71°F
weather icon Partly Cloudy

Las Vegas home prices break bubble-era record

After more than 13 years, Las Vegas house prices have finally eclipsed their bubble-era peak.

But they remain well below those of the boom days when adjusted for inflation – underscoring just how bloated the market got before it crashed, and how long the trek back has taken in the epicenter of America’s real estate collapse.

The median sales price of previously owned single-family homes – the bulk of the market – reached an all-time-high of $316,000 last month, $1,000 above the pre-recession record set in mid-2006, according to a new report from Las Vegas Realtors, or LVR, which pulls data from its resale-heavy listing service.

Prices last month were up 6.7 percent from a year earlier. February also had a big jump in sales, with buyers grabbing 2,471 houses, up 25.7 percent from February 2019, said the trade group, which recently changed its name from the Greater Las Vegas Association of Realtors.

Setting a new price record is more symbolic than anything for Las Vegas, which, unlike markets across the country, was still stuck below its prior peak more than a decade after the economy imploded.

“We’ve been waiting for this milestone for a long time,” LVR President Tom Blanchard, a broker with Renters Warehouse, said in a statement. “While it’s interesting to talk about how we finally broke the record, it’s important to remember that it took us more than 13 years to get here.”

‘Full circle’

Las Vegas, after its wild mid-2000s housing bubble, was the hardest-hit metro area of the country during the recession and has been “slower to recover” than other markets, said Brian Gordon, co-owner of Las Vegas consulting firm Applied Analysis.

Prices around the U.S. surpassed their previous highs “quite some time ago,” Gordon said, adding that Las Vegas has “come full circle.”

The valley’s housing market is more volatile than most, real estate pros have said. It has flippers and other investors, a transient population, a workforce that largely doesn’t earn hefty paychecks, a regular influx of newcomers, and an economy dominated by hotel-casinos.

All told, home prices have been a roller coaster for years. They soared during the mid-2000s bubble, plunged when the economy tanked and have climbed at various speeds – sometimes accelerating, other times downshifting – since the market hit bottom several years ago.

The median sales price of a previously owned house peaked in June 2006 at $315,000. Adjusting for inflation, that’s nearly $400,500 in today’s dollars — almost $84,500 above the current level.

More fluctuations

Las Vegas’ housing market cooled off last year after a heated stretch sparked affordability concerns. Price growth slowed, sales totals dipped and the tally of available listings rose much of the year.

Slower price growth and low interest rates have made homes more affordable, or at least not as expensive as they could be. And lately, sales volume has accelerated.

Around 2,280 single-family homes traded hands in January, up 25 percent from the same month last year, and about 2,600 sold in December, up almost 22 percent, according to LVR.

Contact Eli Segall at esegall@reviewjournal.com or 702-383-0342. Follow @eli_segall on Twitter.

