in January 2010 with buyers of The Residences at Mandarin Oriental, Las Vegas. Veer Towers closings are projected to begin in February 2010 and Vdara Condo Hotel closings in March 2010.

It is hoped by local residents that the more than 12,000 jobs created by the massive City Center project will boost the economy and spur Las Vegas homes sales this spring. Banks have been holding their inventories of Las Vegas foreclosure homes off the market in hopes that prices would rise in the first part of next year allowing them to recoup some of their losses.

New FHA Guidelines for Las Vegas Home Buyers

2009-12-07T18:04:00.003-07:00

Buyers of Las Vegas homes need to be aware of several proposed changes to FHA guidelines that may soon be implemented buy the Federal Department of Housing and Urban Development which will impact their purchasing power. It is estimated that more than 71% of FHA’s losses over the next five years will come from existing loans, prompting HUD to re-evaluate criteria for new loans in an effort to minimize further losses.

Proposed changes to the current guidelines could include:

* Reduce the maximum seller contribution towards buyer closing costs from 6% of the purchase price to 3%. The current level exposes the FHA to excess risk by creating incentives to inflate the appraised value to cover costs paid by the seller.

* Raise the minimum FICO score for new FHA borrowers.

* Increase the down payment that a borrower has to bring to the table for an FHA-backed loan to make sure that FHA buyers have more “skin in the game” and a stronger equity position in their loans. Currently FHA minimum down payment is only 3.5% of the purchase price.

* Increase the mortgage insurance premiums currently charged. This could be in the form of an up front payment or an increase to the annual premiums paid as part of the monthly mortgage payment.

* Require lenders to indemnify the FHA fund for their own failures to meet FHA requirements, and holding lenders accountable for any improper activities. This would ensure that lenders assume all responsibility for any losses associated with loans not underwritten to FHA standards.

Greater down payment requirements and higher FICO scores will certainly impact the Las Vegas real estate market, especially for first time homebuyers trying to take advantage of the extended first time homebuyer tax credit and all time low prices. Even under current guidelines they are already in competition with all cash investors for the limited supply of affordably priced Las Vegas foreclosures, and stricter lending requirements could nix the dream of American home ownership for many. Buyers that have even been thinking about purchasing a property with an FHA loan should be aware of these impending changes and act quickly before they are put in place.

Happy Ending for Las Vegas Home Inspection

2009-11-18T18:26:00.004-07:00

A few days ago I posted a letter on this blog from one our Las Vegas real estate inspectors, Spectrum Inspections. The letter addressed the responsibility of the listing agents to disclose known defects on Las Vegas foreclosures they were handling, despite the fact that the properties were being sold "as is, where is." In this particular case, the inspector was aware that the listing agent had ordered mold remediation done on the property prior to placing it on the market, though there was no disclosure about the remediation to the subsequent buyers. The inspector's quandary was whether or not to let the listing agent know about their potential liability to the buyer, since Las Vegas real estate agents are required to disclose all known material defects about a property, even though the property is being sold "as is, where is."

Below are excerpts from the inspector's follow up letter detailing the resolution that resulted from alerting the listing agent to the issues.

Dear Diann,

I would like to thank the many people who responded to my request for guidance and provided me with input. Most of the guidance and direction recommendations that I received were very similar. However there were a wide array of suggestions that ranged from, "Do nothing; you're just the home inspector," to "you must take this issue to the state legislature to ensure this type of thing never happens again." Some people thought we were over stepping our boundaries as home inspectors, while others complimented our involvement. During my twenty-one years in the military one lesson I learned was that the proper initial course of action is always to try and resolve problems at the lowest level. This is what I did.

When I called the Listing Agent and spoke about the potential liability he may be incurring by not disclosing material information that he should disclose in accordance with the "Duties Owed" he was very grateful and receptive. He went on at great length about how he is buried with REO listings and appreciated me bringing this issue to his attention. He is a good guy, trying to do the right thing, and did not need to be either reprimanded or incarcerated.

He sent an addendum to the Selling agent disclosing that the home was plumbed with Kitec. He also sent the Selling Agent copies of all the repair orders, documentation of the repairs that were accomplished, and even forwarded the results of the post mold remediation testing that was performed. It appears that his actions to address the damage and the mold were done by the book. The buyers were very grateful that nothing seemed to be glossed over and now feel that they received the level of disclosure they were entitled to receive.

We also suggested the Listing Agent contact the Asset Manager, request that the Kitec replumb be accomplished prior to title transfer at the bank / current homeowners expense, and to have the prospective buyer sign an agreement that assigns any remuneration from the class action lawsuit to the bank that paid to have the replumb accomplished. Everyone involved thought it was a good path of resolution that created a win/win situation. The buyers are willing to move forward with the transaction once the replumb is accomplished, and will have a better than expected 25 year warranty on the plumbing system. All the repairs the Listing Agent had performed were professionally accomplished and this was confirmed during the course of our inspection. The buyers are now looking forward to spending the Christmas holidays in their new Las Vegas home.

A great home inspection will not only uncover all the significant problems with the home, but will provide you with a course of action or path of resolution for addressing the issues. Both agents in the transaction were delighted at the level of involvement we provided. Don't you love a happy ending?

Paul J. Donohue, RHI, RREI, CREI
President, Spectrum Inspection Group Inc.
8345 Coyado StreetLas Vegas, NV 89123
Phone: (702) 269-6716

Have a question about homes for sale in Las Vegas? Contact us at 702-985-7654!

Las Vegas Real Estate Market Stats from September

2009-11-17T15:25:00.004-07:00

Below are some interesting statistics comparing September of 2008 to September of 2009 for the Las Vegas real estate housing market:

While prices are markedly down 30 to 40%, sales volume has actually increased significantly and inventory has dried up, especially in the starting price ranges.

In September of this year Las Vegas foreclosure sales were 67.1% of the month’s resales, down from 68.4% in August, while absentee buyers accounted for a record 40.4% of September's sales, up from 40.2% in August. 53.8% of mortgage-financed purchases used FHA mortgages, up from 52% in August. The average median sales price for the same time period in 2006 was just slightly over $300,000.

Can Las Vegas Foreclosure Listing Agents Avoid Disclosure

2009-11-16T09:32:00.004-07:00

Here is a letter recently sent to us by Paul Donohue of Spectrum Inspections, one of the leading home inspection companies in the Las Vegas Valley. As usual, Paul keeps us informed of ongoing inspection issues that we, as Las Vegas real estate agents, need to be aware of. Paul sent us the information below just this past week which raises an interesting question: What responsibility do REO listing agents have to disclose defects that they are aware of?

Recently REO agents have been hiding behind the "as is, where is" clauses inserted by sellers (banks) into their contracts. But this does NOT relieve them of responsibility to disclose anything they know about a Las Vegas home for sale that they have listed.

Excerpt from Paul's letter:

No Disclosure

We were recently involved in an inspection on a Las Vegas home in foreclosure where the Selling Agent and buyers were very worried about mold. They had somehow gained entry into the home before it was "officially" on the market and observed an extensive amount of water damage and mold. But the Listing Agent, through the Asset Manager, had the damage repaired and mold remediation performed before the home was placed on the market. When the Selling Agent inquired about the damage the Listing Agent informed her that the home was being sold "AS-IS" and that there was no SRPD being provided. No disclosures about the property condition were going to be provided. They had an accepted offer to purchase contract in place.

The SRPD is the Sellers Real Property Disclosure Statement. True enough, especially with a fully signed NRS 113 waiver in place, the bank who owns the home is not required to make any disclosures about the material condition of the home.

But in this case it was the Listing Agent who arranged and coordinated the repairs that were accomplished. Forget about the SRPD, think about the "Duties Owed" The DUTIES OWED BY A NEVADA REAL ESTATE LICENSEE specifically states: Licensee's Duties Owed to All Parties:A Nevada real estate licensee shall:1. Not deal with any party to a real estate transaction in a manner which is deceitful, fraudulent or dishonest.2. Exercise reasonable skill and care with respect to all parties to the real estate transaction.3. Disclose to each party to the real estate transaction as soon as practicable:a. Any material and relevant facts, data or information which licensee knows, or with reasonable care and diligence the licensee should know, about the property.b. Each source from which licensee will receive compensation.4. Abide by all other duties, responsibilities and obligations required of the licensee in law or regulations.

Our inspection revealed that the home was plumbed with Kitec® plumbing and that a plumbing system leak was the cause for all the previous water damage the home had sustained. The leak and the damage had been repaired but the issue that caused the damage (Kitec® plumbing) still existed in the home.

This particular home was a Woodside Home. Woodside is currently in bankruptcy and no Kitec® replacement actions are going to happen on any Woodside homes until the bankruptcy is completed. If or when the buyers move into this home and then happen to develop mold related health issues do you think that the Listing Agent is going to be immune from litigation?

I am not an attorney and as such I do not provide legal advice. But as is the case with most home inspectors I always am cognizant of the potential liability that may exist in any inspection situation. There is no doubt in my mind that unless the Kitec® in this home is replaced, and replaced soon, there will be other water intrusion issues occurring and further water damage is imminent. And when the homeowner is unable to obtain relief from the Kitec® class action lawsuit they will be looking for other ways to obtain remuneration for the repair and replacement expenses they will have incurred. The buyers are already questioning the responsibility of the Listing Agent to provide the disclosure they seek. Once they lament to an attorney that the Listing Agent was aware that previous damage existed and failed to disclose any information about the issue it seems to me that it is very possible that the Listing Agent could be held liable and end up in court.

Las Vegas home inspectors are licensed by the Nevada Real Estate Division, just like real estate sales people and our guiding regulations NAC 645D.460, which outlines professional conduct, states: A certified inspector shall:1. Perform his duties with the highest standard of integrity, professionalism and fidelity to the public and the client, with fairness and impartiality to all. In light of the information we possess and in consideration of our responsibility to the standards that we are required to observe should we advise the Listing Agent of the potential liability that exists?

I would appreciate your input so that I may decide how to act upon this issue. And thank you for your time. Paul J. Donohue, RHI, RREI, CREIPresident, Spectrum Inspection Group Inc.8345 Coyado Street Las Vegas, NV 89123Phone: (702) 269-6716Web: http://www.inspectlv.com/

Will Deed for Lease Program Slow Las Vegas Foreclosures?

2009-11-07T11:23:00.000-07:00

For Las Vegas home owners who have been unable to qualify for a loan modification and are facing foreclosure, a new Fannie Mae program would at least allow them to stay in their homes for up to a year if they are willing to sign over their homes to the bank on a deed in lieu of foreclosure. The bank would then lease the house back to the borrower at current market rate for up to a year. After the initial lease period expires, there's the possibility that the bank would extend the lease on a month to month basis.

The program, called Deed for Lease, is designed to help stabilize neighborhoods and reduce the amount of foreclosures on the market. Foreclosures in Las Vegas have been among the highest in the country. Many neighborhoods built during the boom period were bought out by investors and currently stand half vacant. According to Dean Baker, co-director of the Center for Economic and Policy Research, "Families that like their home, their neighborhood, or the schools for their children will have the opportunity to stay in their house even after foreclosure. This is also good policy for neighborhoods that have been hard-hit by foreclosures. The Deed for Lease Program will keep the homes occupied rather than being an eyesore and a potential safety hazard."

To qualify for the deed for lease program, the home must be the borrower's primary place of residence. A borrower-turned-tenant must be able to prove that the market rental payment is no more than 31% of his gross income. Any subordinate lien holders (second trust deeds, judgments, etc.) must agree to release those liens in full. For most homeowners, the rental payment will be far lower than the mortgage payments they were making.

The Las Vegas real estate market would seem ideally positioned for this new program. There are even rumors that in the future Fannie Mae would seek to sell the homes back to owner/tenants. Current short sale guidelines prohibit more affluent friends or family members from purchasing a borrower’s home in the hopes that one day they would be able to buy them back. Banks could gain from potential appreciation over the next few years, rather than going through the expense of the foreclosure process and low prices now.

Existing Homeowners Happy about Extended Tax Credits!

2009-11-06T20:07:00.002-07:00

Las Vegas real estate agents and homeowners alike are celebrating the news! It looks like the first time home buyer tax credit will be extended through April 30th of 2010, and more buyers than ever before are now eligible to take advantage of the new credit guidelines. Income caps have been raised from $75,000 to $125,000 for individuals, and from $150,000 to $225,000 for couples. In addition, move up homeowners are going to get a piece of the pie as well. Any homeowner who has owned his home longer than five years can get up to a $6500 credit on the purchase of a new principal residence. (The credit is available for the purchase of principal homes costing less $800,000, and vacation homes do not qualify for the credit.) Homebuyers who qualify must stay in their new homes for at least three years, or they will have to repay the credit.

So what does that mean for the local market? The inventory of Las Vegas homes for sale has already dwindled dramatically in the third quarter of 2009, with less than 8,500 single family homes on the market at the end of October, down from a high of over 25,000 in October of 2007. Price decreases of more than 50% in the market lured investors back into circulation during 2009, and first time homebuyers, squeezed out during the boom, took advantage of affordable pricing. Competition for Las Vegas foreclosures has been fierce, with multiple offers submitted on properties under $250,000. (One property received a record 75 offers in less than three days on the market!)

