2024 kicked off with higher home prices

A recent Las Vegas Realtors report shows 2024 began with home prices higher and the housing supply lower than the same time last year, with signs that home sales could start to bounce back from a slow year.

LVR reported that the median price of existing single-family homes sold in Southern Nevada through its Multiple Listing Service during January was $445,000. That’s down slightly from December, but up 4.7 percent from $425,000 in January 2023. Local home prices are still below the all-time record of $482,000 set in May of 2022.

Meanwhile, the median price of local condos and town homes sold in January was $275,000, up 7.8 percent from $255,000 in January 2023. That’s still down from the all-time high of $287,000 set in August 2022.

Merri Perry, a longtime local Realtor who began her term as 2024 LVR president in January, said a persistently tight housing supply continues to hamper home sales while propping up home prices. Mortgage interest rates are also playing a key role. Despite increasing this week to about 7 percent for a 30-year fixed mortgage, rates had been moderating in recent months. Perry sees reasons for optimism in 2024, citing national experts who have been predicting that more homes will be available and sold this year than during 2023.

“Over the past few months, we’ve seen benefits from lower interest rates and relatively stable home prices here in Southern Nevada,” Perry said. “Now, if we could just get more homes on the market, we’d really be in good shape.”

By the end of January, LVR reported 3,551 single-family homes listed for sale without any sort of offer. That’s down 34.8 percent from one year earlier. Likewise, the 1,136 condos and town homes listed without offers in January represent a 7.9 percent decline from one year earlier.

LVR reported a total of 1,955 existing local homes, condos and town homes sold in January. Compared to January 2023, sales were up 11.6 percent for homes and up 19.6 percent for condos and town homes.

The sales pace in January equates to a local housing supply of less than 2½ months. One year earlier, Southern Nevada had nearly a four-month housing supply.

According to LVR, 2023 was the slowest year for existing local home sales since 2008. During 2023, LVR reported a total of 29,069 sales of existing local homes, condos and town homes. That was down from 2022, when LVR reported 35,584 total sales. That followed a record year for existing local home sales in 2021, when LVR reported 50,010 total properties were sold. That was the first time LVR reported more than 50,000 local properties selling in a year. It topped the previous record set in 2011 by nearly 2,000 sales.

During January, LVR found that 27.4 percent of all local property sales were cash transactions. That’s up slightly from 27.2 percent one year ago, but still well below the May 2013 cash buyer peak of 59.5 percent, suggesting that investors have been less active in the local housing market.

The number of so-called distressed sales remains near historically low levels. LVR reported that short sales and foreclosures combined accounted for 1.5 percent of all existing local property sales in January. That compares to 0.8 percent of all sales one year ago, 0.8 percent two years ago, 1.2 percent three years ago, 2.7 percent four years ago and 2.8 percent five years ago.

These LVR statistics include activity through the end of January 2024. LVR distributes statistics each month based on data collected through its MLS, which does not account for all newly constructed homes sold by local builders or homes for sale by owners.

Other highlights include:

■ The total value of local real estate transactions tracked through the MLS during January was more than $842 million for homes and nearly $139 million for condos, high-rise condos and town homes. Compared to one year earlier, total sales values in January were up 19.6 percent for homes and up 17 percent for condos and town homes.

■ In January, 75.2 percent of all existing local homes and 77.7 percent of all existing local condos and town homes sold within 60 days. That compares to one year earlier, when 62.3 percent of all existing local homes and 65.6 percent of all existing local condos and town homes sold within 60 days.

Las Vegas Realtors (formerly known as Greater Las Vegas Association of Realtors) was founded in 1947 and provides its nearly 17,000 local members with education, training and political representation. The local representative of the National Association of Realtors, LVR is the largest professional organization in Southern Nevada. Each member receives the highest level of professional training and must abide by a strict code of ethics. For more information, go to LasVegasRealtor.com.