Don't miss the big stories. Like us on Facebook.
Business Videos
Allegiant burning over $2M per day, many workers on leave with half pay - VIDEO
Allegiant Air’s parent is burning through at least $2 million in cash per day and hundreds of workers are taking two-month leave at half pay as the carrier grapples with the fallout from the coronavirus pandemic. (James Schaeffer / Las Vegas Review-Journal)
Small business owners talk about shutdown impact
Small business owners talk about shutdown impact. (Bizuayehu Tesfaye/Las Vegas Review-Journal) @bizutesfaye
Top stories Friday April 3, 2020
Rj Business reporters Bailey Schulz, Subrina Hudson and Eli Segall talk about the top trending stories at the Review-Journal
Caesars furloughing about 90% of US workers
The furloughs come amid the COVID-19 pandemic, which has prompted all U.S. commercial casinos to temporarily shut their doors.
Amazon blocks sale of N95 masks to public - VIDEO
Amazon established a new section of its website where U.S.-accredited hospitals or state or federal agencies can apply for supplies. N95 masks, surgical masks, facial shields, surgical gowns, surgical gloves and large-volume sanitizers are among the restricted items. (Las Vegas Review-Journal)
Cars line up for over 4 miles for food
Cars were lined up along Sahara Avenue from Palace Station to South Rainbow Boulevard for food distribution sponsored by Three Square and Central Church in Henderson.
US weekly jobless claims jump to 6.6 million - VIDEO
The U.S. Labor Department reported 6.6 million people filed for unemployment insurance in the past week. A reported 10 million people have filed over the past two weeks. (Las Vegas Review-Journal)
When will self-employed get unemployment money in Nevada? - VIDEO
President Donald Trump signed the Coronavirus Aid, Relief, and Economic Security Act into law March 27. It allows states to expand unemployment insurance benefits, including to independent contractors, self-employed and gig workers. (Las Vegas Review-Journal)
Free Business Updates
For more information head to: https://www.reviewjournal.com/vegas-business-updates/
Walmart’s new safety measures at stores: Checking temperatures - VIDEO
In an effort to intensify safety measures in their stores, Walmart and Sam’s Club will check the temperatures of all employees as they arrive for work. (Kevin Cannon / Las Vegas Review-Journal)
Macy’s to furlough majority of 130,000 employees amid coronavirus closures - VIDEO
On March 30, Macy’s Inc. announced their decision to furlough a majority of their employees and instead move to the “absolute minimum workforce needed.” (Las Vegas Review-Journal
An empty Las Vegas Strip from the air - Drone Video
For the first time in forever, the famed Las Vegas Strip is closed for business amid the coronavirus pandemic. (Michael Quine/Las Vegas Review-Journal)
Nevada construction continues as coronavirus spreads
When Gov. Steve Sisolak ordered Nevada businesses closed, he let construction workers stay on the job, deeming homebuilding and other construction “essential” lines of work.
US weekly jobless claims soar to record-breaking 3.28M - VIDEO
The U.S. Department of Labor released the shattering numbers on Thursday. Jobless claims had been as low as 282,000 the previous week. The 3.28 million jobless claims for last week is more than double the 1.5 million new claims that analysts were expecting. (Las Vegas Review-Journal)
Worker at Allegiant Stadium tests positive for COVID-19
Construction of Allegiant Stadium is unlikely to affected by the coronavirus outbreak that is having an impact on just about every industry across the Las Vegas Valley. (Michael Quine/Las Vegas Review-Journal)
Casino companies burning through millions daily
RJ reporter Bailey Schulz talks about how much Las Vegas Casino companies are losing and how the Emergency bill could help if they run out of money or need help recouping what was lost.
Albertsons, Walmart, Amazon increase pay amid coronavirus impact - VIDEO
Grocery stores and other retailers have raised employee pay as they work to meet customer demand during the coronavirus pandemic. (James Schaeffer / Las Vegas Review-Journal)
Las Vegas police tells nonessential businesses to respect the shutdown - VIDEO
The Las Vegas Metropolitan Police Department reminds businesses in Clark County that all nonessential businesses are to be shut down as mandated by Nevada Gov. Steve Sisolak, due to the coronavirus crises. (Las Vegas Metropolitan Police Department)
Amazon Prime delays are now as long as a month - VIDEO
As of Sunday, many nonessential items ordered with Prime delivery are showing an April 21 delivery date. (Las Vegas Review-Journal)
Fed announces unprecedented actions to stabilize markets - VIDEO
The Federal Reserve announced several new measures on Monday. Among the announced programs is a further commitment of $300 billion "supporting the flow of credit" for Main Street businesses. (Las Vegas Review-Journal)
Lee’s Discount Liquor stores close on Sunday - VIDEO
Lee’s Discount Liquor stores across the Las Vegas Valley closed at 3 p.m. Sunday, March 22, the company announced on Twitter. (Las Vegas Review-Journal)
Local Businesses Message To Customers After Closing - Video
Local movie theaters and stores leave signs on their doors for customers as businesses close after being ordered to shut down.
Valley businesses react to mandatory order to shut down - VIDEO
All non-essential businesses in the Las Vegas Valley have to shut down. We spoke with store owners who would remain open for the benefit of the community and others who were still confused as to why they had to close. (James Schaeffer / Las Vegas Review-Journal)
Nevada casino closures impact 206K workers, AGA finds - VIDEO
About 206,000 direct casino employees in Nevada are without work after Gov. Steve Sisolak’s Tuesday mandate, according to the American Gaming Association. (James Schaeffer / Las Vegas Review-Journal)
More Las Vegas Valley grocery stores offer early hours for seniors - VIDEO
A growing list of Las Vegas Valley retailers are offering special shopping hours for seniors in light of the COVID-19 pandemic. (James Schaeffer / Las Vegas Review-Journal)
Nevada casinos closing for 30 days following state order - VIDEO
Gov. Steve Sisolak’s unprecedented order on nonessential Nevada businesses will shut down 440 licensed casinos. (James Schaeffer / Las Vegas Review-Journal)
Wynn CEO and Dr. Rebecca Katz go over coronavirus - Video
The Wynn CEO Matt Maddox and Dr. Rebecca Katz give a warning about the coronavirus in Las Vegas and around the world.
The Bellagio casino floor cleared as guests get ready to leave hotel - VIDEO
The Bellagio casino floor cleared as guests get ready to leave hotel (James Schaeffer / Las Vegas Review-Journal)
Tourists upset with MGM Resorts' lack of closure notice - VIDEO
Tourists like David and Emma Walker, who are visiting from Scotland, found out about MGM Resorts' property closures through Google, instead of the Luxor where they are currently staying. The Walkers are upset with how MGM has handled the situation by not making their customers aware of the closures first. (Cassie Soto/Las Vegas Review-Journal)
All Las Vegas MGM casinos, hotels to temporarily close - VIDEO
MGM Resorts International announced Sunday it is temporarily suspending operations at all Las Vegas properties “until further notice” effective Tuesday. (James Schaeffer / Las Vegas Review-Journal)
THE LATEST
 
Sisolak orders halt to all evictions

Sisolak said his order applies to evictions that were already filed before the declaration, and prohibits new lockouts, evictions filings and notices to pay. It also applies to commercial buildings, to protect small businesses closed by Sisolak’s previous order.