One of the most frustrating aspects of the market during the past year, for both buyers and agents, has been trying to get an offer accepted. With more than 80% of the properties for sale being either bank owned foreclosures or short sales, the process has been arduous to say the least. Many buyers on short sales have waited over 6 months waiting for bank approval only to have the short sale package denied or to find out that the bank had foreclosed on it, even though there was a valid contract in escrow. And in some cases the sellers have “disappeared” prior to closing since they are getting no money out of the sale. Most buyers have had to put in more than a dozen offers on properties before finally getting one accepted. Plus the banks are writing all the rules. Negotiators are requiring full preapprovals from Las Vegas mortgage lenders before they will even consider an offer. And buyers are taking homes in “as is, where is” condition with no repairs made and no warranties or recourse against the sellers.

With any luck the new tax credit for move up buyers will stimulate “real sellers” to put their existing homes on the market. They will be pleasantly surprised to find that they are able to command more money for their homes than the bank repos and short sales, as frustrated agents and buyers will be zeroing in quickly to claim a “normal” transaction without all the headaches and hoops of the repos and short sales. Higher sales prices for homes should stabilize the market as well, and may even lead to increases by the time spring buying season rolls around. So break out the champagne and the paint brushes!

Cosmopolitan Class Action Heats Up in Las Vegas

2009-10-25T17:03:00.008-07:00

The Cosmopolitan Resort Hotel and Casino first opened its Las Vegas condo sales on February 14th, 2009 and over 900 condo hotel units were reserved the very first day, making it Las Vegas' hottest selling property in history. Ultimately over 1800 units were placed under contract before the original developer, Bruce Eichner, was forced to relinquish control to the current owner, Deutsche Bank. Deutsche Bank continued construction, but placed further sales on hold pending management decisions on how to continue with the project.

Originally the development was slated for completion in late 2007 or early 2008, but delays in construction and developer financing had put it way behind. When Deutsche Bank assumed control they also decided to do some interior remodeling on the units, putting the project even further behind schedule. Currently the anticipated completion date is set for mid to late 2010.

But in the meantime with the fall of the global real estate market and the Las Vegas real estate market in particular, condo hotel financing dried up, leaving hundreds of Cosmopolitan contract owners in a panic about the value of their units and how they were going to finance their purchases at closing. Next door the MGM City Center announced in late September 2009 that they were reducing prices 30% across the board to more accurately reflect today's values, and they extended that reduction to existing contract holders.

It is unknown at this time whether Deutsche Bank will open the project as a condo hotel as originally planned, or if they will convert all or part of the condo hotel towers into regular hotel suites. Several class action suits have been filed on behalf of Cosmopolitan contract owners hit hard by the financial crisis trying to recover all or part of their deposits prior to completion. On October 21st Marquis & Aurbach got a preliminary settlement approved subject to final approval by the court sometime in December. As I understand this settlement agreement, contract holders would receive back 74.4% of their total deposits less approximately 13.5% for attorney's fees and costs. That is the equivalent of about 61%, which would be returned to contract owners in late December of 2009. Please refer to the actual settlement documents for exact details and consult with a personal attorney for a precise interpretation. Marquis & Aurbach can be contacted directly at: (702) 382-0711.

A second group is pursuing a separate class action suit to recover a greater share of the deposits held by Deutsche Bank. This group, including Robin Leach, is being represented by Girardi/Keese who can be contacted at: (213) 977-0211.

As a contract holder myself, my own personal guess is that Deutsche Bank intends to turn the west tower units into hotel suites, but may keep the east tower as a condo hotel. Contract holders in the east tower were NOT included in the settlement agreement negotiated with Marquis & Aurbach. If I am correct in my guess, Deutsche Bank is now mitigating the amounts they might be forced to return by $25.6% if the west tower is not completed as a condo hotel building, a hefty chunk of change. Again, this is only speculation on my part based on the actions of the parties involved. I do NOT have any inside knowledge, and these speculations should not be relied upon to determine a personal course of action. Please consult an attorney to discuss your own options if you are a current Cosmopolitan purchaser. But it will be interesting to see what lies in the future and if my predictions are in any way accurate.

I am also predicting that local residential real estate may have hit rock bottom. Currently there is only a three month supply of Las Vegas homes for sale on the market and sales volume is up. Two weeks ago I had to place offers on 14 different homes to get an offer accepted for my own son. Almost all the properties were Las Vegas foreclosures and all had multiple offers on them!

MGM City Center Expected to Reduce Prices

2009-08-26T21:34:00.000-07:00

MGM CityCenter, MGM Mirage’s 8.5 billion dollar showcase property in the heart of the Las Vegas Strip, announced earlier this month that it was likely they would be adjusting the prices downward on the three residential developments in the mixed use project: Veer, Vdara and The Mandarin Oriental. Reductions are being considered in the wake of the world’s economic recession and the local Las Vegas real estate market depreciation of up to 50% on residential properties.

MGM opened sales at the CityCenter in January 2007, when the Las Vegas real estate market was red hot. Original purchasers have been seeking price reductions on the condominiums and condo hotel units they purchased two years ago, during the height of the Las Vegas boom. According to Bob Hamrick, CityCenter’s Sales Manager, “CityCenter remains a unique product that can’t be touched by anything else in Las Vegas. But there are some realities we recognize, and we have to respond.” Any announced price reductions would be offered to original contract holders and to buyers purchasing between now and when the official price reductions are announced in early September of 2009. Rumors are flying that reductions could be anywhere between 20% and 40%.

MGM is also trying to find sources of private financing to help buyers close on their condos. With tighter federal guidelines and banks struggling under a glut of foreclosures, high rise and condo hotel loan programs from Las Vegas mortgage lenders have all but vanished, The few that remain are requiring 50% to 60% down payments and higher interest rates. The Mandarin Hotel is expected to start closing on luxury residential units in December of 2009. Units at Veer, the twin residential towers fronting the CityCenter complex, are expected to begin closing in January of 2010, and condo hotel units at Vdara are expected begin closing if February of 2009.

The next big question is not only how much of a reduction will be offered to MGM CityCenter buyers, but also how the reductions will affect the future of the Cosmopolitan Hotel and Casino next door. The Cosmopolitan, a condo hotel and hotel casino project, was taken over through foreclosure by Deutsche Bank last year, and sales were suspended. There are almost 2,000 current contract holders in the Cosmopolitan that are waiting to hear if the project will move forward with the proposed condo hotel program, or if the contracts will be voided and the units absorbed into the hotel room inventory. Sales in the Cosmopolitan commenced on February 14th in 2005, with over 900 units being reserved the first day in a record breaking frenzy.

Elsewhere on the Las Vegas Strip, real estate investors are snapping up units at fire sale prices in the beleaguered MGM Signature project. Owners of condo hotel units that originally sold from $400k to over $1M have become part of the Las Vegas foreclosures statistics due to high mortgage payments, declining values, and rental incomes below expectations. Current purchasers are taking advantage of prices starting in the mid $100s, or 33 cents on the dollar. Trump Tower is experiencing the same hardship, and there are some real bargains to be had on resale units. The Palms Place luxury condo hotel units, on the other hand, have fared much better due to high occupancy rates in the popular boutique venue. And in general, Las Vegas homes for sale inventories are way down from the same time last year as first time buyers and investors are drawn back into the market by affordable pricing.

Uptick in Siesta Key Homes for Sale Requests

2009-06-11T08:53:00.015-07:00

Good news for the real estate industry - Las Vegas and Florida, two of the hardest hit real estate markets, are both reporting that things are looking up again, sooner than expected. Here’s the latest news from another resort style city, Sarasota, Florida.

With some of the finest white sand beaches in the world, Siesta Key beach moved up one spot to the Second Best Beach in the United States on Dr. Beach’s annual 2990 Top 10 Beaches List. Siesta Key was the 3rd best beach in the country according to Dr. Beach. Throughout the years, the beaches of Siesta Key have won numerous awards due to its sparkling white sand which is cool to the touch. Beachcombers love to wander the beaches on this 8 mile barrier island off the coast of Sarasota.

So Far in 2009, Annette Smith, Realtor and John Allen, Broker of Allen Real Estate Services in Sarasota FL report an uptick in sales activity on Siesta Key beach homes and condos. John’s site BuySarasota.com is the premier site for Sarasota area waterfront homes and condos for sale. Siesta Key homes and maintenance-free condominiums ooze with island charm, and residents love their resort lifestyle. Siesta Key sunsets are an extra benefit of island living.

Siesta Key Attractions

Beach: Drum Circle every Sunday until sunset
Shopping in Siesta Key Village
Restaurants: Broken Egg, Turtles, Ophelia’s, Blasé Cafe
Fishing
Boating
Night Life: Beach Club

The Sarasota MLS reports more than 600 properties for sale currently on Siesta Key. Single family homes on Siesta Key range from $215,000 to $15,000,000. Prime locations for Siesta Key homes for sale are the properties closest to the beach and closest to Siesta Key Village. Condo living on Siesta Key is especially popular and currently there are 453 condos, town houses and villas for sale on the Key.

Siesta Key Village

Specialty shops, cafes, and restaurants are abundant in Siesta Key Village where beachgoers have quite an array of surf shops to browse for beach towels, suntan lotions, and most importantly flip flops. Residents and visitors mingle and connect in this small eclectic beach village. Siesta Key is a great spot if you want to live where the sand isn’t hot when it hits your toes!

Additionally, residents of Siesta Key drive a short distance to downtown Sarasota for excellent shopping, restaurants and the cultural venues of this coastal area.

For more information on Siesta Key homes for sale or perhaps a waterfront condo in South West Florida, contact Annette Smith at 941-504-3922 for a prompt reply.

Short Sales Don’t Have to Ruin Your Credit!

2009-05-12T13:01:00.002-07:00

Like markets across the country, Las Vegas real estate has been hit hard by declining values and many homeowners are unable to sell their properties without coming out of pocket. Good news has arrived for those who have so far kept their payments current, but have been seriously considering filing for bankruptcy or letting their homes go into foreclosure. Some lenders are now allowing homeowners to go ahead and do a short sale without first falling behind on their payments.

A short sale or pre foreclosure occurs when a homeowner owes more on his property than it is currently worth and the creditor agrees to take less than the amount owed. First the homeowner has to show proof of true hardship which can be due to a variety of reasons: loss of employment or drastic cut in pay, loss of income from investments (stock market declines), illness, divorce, or death in the family. The homeowner has to write a hardship letter explaining in detail why they can no longer afford the payments on the property. They also have to provide tax returns, pay check stubs and current financials to support the hardship letter.

After the seller completes the short sale documentation, the property is put on the market. Once a bona fide buyer makes an offer that is accepted by the seller, the listing agent then submits the offer and the short sale package to the lender for approval. The bank will do their own estimate of value and decide whether to approve or possibly counter the original offer with what they are willing to accept.

Until recently the banks were not willing to look at a short sale package unless the property owner was already behind in their payments. The late payments and the short sale settlement meant the that property owner took a huge hit on their credit scores and were ineligible to buy another home for at least four years.

But with the glut of Las Vegas foreclosures on the market and the increasing costs of maintenance on foreclosure properties, the banks are becoming a bit more lenient toward Las Vegas short sales. Some are now willing to approve a short sale even if the homeowners have kept their payments current. Most of the time the homeowner remains living in the residence and taking care of it until the sale, meaning the properties are in better shape and sell for more than they would later after foreclosure. The credit report reads “negotiated settlement,” and the homeowner may only take a minor hit on their credit score. If their scores were high enough to begin with, they may even be able to buy other lesser priced Las Vegas homes almost immediately, or as soon as they can save up the down payment money.

So if you have been feeling that you need to get out from under a huge mortgage balance, but you hate the idea of damaging your credit, there may be hope! The inventory on Las Vegas homes for sale is down dramatically from what it was a year ago, so it may not be as hard as you think. Contact one of our short sale specialists today and let us help.

Multiple Offers On Las Vegas Properties Again

2009-04-23T01:32:00.005-07:00

Dear Readers,

Below is a letter that I sent last night to an Australian agent who has clients that want to buy Las Vegas real estate. I had sent her some "best buy" Las Vegas MLS listings two weeks prior and her clients were supposed to respond immediately. But they procrastinated and lost out on the home they wanted. I realized as I was writing my response, that it was a great lesson in timeliness and patience for any buyer that is looking to purchase in this crazy market.

Hey Jo,

Where you been, girl?! The property your clients chose already has a contract on it – actually they had multiple offers. It sold for cash above the most recent list price, and is due to close this Friday.

We are experiencing a HUGE surge in buying. You know the frustrating experiences you already had trying to put in offers? Well just in the past couple of weeks our market has gone officially insane. Everything decent under $150k is now getting multiple offers within a couple of days and averaging 3% above list price. By the end of March we had 80% more sales than last year at this time!

The listing agents won’t even present an offer now unless it is accompanied by either proof of funds for cash buyers (in the form of a current bank statement) or full loan approval for buyers getting Las Vegas mortgages. The banks don’t even care if the buyers are cash or getting loans – they are only looking at the bottom line since the mortgage buyers are fully approved anyway.

And just to make it even tougher, some of the REO listing agents are playing games with the offers and trying to sell them “in house.” Not what you wanted to hear, I know.

But we have so much pent up demand from first time home buyers: prices are affordable for the first time in years and our federal government passed a tremendous first time homebuyer tax credit. Plus the news is starting to report Las Vegas as one of the most undervalued markets again, so here come the investors once more!

I am right on the spot, and in order to get two properties in escrow for myself this week I had my offers out to the listing agents within hours of the properties going on the market, sight unseen. We actually bid on five Las Vegas homes to get two. They are both short sales, so I still have to wait for the banks to approve the shorts on the loans. (Oh, yes, I am definitely in buying mode myself. I really think we have hit bottom and will start to see a rise again by year’s end. Personal opinion, of course, but it feels right to me based on what I am seeing in the market.) One of the properties I bid on got THIRTY offers!

Anyway, long story short (too late!), first of all your buyers would have to send us their proof of funds in advance, and second they have to be ready to pounce immediately. Literally: we send you the homes, they pick at least two or three to put offers on within just a few hours and then email us back right away so we can prepare contracts. (ALL the banks have counter offer addendums, so the clients won’t ever have to worry about being on the hook for more than one property. If we got lucky enough to get a positive response from more than one, we would just pick the one we liked the best and reject the counter on the other.)

We email back the contracts along with the comparable sales info on the properties they have chosen so that your clients can feel totally confident that they are paying a reasonable price. They sign the contracts and send them back, and then we “present and pray.” We will already be working with a time zone challenge, and really only have perhaps 72 hours between the property going on the market (or having a significant price reduction to below market value) to offer presentation to be effective. And that’s because we truly are sending you the BEST listings.

The buyers should also be prepared to wire funds within one business day to the escrow company to cover the earnest deposit if they get an accepted offer. Very few properties will be completely turn-key – some handy work will probably be required, though there are enough that just require basic cosmetics. (Touch up paint, landscape maintenance, carpet cleaning, etc.) Remember, the lowest priced properties are all Las Vegas foreclosures (bank owned) or Las Vegas short sales - the banks are not making any repairs and are selling “as is, where is.” And most of the original owners were not all that happy about moving out.

If your buyers are truly serious about proceeding, we should get their current proof of funds first off. Then they need to commit to responding with a couple of properties they are willing to purchase within a short (few hours) time frame so that we can prepare contracts. And they need to know that they are probably going to have to bid over list price unless the comparable sales data indicates otherwise. Low balling worked when prices were higher and no one was buying. Now everyone is back in the game again.

Deep breath!! Did I put you to sleep with this novella? I don’t want to discourage your buyers, but unless they are prepared to be really aggressive it’s going to be hard to get them something good.

Cheers and looking forward to hearing back from you - quickly!
Diann

PS When I speak of Las Vegas real estate, that also includes Henderson real estate. It is a small valley and they run right into each other. Also, if your clients do want to go higher in pricing, there are some dynamite deals in some of our gorgeous Las Vegas golf course homes too!

Las Vegas Top Ten Luxury Homes and Condos Deals for March 2009!

2009-03-12T18:57:00.006-07:00

Las Vegas real estate prices have not been this low since the year 2000! Now is the time to take advantage of the tremendous bargains you can find on these fabulous Las Vegas homes and condos in the most beautiful neighborhoods in our Valley.

Seven Hills sensation reduced over $340,000 below original sales price! Luxurious almost 4500sf home with pool in prestigious guard gated community! Owner’s loss is buyer’s gain on this amazing pre-foreclosure home upgraded to the max in a gorgeous Seven Hills guard gated neighborhood! Bright and spacious 4497 sf 6 bedroom 4.5 bath beauty with 3 car garage and resort style pool/spa on an oversized beautifully landscaped lot. Crown moldings, plantation shutters,16" tile throughout, 2 fireplaces and more priced WAY below market for a fast sale at $460,000!
Stunning custom with unobstructed Strip Views for HALF the original price!! How low will the bank go on this truly incredible estate home in guard gated Anthem Country Club?!!! Exquisite 10,000 sf 5 bedroom 6 bath luxury home with stunning Strip and golf course views! Beautiful marble flooring, superb gourmet kitchen with top of the line stainless steel appliances, phenomenal master suite with balcony, crown moldings, basement game room with 16 seat home theater, six fireplaces, elevator, spectacular pool, spa, waterfall and koi pond and just too much more to list! Las Vegas foreclosures have never been better deals - originally sold for $3.2M and now fire sale priced at only $1.6M.

Amazing deal in the District at Green Valley Ranch for 70% off last sales price! If you have been looking for a deal at 30 cents on the dollar in a luxury setting, look no more! Gorgeous bank owned unit on the 3rd floor of the fabulous District at Green Valley Ranch. 1256 sf 2 bedroom 2 bath luxury condominium upgraded to the max with detached two car garage, just steps from boutique shopping, casino and gourmet restaurants. Granite counters, custom cabinetry, stainless steel appliances, travertine flooring and much more with spectacular city and mountain views plus on site fitness center, theater room, concierge service and security. Sold in 2007 for $1,015,000 and now sale priced at only $299,999. First come, first served!

MacDonald Highlands bank owned home for 39 cents on the dollar!! Buy the least expensive home in this exclusive custom neighborhood!Beautiful 4,235 sf 4 bedroom 3.5 bath home with three car garage in spectacular MacDonald Highlands guard gated golf community! Huge open floor plan, designer tile flooring, custom cabinetry, gourmet island kitchen with granite countertops and stainless steel appliances, sinful master suite with balcony, and so much more on 10,000+ sf lot. Originally sold for $1,350,000 and now priced WAY below everything in the neighborhood at only $540,900 by the bank for a fast sale!!!

Steal this Lake Las Vegas luxury home with gorgeous golf and lake views for only $250k! Live the Las Vegas luxury lifestyle and be Celine Dion’s neighbor too!Absolute perfection in V at Lake Las Vegas! Mint condition 1600 sf 3br 3ba town home with separate office and two car garage upgraded to the max. Bright airy great room floor plan, custom tile floors, granite countertops, stainless steel appliances, sensational master bath with spa tub, huge balcony with spectacular views and much more. Privately gated community within Lake Las Vegas with clubhouse, fitness center and pool too. Originally sold for $870k and now priced at only $250k. Plus furniture may be sold separately to make this unit totally turn key!

MGM Signature fully furnished high rise condo hotel unit 60% off last sales price! Come stay and play at the MGM in this luxury high rise tower for only $175k!Fully furnished 520 sf luxury condo suite on the 6th floor overlooking the MGM Grand Lazy River and Brazilian pools with panoramic mountain views! Suite is totally turn key with plasma TVs, kitchenette, granite countertops, marble flooring, Jacuzzi tub, linens and more. Plus there is a private owner’s pool and spa, lounge, valet service, concierge and special privileges to MGM events. And you can place this unit with MGM’s rental program when you are not in residence. Last sold for $449k and price now slashed to $175k.

Almost half price in Trump Tower on the fabulous Las Vegas Strip! Live like the Donald in this spectacular Las Vegas high rise condominium on the 34th floor! Fabulous, elegant and fully designer furnished 34th floor NW corner 974sf 1 bedroom 2 bath luxury condo in Trump Las Vegas, just one block west of the Strip. Walk to Venetian, Encore, Wynn! Beautiful Mountain & City Views! Spectacular marble bath with View Window over Jetted Tub! On site rental program, resort style pool and spa, valet, dining and more! Originally sold for $850k and now incredibly priced at only $465k, even lower than the studio units!

Red Rock Country Club estate with golf and lake views – price slashed! Owner’s loss is buyers gain in this exclusive guard gated golf course community!No expense was spared on this lavish 4000+ sf 6 bedroom 6.5 bath home with all the goodies overlooking the tenth fairway on Red Rock golf course! Gorgeous pebble tech pool and spa, travertine floors, huge gourmet kitchen with granite counters and maple cabinetry, stacked stone walls and fireplaces, lavish master suite with sitting room and balcony, theater room, and more. Owner purchased for $1.375M and now giving away at only $739k!

Enjoy the fabulous views from the 30th floor of this spectacular condo just behind the new MGM City Center! Save over $350k on this sumptuous beauty located in the heart of Las Vegas!Sit back and enjoy the incredible views from all the rooms in this 2291 sf 2 bedroom 2.5 bath contemporary high rise unit in Panorama Towers just across from the MGM City Center. Dual master suites, large living and formal dining areas, marble entry, great kitchen with black granite counters, custom cabinetry and stainless steel appliances, and much more. Plus enjoy the convenient luxury of Panorama’s on site pool and spa, valet service, fitness facility and concierge. Originally purchased for $890k and now just reduced to $525K!

Do the math - last sold for $4.1M and now listed at only $1.4M! Exclusive luxury estate in prestigious Eagle Hills in Summerlin! Relax in over 8400 sf of elegance in this 5 bedroom 5.5 bath custom estate home on almost half an acre backing on to the private park. Spectacular pool with cabana and swim up bar, rounded glass windows, 25’ ceilings, wrap around balcony on the second floor, sumptuous master with two walk ins and steam shower, travertine floors, basement for home theater and more. This pre-foreclosure needs some TLC but the seller has priced it to go fast!!!

To view any of these sensational properties in person, please call our office at 702-985-7654. You can also view more photos at: Las Vegas Top Ten Real Estate Deals.

But hurry. These are true steals, and it won't be long before they are GONE!

Luxury Las Vegas Real Estate Goes Green

2009-03-01T18:53:00.006-07:00

Las Vegas real estate is going green. MGM City Center was the first LEED certified multi-use project in Nevada and now the Las Vegas homes market is following suit.

But the "best of the best" is without a doubt the Marquis Las Vegas project. Not only are the homes supremely energy efficient Smart Homes, they are knock your socks off gorgeous!

Walking through the models at Marquis Las Vegas by Blue Heron will have you voicing a rapidly rising crescendo of “oh wows!” Chosen by the National Association of Home Builders as the New American Home 2009, Marquis Las Vegas was featured during the International Builders Show as the epitome of green technology and innovative building techniques. These incredible homes are located in an ultra-exclusive neighborhood off of Tomiyasu Lane, an historical Las Vegas community that has been home to celebrities like Wayne Newton, Clark Gable, Carole Lombard, Robert Goulet, the Sultan of Brunei and Mike Tyson. The area contains several of Nevada’s most expensive properties, including estates ranging to more than 40 acres, but is just minutes from the Las Vegas Strip and Downtown.

Even as a Realtor who has literally seen thousands of luxury homes over the past 25 years, Marquis Las Vegas had me drooling! These homes have a distinct “desert contemporary” architectural style designed for entertaining and are packed with innovative features. From the zero edge pool, to the meditation room, to the waterfall flowing down the wall of the sunken outdoor patio, to the rooftop gardens, all your senses will be engaged and renewed. The master bath is a sheer delight – the master tub vibrates, sending soothing pulses throughout your body in time to relaxing music, and the steam shower features light therapy and rainbows, yes rainbows, that stimulate your brain.

And of course there is every type of technology that even computer geeks will find impressive. Homebuyers that choose the Smart House Package will actually spend two weeks with Microsoft, programming the entire home for their comfort and lifestyle. You can access the entire home from an I-phone, and if you can’t figure out what light switch to hit, you can call up a 24/7 hotline and they will do it for you!

I could go on and on about these homes, but you really have to see them to believe what you get. Each home is set on a half acre cul-de-sac lot next to Sunset Park which is set to undergo a $30 million dollar renovation. The Marquis courtyard style home plans can range from 4500 square feet to over 10,000 square feet and are exquisitely customized for each buyer according to their needs.

But the best part is: going green does not mean you have to sacrifice quality. The Marquis model home is a 9,000 square foot masterpiece, but since the energy for the home is both solar and solar thermal, you actually generate electricity back into the power grid for a net zero electrical balance. It is estimated that this home will run on natural gas and electricity for a mere $175 per month average.

And the price tag is extraordinarily reasonable for this level of luxury as well. Prices start at about $300 per foot finished, though they can go up to $425 per foot for the complete smart house and green features. To view some photos of this amazing project, visit our site at:

Marquis Las Vegas Homes.

Then to schedule a private tour day or night, call us at 702-985-7654. Even most of the Las Vegas foreclosures in the luxury home price range can't compare in price and amenities to Marquis Las Vegas! Learn more about Las Vegas Green Real Estate.

Las Vegas Homes - Allowable Seller Concessions

2009-01-29T13:47:00.005-07:00

How much can you ask the seller to pay on your behalf when purchasing Las Vegas homes for sale? The seller can actually contribute up to 9% in closing costs on a conventional loan if the you are putting up a large down payment! Below are the current allowable costs that the seller can pay on behalf of the borrower depending on which kind of loan the borrower is obtaining and the total down payment.

1. When it is an FHA loan, sellers can give up to 6% of the sales price towards buyer’s closing costs.
2. When it is a VA loan, sellers can give up to 6% of the sales price towards buyer’s closing costs depending on how the contract is written.
3. When it is a conventional loan on a primary residence or 2nd home the seller can give up to 3% of the sales price towards buyer’s closing costs if the buyer is putting 10% or less down.
4. When it is a conventional loan on a primary residence or 2nd home the seller can give up to 6% of the sales price towards buyer’s closing costs if the buyer is putting 10-25% down
5. When it is a conventional loan on a primary residence or 2second home, the seller can give up to 9% of the sales price towards buyer’s closing costs if the buyer is putting more than 25% down
6. If you have an investor purchasing a home, the maximum seller contribution is 2% of the sales price.

With the Las Vegas real estate market heating up and all the fantastic deals on Las Vegas foreclosures that are currently on the market, not only can we find some great buys, we can use these seller concessions to buy down the interest rates as well. Call our office now at 702-985-7654 to get prequalified for a mortgage and see how much money you can save on your closing costs.

Las Vegas Luxury Homes - Steal these Deals!

2009-01-12T11:35:00.013-07:00

The Las Vegas real estate market is actually coming back - in December of 2008 there were more closed sales than in December of 2005 which was a banner year nation wide. This current wave of buying is fueled by the most affordable homes that we have seen on the market in Las Vegas since 2001. So if you are looking to purchase a luxury property in Las Vegas, there are some amazing deals on Las Vegas homes for sale right now. Las Vegas foreclosures (bank owned also known as REOs) make up the bulk of the inventory at seventy-five percent (75%) of all residential closings.

Below are ten truly amazing steals on luxury properties that are currently on the market. If you would like more detailed information and photos on any of these, just email me at diann@greatlasvegashomes.com.

Lake Las Vegas Home Under $1M With Golf Views! Watch the golfers play through play through while you lounge in the pool! Treat yourself to this over 4700 sf 4 bedroom 5.5 bath home in the heart of exclusive Lake Las Vegas. This amazing home has a dramatic open floor plan with all the bedrooms and living areas on the main floor, and the entire South living room looks out across spectacular golf course, water and mountain views. Loads of marble and granite, stainless steel appliances, pool and spa, and a basement for fun. The bank has priced this home to sell at $900k, more than $350k below the last sale!

Live the Lake Las Vegas Lifestyle at 32% of the Original Price! Not a misprint! This luxurious condo is fire sale priced at only $218,500. The bank say sell this beautiful 2021 sf 3 bedroom 2 bath today. Only 2 years new with a bright airy floorplan this fabulous Lake Las Vegas condominium has custom cabinetry, granite countertops, custom tile floors and fireplace, plus a balcony with spectacular mountain and lake views. Original owner paid over $700k – his loss is definitely your gain.

Price slashed $850,000 on exquisite Anthem Country Club estate! Overlook the golf course and the entire Las Vegas Strip from this amazing custom home. Sensational 5849 sf custom estate home on the 5th fairway in prestigious guard gated Anthem Country Club with panoramic city views. Master craftsmanship and high end finishes, huge gourmet kitchen, exercise room, observation room, media room, bonus game, room, 4 balconies, 2 covered patios, 3 wet bars, fabulous Infiniti edge pool, putting green and too much more to list. Plus community fitness center, resort style pools and spas, tennis courts, gourmet restaurant, and championship golf course. Reduced from $2,199,000 to $1,350,000 for quick sale.

Save Over $650,000 on this Prestigious Golf Course Home! Steal this sensational guard gated Red Rock Country Club home for under $1,299,000. Gorgeous Red Rock Country Club is known for its majestic views and this beauty has some of the best. Highly upgraded with travertine floors, French doors, granite countertops, stainless steel appliances, luxurious master suite with balcony and Jacuzzi tub, plus the community boasts two golf courses, tennis courts, world class fitness center and so much more. Originally sold for $1,950,000 and now priced under all the rest for a quick sale.

Almost Half Price in Guard Gated MacDonald Highlands! You’ll think the bank has gone nuts when you see this superb home on the exclusive Dragon Ridge golf course for only $712,000. High in the Southern foothills of Las Vegas you can own this amazing 4257 sf 5 bedroom 3.5 bath home with pool and spa overlooking the 8th tee of Dragon Ridge. Secluded courtyard entry, rich dark wood flooring, entertainment center, two master bedrooms, sunny kitchen with granite countertops and walk in pantry, 3 balconies and much more. Originally sold for $1,304,895 and ready for an offer.

Live with the celebrities in this amazing Panorama condominium reduced almost 200k! Location, Location, Location. Panorama Towers behind the new MGM City Center is home to an assortment of high profile celebrities. This 1582 sf 2 bedroom 2 bath end unit boasts incredible strip and mountain views, granite countertops, cherry wood cabinetry, stainless steel appliances, plus the project offers valet parking, resort style pool and spa and full size gym. Short sale status and bank says bring your offer – listed at $354,000.

Lowest Priced One Bedroom Unit in Trump Tower in Las Vegas! Wake up and greet the day with Donald Trump in this luxury suite on the 21st floor. Save more than $350,000 on this magnificent one bedroom luxury condominium with stunning views of the Las Vegas Strip and surrounding mountains. Comes complete with designer furnishings and luxurious marble bathroom with a separate shower and spa tub. Plus Trump Las Vegas offers on site gourmet restaurant, resort style pool and cabanas, 24 hour security and concierge service, valet, and rental program. Price reduced to $745,000 by motivated owner.

Elegant Turnberry Place Condominium Residence for Almost Half Off. Just a few blocks off the famed Las Vegas Strip is a secluded enclave of luxurious Las Vegas high rise condos to call home. Originally sold for $1,220,000, you can now own this sensational 2805 sf 3 bedroom 3 bath condominium residence in the prestigious guard gated Turnberry Place for only $679,000. Take the private elevator up to your own piece of heaven with terrific views and gorgeous upgrades including granite countertops, rich designer cabinetry, custom flooring, stunning marble baths and more. Plus on site spa, tennis courts and the renowned Stirling Club.

You Can’t Buy Palms Place for Less! Hang out with the “in” crowd in your fully furnished condo at the ultra chic Palms Place next to the Palms Hotel.This stunning unit is priced below all others at $470,000 for a fast sale and features ultra smart design with top of the line furnishings. Enjoy the serenity of spectacular Las Vegas sunsets from the balcony, chill out in the master spa tub, and take advantage of all the owner perks like first choice for event/concert tickets, invitation only parties and immediate access to the ultra lounges and nightclubs. Rental program available too when you’re not in town.

Incredible ¾ Acre Gated Custom Estate High in the Southern Foothills Overlooking Las Vegas! Sold just last year for $3.6M and just reduced to only $1.8M – so hurry. This magnificent Las Vegas luxury home in the exclusive guard gated Terracina subdivision of Seven Hills on ¾ of an acre will take your breath away. Almost 8300 sf of elegance with five bedrooms seven bathrooms and office, stunning foyer with sweeping bridal staircase, pool and spa, home theater, private bar with 500 bottle wine cellar, casita with separate entrance and summer kitchen with BBQ, hardwoods, marble, granite, 4 car garage, porte cochere and so much more. Could be THE best priced home in all of Las Vegas!

Questions Regarding the $7500 tax credit

2008-12-30T16:09:00.005-07:00

The inventory of Las Vegas homes for sale is finally starting to dwindle just a bit, bringing hope for 2009 that our Las Vegas real estate market is starting to show real signs of recovery. But we have found that many buyers who would like to purchase are unaware of the tax credit they may be eligible for if they have not owned a primary residence in the past three years or if they are a first time homebuyer. So we found this great article by Brad Lynn explaining in simple terms who can claim the tax credit in hopes that our readers will find this helpful. If you are a little short in saving for down payment money on one of the great Las Vegas foreclosures deals we have available, this could be your answer.

Information courtesy of Brad Lynn
First Option Mortgage in Las Vegas

Congress created the $7500 tax credit incentive to help first time home buyers get into a home and stimulate the housing market and economy. Their rationale is that it will help stabilize home prices and increase home sales.

First time home buyers purchasing a home between April 9, 2008 and before July 1, 2009 are eligible for the 7500 tax credit. The home must be used as a principal residence and be occupied within this time frame. For newly constructed homes, the settlement date is used instead of the date the home is occupied.

A first-time home buyer is any buyer who has not owned a principal residence, i.e. single family home, condo, townhouse, mobile home, houseboat, during the three years prior to the home purchase. Thus, even people who have bought a house before may still qualify for the tax credit.

An important caveat for married couples regarding the 7500 tax credit is that if any spouse has owned a home as a primary residence in the past three years, then neither spouse may qualify for the first-time home buyer tax credit. Ownership of non-primary residences such as rental properties or vacation homes does not disqualify a first-time home buyer from the $7500 tax credit. All you have to do is claim the tax credit on your federal income tax return. It’s that easy.

There are a few restrictions regarding the 7500 tax credit you should know about. First, the tax credit may not be available or only partially available based on your Adjusted Gross Income (AGI), and this varies for single vs. married couples. The tax credit is completely unavailable to single people with an AGI greater than $95,000 or married people filing jointly with more than $170,000 in AGI. The credit is evenly split for married couples filing seperately, i.e. each spouse can only claim $3,750.

Second, the 7500 tax credit is limited to 10% of the purchase price of the home and capped at $7,500. So as long as the home price is greater than $75,000, most people can get the full credit.

Also, the tax credit is basically a zero interest loan as it will eventually have to be paid back to the government (without interest), over a 15 year period or when the home is sold. The first payment is not until 2 years after the credit is claimed. The payments are generally calculated as the credit amount divided by 15. Thus, a 7500 tax credit would be paid back at $500 per year for 15 years or when the home is sold, which ever comes first. If the home is sold and there is not enough capital gain to payback the remaining portion of the tax credit, then the debt may be forgiven.

To find the best Las Vegas homes on the market and take advantage of the terrific prices we now have, please call us at 702-985-7654. Don't forget, you only have until July 1st to take advantage of the tax credit.

The Difference Between Foreclosures and Short Sales

2008-12-06T00:12:00.002-07:00

We get this question all the time - what is the difference between a foreclosure and a short sale? And which is the better deal?

A foreclosure or REO (which stands for Real Estate Owned) is a property that the bank has already taken back through the foreclosure process. The owner has moved out and the bank holds legal title to the property. In some states the previous owner still has a “redemption period” to get the home back from the bank. But Las Vegas foreclosures are final and the bank can turn around and sell them right away. An offer on a foreclosure property can take anywhere from one day to two weeks to be accepted by the bank and usually 30 to 45 days from acceptance to close.

A short sale or pre-foreclosure, on the other hand, is where the owner owes more money on the property than it is worth and is trying to sell it for less than the amount owed. An offer to purchase may be approved by the owner (who is not going to walk out with any cash anyway), but the contract is still subject to final approval by the bank (or banks if there is more than one mortgage on the property). The bank has to agree to take less than what they are owed. Once a bona fide offer is received, the seller is required to write a hardship letter stating why they should be eligible to do a short sale. They must also provide bank statements, paycheck stubs, and a financial statement to show that they cannot make the payments. In addition, the seller’s Las Vegas real estate agent must provide a market analysis of the most recent comparable sales to justify the selling price. The bank will also send out their own appraiser some time during the process to get an independent analysis done.

Just the approval on a short sale can take anywhere from 60 to 120 days, and sometimes even longer. Until the bank approves the sale, the buyer is in limbo, not knowing whether they will actually be able to buy the home. There is, unfortunately, no way to speed up the process. The banks won’t even talk to the real estate agents or sellers in the meantime to let them know what the status of the approval is. Often the property goes to foreclosure sale before an approval can be generated.

In either case, don’t expect to have repairs made or receive a lot in buyer concessions (closing costs paid by the seller). Most short sales and foreclosures are sold “as is, where is.” Banks will only be willing to do the minimum repairs to a property that will allow it to be financed. (Missing flooring, missing stove or A/C, etc.) On a short sale the seller does not have the money to make repairs at all.

In the past six months we have seen many short sales on Las Vegas homes and condos that have been foreclosed upon even though there was a good offer on the table. The kicker is, after the foreclosure is complete the bank often turns around and lists the property for LESS than the offer that was tendered!

Though this doesn’t seem to make any sense, there is actually a good rationale behind the bank’s actions. If a bank approves a short sale, they cannot write off the loss (the difference between the mortgage owed and the actual sales price). With a drop of more than 30% in the Las Vegas real estate market over the past two years, a home that was worth $300k might now only be worth $200k. If the buyer got in with no money down originally, the bank is facing a principal loss of $100k plus expenses and past due interest payments.

But if the bank forecloses on the property, they can write off 100% of the loss. Now they can afford to sell that $200k home for $170k and still come out ahead of the short sale scenario by taking the $100k+ write off on their taxes.

Generally speaking, we can get our clients better deals on Las Vegas condos and homes by targeting foreclosure listings. Foreclosure buyers need to keep in mind that EVERYONE is looking for those deals right now. Sales volume in Las Vegas in August and July was back up to 2005 levels, and most well priced foreclosures have multiple offers submitted. Most foreclosures are actually selling above the listed price, not below.

Buyers need to keep in mind that these foreclosures are steals to begin with. Then they need to have a savvy agent that can provide comparables to judge a home’s true worth. It’s not how much you can “get off” the sales price that counts - it is how much the winning bid is in relation to the home’s value. Buyers need to be patient and realize it might take anywhere from two to six offers to acquire the home of their dreams at the price they want to pay. But IT CAN BE DONE!

Loan Modifications for Las Vegas Homeowners?

2008-11-22T10:40:00.005-07:00

After the boom of the Las Vegas real estate market 2003 through 2005 and the subsequent decline of 2006 through 2008 and the ensuing Las Vegas foreclosures, many borrowers have been left owing much more on their Las Vegas homes than what they were worth. For those going through divorce, health issues, job relocation or job loss who can no longer afford the payment terms on their loan, there are only three options: foreclosure, short sale or the newest rage: loan modification.

Foreclosure is the most drastic of the three alternatives. Not only is the borrower’s credit ruined for many years, the banks can later come after the borrower for any loss (deficiency) they may take on the home at a foreclosure sale.

A short sale is better, when it can be achieved. While the borrower’s credit is ruined for a number of years, the bank cannot look to the borrower to make up any loss the bank sustains as the bank has already “approved” the short sale amount. However, short sales are very difficult to close, and only an experienced Las Vegas short sale real estate agent can cut through the red tape. And, if the agent can find an investor to buy the home, often the investor is willing to allow the original owner to remain as a tenant.

A loan modification is a legal agreement that takes place between the home owner (or their legal representatives) and the lender that holds the mortgage note (deed) to the property. The modification is an agreement between both parties to resolve the homeowner’s financial situation so that he can afford the mortgage. It is intended to avoid a possible foreclosure and ensure that the homeowner can handle the new monthly payment on a long term basis. Depending on the circumstances, the lender may choose to lower the interest rate on the mortgage, lower the principal balance due on the mortgage, and/or extend the length of time for repayment of the mortgage.

Below are the top 5 frequently asked questions about loan modifications.

How does the loan modification process work? The process is simple, but results can vary greatly depending on how you go about it. Homeowners can try to negotiate on their own behalf with the bank to reduce the payments on their Las Vegas mortgages. But without the technical know how and an understanding of the systems and entities involved, seldom will the homeowners achieve success on their own. Or if they do, the rate and terms negotiated may not be the best possible.

The other way is to talk to a professional modification consultant and to see if you qualify. After you have been pre-approved, you will need to provide the back up documentation to your representatives. Your representatives will present your situation to your lender and handle the negotiating for you. The modification process can take up to 90 days, but the results usually benefit both the homeowner and the lender in knowing that a possible foreclosure will be avoided. Before anyone walks away from their home, they should find out if they qualify for a modification.

How do you qualify for a loan modification? Any homeowner that has experienced a hardship that prevents the homeowner from fulfilling their monthly obligations may qualify. Typically, anyone who has seen a loss of income, anyone who is currently late on their mortgage, anyone who is in foreclosure, anyone who has had medical issues, anyone who has divorced, or anyone who has had any other form of legitimate financial hardship that can be proved may be eligible for a loan modification. Modifications can be used for Las Vegas condos as well as homes.

What are the benefits of a loan modification? The benefits usually involve a lower interest rate for the homeowner, a reduction in the principle owed, and/or possibly the term of the loan can be extended. In some cases all three of these modifications can be negotiated for the homeowner. Each case is unique, and the outcome will be based on the negotiating between the client or their representative, and the lender. But typically anyone who has experienced a hardship should achieve a lower monthly payment.

What are the negatives of a loan modification? The negatives will also vary on a case by case basis. There is usually an up front fee charged by most companies. Be sure that you contact a modification consultant or company that has a high success rate and no up front fees. If a company does not use attorneys with strong relationships to the lenders, their chances of a successful negotiation will be less than those companies that have already established those relationships. Other negatives should be discussed up front by any modification consultant or professional company that you talk with.

So unless you find someone reputable that has successfully done Las Vegas loan modifications (preferably referred to you by a satisfied client) it may make sense to at least try and sell your home on a short sale. The benefit is, if the bank approves the sale they cannot come after you later for a deficiency judgement for any money they may lose. If you would like more information on the shortsale process and how it works, please contact our office at 702-985-7654. With so many homes for sale in Las Vegas, you need to make sure you choose an agent experienced in the short sale process.

Canadian Financing for Las Vegas Real Estate

2008-11-08T09:54:00.003-07:00

We have discovered a great lender for Canadians wanting to buy Las Vegas homes or condos, either as a second home or as an investment! This lender charges no loan discount points or origination fees, and the rates are the same as what a US citizen can obtain.

Lately all our blog posts have been about finding Las Vegas mortgages for our clients. With the high rate of national foreclosures, many traditional venues and programs have been discontinued, leaving buyers, even those with substantial down payments, in limbo. It has truly been a challenge for us to find mortgage lenders with reasonable down payment and rate structures.

In our never ending quest for foreign national financing for Las Vegas real estate purchases, we have literally stumbled across a lender who is able to loan money at competitive rates to Canadian citizens. This lender is able to use Canadian credit scores and income to provide mortgage loans for the thousands who are trying to flee a harsh winter climate for a few months each year.

General program guidelines for this lender are as follows:

The program is available for both second homes and Las Vegas investment properties. The minimum down payment is 20%, although the best financing on investment properties would be with a 25% down payment.

The programs that are offered are full qualifying loans. Available are the 3/1, 5/1, 7/1, and 10/1 Adjustable Rate Mortgages. Each is a 30 year loan with a 30 year amortization locking in the loan rate for the short term of the loan. For example, if you got a 3/1 ARM, your start rate would be locked in for three years. (Rates are typically lower for shorter loan locks.)

The typical documentation list is as follows. Based on your own individual circumstances, more documentation may be required:

2 years personal tax returns including all pages and schedules
2 years T4s
2 years corporate tax returns including all pages and schedules (if self employed)
Most recent 2 months bank statements reflecting name, account number, and 2 month transaction history
Most recent 1 month retirement / investment account statement reflecting name, account number, and current balance.
Mortgage statement on any property owned in borrowers personal name reflecting name, property address, current balance, current interest rate, and current payment.
Line of credit statement on any property owned in the borrowers personal name reflecting: name, property address, current balance, current interest rate, current payment, and available balance.
Lease agreement for any rental properties.
Clear copy of passport to include the signature page and picture page.

Two unique benefits of this lender are their rate renegotiation prior to closing and their loan modification process.

The rate renegotiation is available to a client in the event that they lock their rate in but before closing rates drop. The borrower has the ability to renegotiate the rate to that day’s pricing with a modest premium paid.

The loan modification process would come in to play should rates drop after the borrower has closed the loan. There is a one time modification available to the borrower. It allows them to simply lower the rate with no documentation, appraisals or closing fees that a refinance would incur. It is one page that the client signs and it gets recorded behind the deed of trust. Again, a modest fee is paid for this privilege should the borrower elect to take advantage of it.

Like all loan programs, there is no guarantee on how long this one will last. So if you are a Canadian citizen who has been thinking about purchasing property in the States, call us right away so we can put you in touch with this lender. 702-985-7654 Once your financing is in place, we can find you a phenomenal STEAL on Las Vegas foreclosures! Las Vegas Nevada real estate hasn't been priced this low in almost ten years.

Financing for Foreign Investors Discontinued

2008-10-24T00:16:00.002-07:00

Once again the mortgage lending guidelines have changed with the wind. For a brief period there was a window for foreign nationals to obtain mortgage financing on investment and second homes in the United States with down payments as low as 25%, but now that window has been slammed shut along with a host of other “make sense” loan programs. (Don’t even get me started on condo hotels that can’t be financed by anyone with even 50% down!)

Many of the foreign nationals who contacted us in recent weeks were willing to put down as much as 30% to 40% or even 50% on Las Vegas foreclosures. With the current housing market crunch, what are the big banks thinking? Here are people with real money, good credit and big down payments that would love to take advantage of lower prices and they can’t get financed?!!! Some of these investors were already under contract on projects in development, and they may have to walk away from substantial deposits unless alternative financing is brought online. (Just as a side note, permanent resident aliens are still able to obtain financing on the same terms as US citizens. If you are a permanent resident alien and need a Las Vegas mortgage, please contact us at 702-985-7654 so we can put you in touch with the right lender.)

On top of all this, with the stock market dives globally, even those foreign investors who didn’t need financing and were planning on paying all cash are now stepping back as they watch the value of their portfolios diminish. The Euro is back down to 2005 levels and the British pound has plummeted even below that level.

Canadians, who saw their dollar rise to all an all time high against US currency at $1.10, have watched it tumble in just the past few days to 79 cents versus the US dollar. Literally thousands of Canadians were looking for winter getaways in the US, but have had to put their plans on hold. Again, many of these were all cash buyers looking for modest Las Vegas condos under $100k, but with the devaluation of their dollar they have once again been priced out of the market without financing.

And even US citizens are being crunched/punished in the mortgage marketplace. The latest is that anyone who has three or more properties with any kind of mortgage on them cannot get financing for a fourth property. Again, even if they are willing to put 50% down and have low loan to value ratios on their existing properties and excellent credit and income, they still can’t get a fourth loan. Not even if you’re Donald Trump.

With all the resale Las Vegas homes and condos for sale, not to mention the hundreds of thousands nationwide, and all the opportunities to pick up great deals on foreclosures, our banks are not willing to lend to these impeccable buyers who want to buy and have money. Certainly I am not suggesting we should go back to no or low money down programs with no income or asset verifications. But why not create some solid loan programs to entice these good buyers, whether or not they are citizens of the US? The banks would be able to lower their inventories of properties substantially, which would in turn stimulate the economy and gradually raise prices again in a controlled manner.

All I know is that in the months to come, those with cash who are willing to take a chance on the market now are probably going to come up looking like geniuses in couple of years. My other prediction is that while Las Vegas real estate was one of the first to fall, it will also be one of the first to recover, and I am personally putting my money where my mouth is.

Financing Las Vegas Real Estate for Foreign Nationals

2008-10-03T05:06:00.003-07:00

With the dollar expected to rise against foreign currencies later this year (that trend has already started), foreign investors are hurrying to purchase real estate in the US while their dollar goes further. Most of these investors are targeting the Las Vegas real estate market in particular, where the sharp decline in prices (due to the high amount of Las Vegas foreclosures) and the world class amenities have made it an attractive get-away destination. In particular, Canadian buyers are looking to Las Vegas homes as a vacation retreat from their harsh winter climate.

Most banks will not loan on real estate outside of their own country. With all the recent shifts in the credit markets, the qualifying criteria has changed for mortgage loans in the United States across the board, including those to foreign purchasers. Prior to this year, a foreign national could obtain financing from US banks as long as they had 35% to put down with no or limited documentation. Now US mortgage lenders are requiring full documentation of income and assets on all mortgage loans without exception, though the down payment requirements have dropped.

A citizen of a country other than the US can obtain a loan for property in the US based on what classification they fall under. A permanent resident alien is a foreign national who has been granted the right to work in the US permanently and who has been given a US social security number. A permanent resident alien can purchase property under the same guidelines as a US citizen. They can get a loan with as little as 5% down payment for a primary residence, either on a fixed rate or adjustable rate mortgage at the current interest rates available to US citizens.

All other foreign nationals, including those with temporary work visas, are required to put down a minimum of 25% for properties under $650,000 or 35% for properties over $650,000, whether the property is a primary residence or a rental property. Lenders will also require the equivalent of a US TRW rating as well as full documentation of their employment income and assets. In addition, the down payment money must be “seasoned” in a US bank for at least 60 days prior to the close of escrow.

These loans to foreign nationals are only currently available as adjustable rate mortgages or ARMS. The fixed rate terms can be for 3, 5, 7 or 10 years and interest rates are currently running between 7.5% and 8.5% with approximately 5 loan discount points prepaid for the amount of the loan (points can vary on a day to day basis just like interest rates). Each point is the equivalent of 1% of the loan amount, so on a $100,000 loan 5 points would be $5,000.

Another alternative is for the foreign national to obtain an equity credit line on their property in their home country and come to the US with cash in hand. Cash offers are very strong, and enable the buyer’s agent to negotiate the best possible price on behalf of their client.

For more information on getting qualified for a Las Vegas mortgage and to receive the latest listings on great deals in Las Vegas new homes, high rise condos or MLS listings, please contact our office at 702-985-7654 or email us at sold@greatlasvegashomes.com.

Las Vegas Home Inspectors

2008-09-24T14:59:00.004-07:00

I really must begin by thanking Diann Tonnesen for offering to allow me to blog on her site. In case you’re not aware Diann is somewhat of an icon in the Las Vegas real estate community. To be offered to provide input for her web site is truly an honor. Thank you, Diann.

Diann told me that I could write about anything I wanted to write so I chose something that has been needling me for quite some time now; the way people shop for a Las Vegas home inspector. Do you realize how most people shop for a home inspector? They gain a list of inspectors, usually from their real estate agent, and call three or four inspectors asking what they charge for the inspection. They generally do this without knowing what they are buying. Especially with all the Las Vegas foreclosures on the market being sold "as is, where is" this truly boggles the mind.

Can you imagine people shopping for a car they same way they shop for a home inspector? It would look something like this:

Ring, ring.
“Hello, Lamborghini, Mazarati, Rolls Royce, Bentley dealership, can I help you?”
“Yeah, hi. You guys sell cars, right?”
“Yes ma’am, we do.”
“What do you charge for them?”
“Excuse me?
“Yeah, you know, how much do they cost?”
“Well are you aware of what kind of cars we sell?”
“Naw, I’m really not interested in hearing about that, I’m just calling around getting prices.”
“Well we have a beautifully reconditioned Bentley on sale this week that is valued at $35,000 that we are selling as a lost leader for $22,000.
“That’s great. Twenty-two thousand hunh? Okay, I may call you back. Thanks for your time.”
Ring, ring.
“Yeah, Arties Autos. What do you want?”
“Yeah, hi. You guys sell cars, right?”
“Why sure we do. What cha lookin for toots?”
“How much do you charge?”
“Well I can put you in this sweet little Yugo that was towed in, I mean, that came in last night for say… $15,000.”
“Fifteen thousand hunh? Okay. Sweet. I’ll take it.”

Sound absurd? Well sure it does. But many, many people who are about to make what is often the single largest purchase they’ll make in their entire life shop for their home inspector and their Las Vegas mortgage loans the same exact way.

So here is where I am coming from: I retired from the Navy in 1998 after spending nearly my entire adult life as an engineering inspector. I wasn’t just an “engineering inspector,” I was an engineering inspector and instructor where I was one of eight members of an elite team that earned the distinction as the most successful engineering inspection team in the history of the United States Navy. The distinction still stands today where our success record has never been matched.

When I retired from the Navy I transitioned into the civilian world as a Las Vegas real estate agent. After several years as a modestly successful real estate agent I became very frustrated with the quality and depth of home inspections available for my clients. There simply weren’t any good inspections available. The inspectors were more interested in protecting their own liability through the use of complicated and legalistic inspection agreements than they were in protecting my clients. I couldn’t even find an inspector who would walk on a concrete tile roof. They mostly used binoculars to review the roofing.

I thought the public deserved better. I thought people wouldn’t mind paying a little more for a true quality inspection where the inspector spent hours really investigating the home rather than hiring an inspector that spent several minutes walking through the home filling out a worthless checklist that contained no actual useful information.

I set out to create such a service. Now, after nearly eleven years performing thousands of home inspections, continually refining our procedures, attending thousands of hours of training, holding hundreds of training seminars, and developing an organization that is truly unique and first class I can truly state that there is no better inspection service available in the entire Las Vegas Valley, regardless of the price. It is not an opinion; it is a fact. We have inspecting Las Vegas homes down to an art. We don’t do cheap inspections, and our service is nothing like the inspections that the cheap guys perform.

Nowadays, the most common comment I hear is that we don’t charge enough for our inspections (compared to what we provide). I once had a home buyer say that he didn’t think we charged half of what we should charge for our service. I promptly quipped, “That’s not a problem. You’re more than welcome to pay double.” To my astonishment he did exactly that.

It is a statistical fact that the average home inspector ends up in litigation an average of three times each year because of issues the inspector did not discover and disclose in the course of his inspection. In eleven years that my company has been in existence neither I nor any of the inspectors who work for me has ever been named in any litigation in conjunction with a home we inspected. We have never gone to arbitration; we have never gone to mediation; and we were recently named on the Honor Roll for the Better Business Bureau of Southern Nevada, once again, for maintaining a complaint-free status.

For the consumer who swallows the paradigm that all home inspections are pretty much the same and selects their home inspector based solely upon the price of the inspection, they often get exactly what they are looking for: a cheap inspection. But for the consumer who shops for their home inspector based upon the quality of the service provided and who is able to discount the paradigm that all home inspections are the same: these are people who draw outside the lines and when they stumble across our firm we reward them with a Picasso every time. I can only hope that when it is time for you to get a home inspection you are able to discern the difference between “Art” and “Artie.” Have a great day!

Paul J. Donohue, RHI, RREI, CREI
President / Senior InspectorSpectrum Inspection Group Inc.
8345 Coyado Street
Las Vegas, NV 89123

Email: pdonohue@INSPECTLV.com
Web: http://www.inspectlv.com/
Scheduling: (702) 269-6716

Good News for Cosmopolitan Condo Owners

2008-09-07T14:56:00.005-07:00

To the right, the Las Vegas Cosmopolitan Condos and the
Bellagio Hotel and Casino, to the left the MGM CityCenter project.
Phot0 taken September 5th, 2008.

Many proposed high rise condo projects around the country have had the plug pulled in the past two years due to cost overruns and tightening credit. Since Deutsche Bank announced they were beginning foreclosure proceedings on the Las Vegas Cosmopolitan condo hotel project at the beginning of 2008 on their $760 million dollar loan, over 1800 contract owners have been holding their breath, wondering if the development would be completed. Or if they would get their money back in full if the development was canceled.

There were many "interested parties" making bids to purchase the project, but as of this week Deutsche Bank has taken over full ownership of the Cosmopolitan under an affiliate, Nevada Property I. Deutsche Bank was the high bidder, paying $1 billion at a recent foreclosure sale to acquire ownership of the project.

And Deutsche Bank isn't letting any grass grow under its feet to make sure the project goes forward. It has already inked contracts with Related Companies to take over as the resort's new developer. In addition Perini Corp. signed a new contract to complete construction work on the project. Perini has been working on the project from the beginning, and was being paid under an interim agreement since March when Deutsche Bank began foreclosing after the original developer, Bruce Eichner, failed to complete a deal to secure more financing. Increased construction costs helped drive the Cosmopolitan's construction budget from its original $2 billion price in early 2006 to its current $3.9 billion price, and Eichner was unable to find a new partner with enough capital to infuse into the project.

A letter has already been drafted to contract owners by the resort's new developer, Related Companies, letting them know of the management changes and informing them of progress to date. This letter will go out on Monday to almost 1825 contract holders, assuring them of the project's completion. To date over 50% of the Cosmopolitan's exterior construction has been completed, and it is anticipated that by December of 2008 owners will be celebrating the "topping off" of both towers, including the penthouse units. The new proposed completion date for the entire project is estimated for the second quarter of 2010.

Along with a rebounding resale housing market, this is great news for the local Las Vegas real estate market. For four months straight statistics have shown a significant rise in Las Vegas homes sales, with multiple offers on lower end properties, especially Las Vegas foreclosures. The buyers are back!

Sales Statistics Brighter for Las Vegas Real Estate

2008-08-17T09:40:00.004-07:00

Things seem to be looking up in Las Vegas according to the statistics, no matter what the national media is reporting. In July 2008, 3036 units were sold, and inventory ended the month at 22,178. At the current rate of consumption, that is 7.3 months of inventory, and many Las Vegas new homes developments are reporting waiting lists again. For those who are wondering when the bottom is going to be reached, we are getting very close to what has historically been called a “normal market”.

And for those that think they can lowball the already ridiculous foreclosure prices on Las Vegas homes, think again. There were 3036 closings in July, and here are the averages between list price and sales price:

For units that sold for under $500k, the average unit sold for $2,888 less than the asking price.

For all units selling under $1m, the average unit sold for $3,855 less than the asking price.

For ALL units selling in July, (including the multi million dollar penthouses and homes which bring the dollar amounts up) the average unit sold for $5,326 less than the asking price.

1,220 of the 3036 units that closed in July 2008 closed at a HIGHER sales price than their asking price. In other words, 40% of the homes sold, actually closed at more their advertised list price. The low prices on Las Vegas foreclosures are generating multiple offers on each property and creating mini bidding wars reminiscent of the "golden years" of 2004 and 2oo5.

Another good indicator is the percentage of listings taken vs sales over the past few years. In 2008 so far 34% of all listings taken have sold as opposed to 2007 when only 24% of all listings taken sold.

And it looks like with the anticipated population growth over the next 12 years, that things will start moving back up in price. Jeremy Aguero, a principal at Applied Analysis, was quoted in the paper saying he expects "Southern Nevada’s population by 2020 will grow to 3 million, from 2 million”. The Clark County School District is the fifth-largest school system in the country with 308,783 students, and district officials predict enrollment will grow to 473,000 students by 2018. Pointing to projects such as the CityCenter development under construction on the Strip, Aguero said, "We're not going to have all the employees to fill all the jobs we're going to create in the next 10 years."

Think about that for a minute. That means that there will have to be a roughly 50% increase in housing over what is currently built. With the scarcity of land for sale in Las Vegas, prices may just start creeping up before the analysts are predicting. This is one real estate agent who definitely thinks we are seeing the bottom of the market and is buying as much as she can.

Las Vegas Home Warranty Plans Can Be Customized!

2008-08-15T12:48:00.003-07:00

Partnering with Las Vegas real estate agents to deliver the service and products that home buyers and sellers want, American Home Shield® developed the FlexPlan®, an innovative product that provides an unprecedented level of coverage and price options. Homeowners can customize the plan to fit their specific coverage needs and budget requirements, choosing from a wide range of packages and options. The AHS Home Warranty FlexPlan also offers coverage for items and services never before available in the industry.

Homeowners can choose coverage starting with the Core Coverage Plan®, the basic coverage that every AHS customer receives. This plan provides repair or replacement of many frequently occurring breakdowns associated with heating and air conditioning systems, duct work, plumbing and whirlpool motors and pumps, plumbing stoppages, electrical systems, water heaters, built-in microwaves, dishwashers, garbage disposals, ranges, ovens and cook tops, exhaust, vents, and attic fans and trash compactors. The Core Coverage Plan also includes new coverages such as 13 SEER, rust, corrosion or sediment and insufficiently maintained equipment.

Beyond the Core Coverage Plan, purchasers of Las Vegas homes may decide to customize their coverage with one or more of the ServicePlus Package® and CoveragePlus Package®. The ServicePlus Package was created for customers who wish to add a level of service coverage and includes repair or replacements associated with mismatched systems, undetectable pre-existing conditions, code violations, permits, removal of defective equipment, refrigerant recapture, reclaim and disposal and improper installations, repairs or modifications.

The CoveragePlus Package was designed as an option for AHS customers who desire enhanced coverage on previously uncovered items like garage door openers, doorbells, ceiling fans, telephone wiring, central vacuums, smoke detectors, food processors, and instant hot and cold water dispensers. This option also extends coverage on breakdowns associated with plumbing (faucets, showerheads and toilets) heating and air conditioning (geothermal and/or water source heat pump units, registers, grills and heat lamps), built-in microwaves (door glass and racks), ranges, ovens, and cook tops (rotisseries, racks, handles, knobs and dials) and trash compactors (removable buckets).

For a warranty specifically tailored to additional needs, customers may choose from the impressive list of additional FlexPlan options, including coverage for breakdowns associated with septic system pumping and septic sewage ejector pumps, swimming pool or spa equipment, kitchen refrigerator with ice maker and water dispenser, second refrigerator with ice maker, washer and dryer, free standing ice maker, water softener and well pump.

This gamut of options through the FlexPlan is available only through real estate transactions.
About two weeks after closing, each participating homeowner receives a contract package with contact information, wallet reference cards, specific coverages and exclusions, system and appliance maintenance tips and much more. Homeowners will also receive periodic customer relationship mailings and e-mails containing valuable home and maintenance information.

Since 1971, AHS has focused on providing the most innovative products and best customer service delivery in the business. The FlexPlan is another example of the company’s commitment of partnering with real estate professionals to serve home buyers and sellers with excellence. Designed in direct response to feedback from customers and the real estate community, the FlexPlan can help agents market properties and increase client satisfaction. And don't forget, you can also purchase warranties for Las Vegas new homes as well as resales. Many sellers offer home warranties through the Las Vegas MLS listing service.

For more information or to purchase an AHS Home Warranty FlexPlan, visit www.ahsflexplan.com, call 1-800-735-4663, or contact your local AHS Account Executive.

Luxury Las Vegas Homes Available for Vacation Rentals

2008-07-18T11:41:00.006-07:00

What is Top Destinations, LLC?

Top Destinations is a trendsetting, high-end property management and vacation rental company located in the entertainment capital of the world: Las Vegas, Nevada. Clients of Top Destinations receive the greatest quantity and highest quality of service that the industry has to offer. Our vacationing clients find themselves staying in some of the most lavish and elegant homes in Las Vegas.

Satisfying the needs of our vacationing clients is one of our primary concerns. While Top Destinations is focused on making the vacation experience one of the most pleasurable and memorable events in the lives of our guests, we are simultaneously concerned with meeting the unique needs and high expectations of the Las Vegas investor-homeowner.

To that end, the members of our friendly staff work closely with investor-homeowners to ensure they fully understand the vacation rental process. Our experienced staff inspects each prospective home to ensure the property meets our trendsetting standards of excellence. In this way, all of our vacationing clients are assured the same once-in-a-lifetime vacation experience.

Our investor-homeowner rests comfortably knowing their property will be well-taken care of by our vacationing clients; because, Top Destinations thoroughly screens its prospective guests. In the unlikely event that something is damaged, the vacationer agrees, in advance and in writing, to have their credit card immediately charged for the cost of any damage to the homeowner-investors’ property.

With the homeowner-investors’ approval, Top Destinations arranges for the maintenance of the property. Our staff inspects the interior and exterior of the property on a weekly basis when the property is vacant. Our bonded cleaning service routinely inspects and, when necessary, changes the air-conditioning filters. When the unit is vacant, the staff sets the thermostat on vacation mode to save on energy.

Top Destinations mails monthly statements to the investor-homeowner by the tenth (10th) of each month. The statement details the monthly income received and expenses paid out. In most instances, a check is included with the statement. The investor-homeowner can go on-line at www.topdestinationsllc.com and view their property rental calendar, 24/7. Our investor-homeowners are not concerned about receiving their portion of the rental fees; because, Top Destinations has a $100,000 fidelity bond from American Family Insurance.

Top Destinations is seeking forward thinking investor-owners, who are interested in becoming apart of the $740 billion dollar tourist industry. Top Destinations would like to create synergistic relationships with investor-owners to meet the housing needs of over 232,000 internet users, who visit Las Vegas annually, who stay in accommodations other than a hotel or motel room and who do not stay with family or friends. This market segment produced over $75 million dollars in 2007 and $25 million dollars the first third of 2008. The Center for Business and Economic Research at the University of Nevada, Las Vegas predicts this market will grow at an average rate of 3% over the next five years.

Top Destinations is asking you to allow us to assess your property with an eye towards including it in our growing portfolio of fine homes. If you have any questions, please call (702) 586-2281 or (866) 544-1686; visit our website at http://www.topdestinationsllc.com/ or stop by our office at 2881 South Valley View, Suite #4, Las Vegas, NV 89102.

Next month, we will take an in-depth look at the accommodation and food services industry and focus on some of the issues that effect our industry’s growth.

Going Green with Las Vegas Real Estate

2008-07-11T17:10:00.003-07:00

Green, Green and more Green by Lisa Santacaterina, a Tonnesen Team guest blogger and Las Vegas real estate agent

I am not one for "banging on my drum" about turning green or saving the environment or green house gases. That said, I am all for "Green Building" or Environmental Friendly Building" on the basis that it makes sense, and why would you not go green in this case?

Since when was building a home to be durable, energy efficient, built from renewable materials and with a low toxic content a bad thing?

If we turn this around, you have got the following: a poorly built home that is wasting money through poor insulation and energy efficiency, and one that is made from materials that could cause harm to you and your family. And of course, it actually costs you money.

So as I stated earlier, "Why would you not go green?"

And what is "green home building?"

I am fairly sure that if you look around at any Las Vegas new homes construction that is going on, you will not go far before you run into something that is "green." Green building, in short, very short, is building a home with three key elements:

Material Selection (renewable, durable, recyclable, etc.)

Building Performance (Energy Efficiency, Air Quality, low toxicity, etc.) and

Site Development (re-vitalizing existing developed areas, down sizing homes, reduced water run off, providing shade cooling, xeriscaping, etc.).

Making the home as tight as possible will have an incredible impact on your heating and cooling bills.

There are several good websites out there that will give you information on green homes or making you home greener, try www.HGTVPro.com, or www.LowImpactLiving.com for an endless resource of articles and videos. While on the Low Impact Living website be sure to check out my profile and visit my personal web site at: http://www.gotlvrealestate.com/
Or find local organizations like The Las Vegas Green Performance Network (www.LVGPN.com), a local non-profit organization. The Las Vegas Green Performance Network is a community of consumers, corporations and organizations who promote Eco-information for Las Vegas homes, and progress and share a mutual interest in protecting the environment. At The Las Vegas Green Performance Network, information and an open dialogue is expected to both stimulate new interest in the green lifestyle and act as a foundation of action. The Las Vegas Green Performance Network also holds monthly meetings, bringing green products directly to consumers. These meetings allow consumers to see, touch and feel in a no pressure, no sales environment.

To understand what makes a house "green", the US Green Building Council has set up an industry wide certification program, LEED for Homes, to promote, certificate and monitor "green" homes.

Lisa Santacaterina is a valued member of the Tonnesen Team of Prudential Americana Group REALTORS, and she is one of only a handful of certified EcoBrokers in the Las Vegas Valley. To find out more about homes for sale in Las Vegas and how to buy a “green” house, Lisa can be reached at 702-540-2956.

Escrow Officers Say Las Vegas Real Estate Market Improving!

2008-07-09T07:50:00.006-07:00

The phones are ringing! This is a good sign that things are happening in the real estate marketplace.

People are beginning to buy Las Vegas homes again, showing more confidence that perhaps the worst of the housing crisis has passed and that housing costs have reached an affordable level. Whether they have found a home in their price range, are negotiating for a short sale, have beaten the builder up on Las Vegas new homes or are looking at a Bank owned property, the contracts are being written.

Increasingly again, more and more properties are coming on the market “in the selling zone.” They are being listed at a competitve price and selling in a relatively short timeframe, while those that are overpriced continue languish on MLS without even generating an offer. Approximately 36% of June 2008 closings (those priced “in the selling zone” at listing) were listed under 90 days on the market, with an average of 60 days on market. The remaining 64% suffered through an average of 230 days on market - that’s nearly 8 months, definitely out of the selling zone.

Listing prices have now dropped 19.5% since September 2007, while closed sales are up 149% since their low in December 2007. June 2008 closed sales represent another 5% improvement over May. More importantly, this is the only the second month since August 2006 that we have witnessed more than 2000 single family home closings.

June closings may also set the tone for the balance of 2008. This is the first time since 2006 that June closings were above the May closings. And inventory is holding steady rather than increasing as it usually does at this time of year. As more of the overpriced Las Vegas homes for sale come off the market in the coming months, inventory levels should actually start to decline.

Previously Escrow Officers were the last to know that a deal was in the works or that a purchase contract was on the way toward an opening. However in these changing times there are many questions about the status of ownership on properties and Escrow Officers are being asked to preview the titles of properties right from the first day of the listing interview. There are more questions and more challenges that need to be overcome before these properties can be listed, let alone get sold, so we become informed of the progress of a property step by step.

All principals in transactions today, Buyers, Sellers, Las Vegas mortgage lenders and Agents, need to be more than patient during the transaction process, as clearing titles, arranging for financing, working with out of State clients and negotiating with banks on the short sales and Las Vegas foreclosures adds to the number of days a property is in escrow before closing. Being prepared to allow lots of extra time and knowing that more than likely the transaction will not close on time will ease the tensions for everyone.

All in all, as long as the phones keep ringing, things are looking great from the Escrow side!

Contributed by guest blogger:
Debra Leatham
Vice President, Escrow Manager
Equity Title of Nevada

Outstanding New Home Protection Plan for Las Vegas Buyers

2008-07-06T09:49:00.004-07:00

Innovative new American Home Shield® Product Maximizes Flexibility, Minimizes Questions for Purchases on Las Vegas Homes or condos as well as nationwide. Direct from American Home Shield - one of the Tonnesen Team's featured guest bloggers and preferred home warranty providers.

A dynamic solution for marketing properties, delivering service excellence, protecting clients and increasing customer satisfaction is within the reach of real estate professionals nationwide. The unique AHS® Home Warranty FlexPlan® offers unprecedented levels of coverage and price options, allowing agents and homeowners to customize the plan to fit their specific needs. With this plan, homeowners can choose coverage for items and services never before available in the home warranty industry.

Easy to use and understand, the FlexPlan is available ONLY through real estate transactions. Developed in direct response to suggestions and requests from customers and the real estate community, it replaces all previously available American Home Shield products and streamlines product offerings.

FlexPlan customers can choose options starting with the Core Coverage Plan, the basic services package and foundational AHS product. Customers can then choose to add one or both bundles of coverage through the ServicePlus and CoveragePlus packages, as well as additional options from the list of FlexPlan add-ons. Depending on the level of protection chosen, coverage may even include unexpected costs related to permits, code violations, improper installations, mismatched systems, septic systems, geothermal conditions, and more. As well, clients can choose to cover such items as ceiling fans, pools, spas, freestanding ice makers, and second refrigerators, to name a few available options.

The FlexPlan’s full-service package is a highly effective marketing tool for agents that can help encourage quicker sales and may discourage downward price negotiation on Las Vegas homes for sale. Since every house and every situation is different, the price and coverage options available through FlexPlan enable agents to present inventive solutions to their clients, fostering increased service satisfaction and repeat business. In addition, having the industry-leading AHS brand associated with a listing can help attract buyers and inspire confidence.

With this total package of flexible coverage and exceptional customer service, AHS continues to seek innovative ways to partner with real estate professionals and to deliver superior customer service to home buyers and sellers. Today, AHS is proud to provide more than 1.2 million home warranties nationwide.

For more information or to purchase an AHS Home Warranty FlexPlan, visit http://www.ahsflexplan.com/, call 1-800-735-4663, or contact your local AHS Account Executive. To find the AHS account executive in your area, ask your Las Vegas real estate agents to visit the web site and click the “Find an Account Executive” link. Remember, these plans are available only through your agent.

100% Financing for Las Vegas Homes

2008-07-02T22:54:00.002-07:00

The Nehemiah program explained courtesy of Adam Kearney, your local Las Vegas mortgage lender and guest blogger.

With the crash of the subprime market, all the conventional 100% financing options disappeared overnight, leaving many borrowers who were already in escrow scrambling to find a way to complete the purchase of their Las Vegas homes. While investors were pretty much out of luck unless they had money for a down payment, primary home buyers were given a reprieve due to an FHA program which has been revived.

The FHA Nehemiah program is a great way to get 100% financing at a great rate. The seller can contribute 3% to the down payment assistance as well as up to 6% towards closing costs.

There are several different options to the Nehemiah program. One very popular option is the 2/1 buydown. This option gives you a start rate of 2% below your "fully indexed" rate. What is a "fully indexed rate?" That is the maximum rate that will be charged during the life of the loan.

For example, if you choose to do a 2/1 buydown, part of your closing costs are going toward "buying down" the interest rate during the first two years of the loan, allowing you to qualify for more home now. This is based on the premise that your income will go up as the payment goes up. If your fully indexed (maximum) rate was 6.5% for thirty years, your rate for the first year would be 4.5%. This 4.5% would only be fixed for the first year . Beginning year two the rate would move to 5.5% and stay fixed for all of year two. On year three you would reach your fully indexed rate of 6.5% and your rate would remain fixed at 6.5% for the remaining 27 years.

Just to give you an example of what your payments would be on this loan program, let's say you need a $300,000 mortgage. Your Principal and Interest payment at 4.5% would be $1,475.00 during year one. During year two your Principal and Interest payment would be $1656.00 at 5.5%. The third year your Principal and Interest payment would adjust at 6.5%to $1847.15 and this payment would stay the same for the remaining 27 years of your mortgage.

The Nehemiah program is a government backed loan and works well in a buyer's market like today, even if you are looking at Las Vegas foreclosures that are bank owned. It is one of the only 100% financing options available to date.

If you have any questions regarding this program, please contact me at the 702-528-3775 or to prequalify, fill out a loan application at: Las Vegas loan application.

Regards,
Adam Kearney

High End Buyers "Dissed" by Las Vegas Realtor

2008-07-01T14:28:00.004-07:00

With the current market for Las Vegas foreclosures, we are getting a lot of out of state enquiries on bank repossessions, auctions and short sales. Many of these requests are actually for high end Las Vegas homes where the foreclosures are not quite as prevalent, but where the buyer can really pick up some equity on distressed properties.

We received an enquiry last month from a Canadian couple who were looking to purchase Lake Las Vegas real estate. They were looking for a high end Las Vegas luxury property that they could use as a vacation home and they were planning on paying cash. One of our agents, Janet, was assigned to take them on a tour of potential homes.

Janet emailed the clients while they were still in Canada and sent them some listings to look over. They were able to narrow down their search and on the scheduled day Janet met with the buyers, who were very nice and very adamant about getting a real "deal." Since these are high end homes, Janet had arranged appointments with the listing agents on the ones they were interested in.

At the very first home Janet took the buyers to see, Mrs. Buyer got a funny look on her face when she saw the listing agent. She pulled Janet aside and asked for the agent's name. Janet told her, and as soon as she got the chance, Mrs. Buyer said to the agent, "Oh so YOU'RE Agent N." Of course the way she said it caused the listing agent to reply, "Yes, I am. Have we met before?"

"No," replied Mrs. Buyer. But you spoke to my husband on the phone the other day. I'd like to introduce you to Mr. Bottomfeeder." Agent N had to leave the room to compose himself when he realized what he had done.

As it turns out, like most Internet buyers these clients had been surfing the web and had talked to quite a few agents before deciding who they wanted to represent them. Evidently Mr. Buyer had talked to Agent N about a particular property and had asked if the sellers would consider a sales price quite a bit less than what the property was listed for. Unfortunately Agent N took umbrage and called Mr. Buyer a "bottomfeeder" and hung up on him.

Needless to say, the buyers were not interested in putting in an offer on Agent N's listing. But they are going to put an offer in on another home Janet showed them listed at over $6 million.

Who can blame a buyer for trying to get the best deal possible in today's market? And who are we as Las Vegas real estate agents to say that they should not give it a shot? We love it when we know we have gotten a smoking deal for one of our clients, and we are certainly not going to discourage them from doing so. Because Janet took their concerns seriously, she now has some loyal clients who know she truly has their best interests at heart. But Agent N, who insulted these same clients, lost out on a huge sale. Hopefully he learned a lesson, but at what a cost!

Las Vegas - New Construction

2008-06-14T05:51:00.002-07:00

With Las Vegas foreclosures keeping prices down in all segments of the market, Las Vegas homebuilders and commercial developers are looking for ways to cut expenses during the development stage so that they can keep prices competitive with existing projects. Many are exploring new building systems that incorporate "green real estate" for energy savings as well.

In the Las Vegas condos high rise market, a yet to be announced project has a cost cutting system that will save the developer more than a third over the traditional high rise building expense building from the ground up. The developer says this will allow him to price his units competitively with low rise product, and blow other high rise projects out of the water.

In downtown Las Vegas VERGE, a midrise project, is utilizing more new technology to build their product in the redevelopment district. Inspired by architect Dennis Rusk, VERGE was initially priced about 20% under existing competition.

Both projects will also offer special financing on Las Vegas mortgage loans to entice Las Vegas new homes buyers to the table.

And innovation is also coming to the Las Vegas commercial real estate sector, which until now has resisted change. Booming market conditions dissuaded builders from considering out of the box solutions, but a slow down has them scrambling for alternatives. The following are excerpts from an article about a new commercial building application:

Developer touts new construction concept
By Mark Hansel / Staff Writer

A local developer has introduced an innovative building concept to the Las Vegas market.
LM Construction is using the Koreteck system - a series of connected panels that can be installed using a small crew with minimal equipment to quickly enclose a building - at Wagon Trail Village, a shopping center at Decatur Boulevard and Wagon Trail Avenue, just off Interstate 215.
Larry Monkarsh, owner of LM Construction, said this is the first time Koreteck has been used in the valley.

Monkarsh is a third-generation contractor and developer, and LM Construction has built more than 3 million square feet of industrial and commercial space. Local projects include the Arrowhead Commerce Center on Pearl Street, and the Arroyo, adjacent to I-215 between Buffalo Drive and Rainbow Boulevard.

He has been looking for a project that would be a good fit for Koreteck, but had a hard time persuading local partners of its value.

"Everybody I brought this idea to thought I was crazy," Monkarsh said. "Now I believe the market is ready for this product."

Monkarsh said the development business is very much an "if-it's-not-broke-don't-fix-it" industry and with the prolonged success of proven methods in the valley, builders were reluctant to explore new concepts.

Changes in the development landscape, including increased construction costs and slumping real estate sales, have made the industry more receptive to alternatives, especially those that reduce cost.

A product with the potential to shorten a development timeline and decrease the number of workers needed on a job makes more sense now than ever, even if it has never been tried in Las Vegas before.

In a recent demonstration at Wagon Trail Village, a crew of five was able to completely attach the product to a 50-foot-wide, 25-foot-tall end wall in less than an hour.

Although developers who market Koreteck probably cringe at the comparison, the product's exterior looks remarkably like Styrofoam, which may explain the reluctance of some to embrace its use.

Kris Kutterer of Virginia-based Koreteck said, however, that in this case looks are deceiving.
Koreteck, he said, is extremely durable and consists of a solid, galvanized 20-gauge steel core surrounded by polystyrene insulation. It can be ordered in heights up to 18 feet, which are stackable for greater heights. Widths are 2 to 4 feet with solid, noncavity construction in 6 or 8 inch thicknesses. Interior and exterior finishes are applied as they are with other building material.

Kutterer said the product also offers energy savings over traditional building methods with heating and cooling systems, regardless of climate and location.

The monolithic (single-piece) nature of the insulation that is formed around the metal core increases efficiency by eliminating the thermal bridging at the panel-to-panel connection used in conventional wall construction. Although the amount of credits vary by market, Kutterer says the system adds points toward Leadership in Energy and Environmental Design certification.
Modifications, Kutterer said, are much simpler than traditional brick-and-mortar construction because panels can be easily removed to install an additional entrance or window.
"We can pretty much modify a project to suit a change in our clients needs, with a minimal increase in costs to them," Kutterer said.

Wagon Trail Village, Kutterer says, is typical of the type of project Koreteck was designed for. The roughly 24,000-square-foot center will include two future pad sites along Wagon Trail Avenue.

Koreteck can be custom designed for a client almost as a kit, with predetermined specifications and custom-made, numbered pieces shipped to the site. If a piece is damaged during construction, it can be reordered by number. Mark Hansel covers retail and Las Vegas homes for sale for In Business Las Vegas and its sister publication, the Las Vegas Sun. He can be reached at 259-4069

Las Vegas Real Estate - Media Slow to Report Good News

2008-06-08T13:03:00.004-07:00

It has long been my contention that the national media created both the real estate boom of 2004 and 2005, and then the real estate bust in 2006 and 2007. But unfortunately, bad news sells better than good news, and so the busts tend to last longer. Buyers are timidly trying to come back into the market, yet every new article about the sad shape of the economy makes them wonder if the time is right. Locally, the big question is: When is the Las Vegas housing market going to turn around? Sales of existing homes have picked up this spring, dropping housing inventory to a thirteen month supply, and in April the market had its first year over year increase in more than two years. The number of single family Las Vegas homes for sale rose for the fifth consecutive month to 2,206 in May, a 29.2 percent increase from a year ago. Applied Analysis, a Las Vegas-based financial consultancy, listed less than 22,000 homes in the resale inventory as of June 2, the lowest total since February 2007.

The number of contingent and pending sales has been escalating since the beginning of the year. About 45 percent of contingent sales have been identified as "short sales," or sales in which the lender will agree to accept less than the mortgage balance owed against the property as well as Las Vegas foreclosures. But local Las Vegas real estate agents are reporting multiple offers on homes under $225,000, reminiscent of 2004 when buyers were lucky to have two or three homes to choose from. Jackie Goodman, an agent on our team with Prudential Americana, started out with 21 homes from the MLS system last week to preview for her client, and 18 already had offers in on them waiting for final seller approval! Jackie had to start all over again to find enough good properties to show her client who was discouraged that her favorites had already sold.

And we are getting this type activity despite the “experts” who declare Las Vegas will see a 30% decline in the next few months. Are prices down? Yes, of course they are. But with the strong job growth and ever increasing population coupled with a steadily diminishing supply, my own personal prediction is that we will start to see actual appreciation in early 2009.

And fortunately the Fed is cooperating by keeping interest rates down near all time lows, even though credit restrictions are limiting the Las Vegas mortgages programs buyers have to choose from. Right now FHA is the most popular choice as purchasers that are buying a primary residence can still do a version of 100% financing through the Nehemiah program where the seller contributes 6% for down payment and closing costs.

So if you are wondering if now is the time to buy Las Vegas homes, well, they don’t ring a bell when the market hits bottom, but all the signs are there. And if you are trying to sell your home, hang in there, baby, better times are ahead as the market comes around to being more balanced!

Age Restricted High Rise Condos Coming to Las Vegas?

2008-05-26T13:35:00.003-07:00

Las Vegas is a retirement haven for the up and coming baby boomers. Clark County already boasts four large Las Vegas Sun City communities as well as a plethora of smaller age restricted neighborhoods. Prospective residents are looking for three things: no state income tax, warm weather and a sustainable cost of living. Florida, Texas and Nevada are the most popular states with no state income tax that retirees are considering.

Because of hurricane damage over the past few years Florida's insurance rates have gone through the roof and a monthly insurance payment can equal or be higher than the monthly mortgage payments. In Texas annual state property taxes are almost three times that of Nevada, though the average sales price for homes is a bit less expensive. That leaves the Las Vegas real estate market as the clear cut winner to date.

One of the reason the existing Sun City developments have been so popular is the amenity rich activities being offered: resort style pool and spa areas, business centers, workout facililties, restaurants, wellness centers, golf courses and social clubs. But population demographics are rapidly shifting, and now across the country many Sun City homeowners are ready to forego that single family retirement home in favor of a low maintenance lock-and-go condominium with nearby/on site medical facilities.

As of yet, there are no age restricted high rise condos in the country's most popular retirement area, Las Vegas, though there is one mid rise in the popular Sun City Anthem development in Henderson. So where are the adult age restricted Las Vegas high rise condos?

One progressive Las Vegas developer has been listening to pent up demand, and is currently working on plans for a multiple tower project that would incorporate the city's first adult high rise condo towers. This upscale community would be located in the center of town within easy commute to the Las Vegas Strip and adjacent to a major hospital. Plans call for almost every unit to have a fabulous Strip view and all would come standard with every luxury upgrade imaginable, including granite, flat screen TVs and state of the art communications equipment. In addition to the usual amenities like fitness centers and spas, this multi use development would also include on site dry cleaners, restaurants, postal services, boutique grocery shopping, coffee shop, cleaning services, plus a few new tend setting twists that should prove extremely popular. Innovative building design should keep costs considerably below existing high rise projects so that the majority of current Sun City occupants from across the country would find them affordable.

Flloor plans, exact pricing and more details on this adult high rise project will not be available until sometime in early 2009 with estimated construction to be completed on the first towers in 2010. If you would like to be placed on our priority list to receive further information as it becomes available, please register online at: Las Vegas Adult High Rise Condos Or call us at 702-985-7654. The Tonnesen Team of Prudential Americana Group Realtors is proud to announce that the developer has chosen Prudential Americana to market the sales of this unique property. Stay tuned to this blog for more info!

Las Vegas Golf Courses - More Frugal with Water than Homeowners

2008-05-04T08:26:00.003-07:00

Since Las Vegas is now a golf destination, I thought it was appropriate to post this letter to the editor of the Review Journal. The owners of Las Vegas homes have been complaining about the recent rate increases on water. For our Las Vegas golf course communities, this rate increase is even more expensive, raising HOA dues and golf membership dues.

To the editor:

After reading Jason Wagner's Friday letter to the editor, which criticized the Review-Journal's April 20 feature on the best 18 golf holes in Las Vegas for highlighting water waste by golf courses, I feel it is important to present the facts regarding water usage and Southern Nevada's golf courses.

First and foremost, the golf industry adds almost $1 billion each year to the Nevada economy.

Golf is an integral part of any resort destination throughout this country or abroad.

Golf courses use less than 8 percent of the valley's water, and that number is shrinking due to technological advances as well as superintendents' vigilant water management. Golf courses have removed 500 acres of turf, or the equivalent of five full-size courses, in the past few years, utilizing the Southern Nevada Water Authority's Water Smart programs. Golf courses are simply the most efficient water users in any water use category. We utilize the most advanced computerized control systems in combination with on-site weather stations to adjust our water usage 365 days a year. Water is golf courses' No. 1 cost of doing business, and therefore it is imperative that we manage our water efficiently.

Golf courses spend considerable staffing resources to manage this precious and expensive liquid. An average golf course will have two to four employees whose full-time job is to manage water. The rate increase recently passed by the Las Vegas Valley Water District, which will mean an increase to an average homeowner of a few dollars a month, can mean an additional $200,000 annually or more to a golf course's bottom line. With most other business costs skyrocketing as well, we cannot pass these increases onto our customers.

Golf courses are not green because they waste water. We fertilize correctly, we airify turf correctly, we chose the correct type of turf grass, we water correctly, and we have highly trained staff to identify and fix irrigation problem areas immediately. We apply wetting agents correctly. These are expensive chemicals that help the water to penetrate our poor desert soil, or help it hold on to moisture longer.

Golf course superintendents have worked closely with the Southern Nevada Water Authority to develop water budgets for golf courses to follow to reduce water usage during this period of drought, and have significantly reduced water use along with homeowners.

The golf course industry in Las Vegas is a critical part of our tourism machine, and we must not cause irreparable harm to a huge part of our already shaky economy without looking at the facts.
P.J. McGuire
LAS VEGAS
THE WRITER IS PRESIDENT OF THE SOUTHERN NEVADA GOLF COURSE SUPERINTENDENTS ASSOCIATION

To find out about how to purchase Las Vegas foreclosures in one of our beautiful golf course communities

How Does the Fed Rate Cut Affect Homebuying?

2008-04-27T22:35:00.001-07:00

The Federal Reserve cut interest rates today for the seventh straight time since September of 2007. Many experts believe that the Fed is done cutting interest rates and will begin a new watch-and-wait policy. This new policy is due – in part – to the fact that the first Stimulus Act rebate checks are hitting millions of mailboxes this week. The Fed hopes this money will give a much needed boost to the national economy.

The cut took the federal funds rate, the key overnight rate at which banks loan money to one another, to 2%. It had been at 5.25% as recently as September, when the Fed started slashing rates in an effort to spur the economy and keep the nation out of recession.

Rich Yamarone, director of economic research at Argus Research, doesn't think rates will go any lower. He believes the Fed's next move will be to raise rates to combat building inflationary pressures. He indicated that the Fed might start raising rates as soon as December.

So how does this Fed cut affect the Las Vegas homes market?

Hopefully Las Vegans will take this to heart and start to plan accordingly whether they are planning to purchase a new home or if they are considering refinancing their existing one. The following points are important things to take into account:

Today's tougher housing market means there are some great buys to be had if you're looking to purchase. This is an especially friendly market for first-time home buyers.
The government has temporarily increased FHA loan limits in many areas across the US. These government-insured loans are not FICO-score driven and require little to no down payment. Here's the catch: these new limits expire at the end of the year, so you must act now.
You really don't want to play the waiting game if you are holding an adjustable rate mortgage (ARM). That's because there is nowhere for the rates to go but up from here, if we are truly at the end of the Fed's cutting cycle.

At the quarterly Crystal Ball Seminar last Thursday, consultant Steve Bottfeld with Market Solutions was bullish on the Las Vegas real estate market, and said the median price for new homes, including high-rise condos, will be up 8 percent to 10 percent in 2008. He predicted a window of opportunity to buy at the bottom of the market through October or November of this year and then saw prices stabilizing and starting to trend upward again.

Not only are there currently lots of deals on Las Vegas foreclosures and auctions, Larry Murphy of Salestaq identified 15 Las Vegas new homes subdivisions with a variety of models priced at less than $100 a square foot, led by Richmond American's 3,839-square-foot home at Vienna for $319,990, or $83.35 a foot.