Las Vegas Prices to drop more?

I'd like to say it isn't so.  But, the rumor I am hearing is: Home prices will be going down even more.

Unfortunately, there is talk that HOA's need to sue home owning banks because the Banks are so far behind in paying the required monthly HOA fee, that the HOA will most likely foreclose on the Bank for back payments.  Which means a further loss for the bank.  Yeah!?

So, in order to remedy the situation of past due back HOA payments, banks will need to get rid of a lot of their shadow inventory most likely the first of the new year because they will ultimately lose in a Trustee Sale.

So, do I feel sorry for the recent buyers?  Not at all.  They thought they were getting a deal buying then; now, the rest of us can get a deal on a SFR rental.  And, yes!  USA Today was reporting that there is a need for rentals because home owners who lost their homes are now gun shy about buying again.  (I think part of that is due to the Fannie Mae mandated four year waiting period you need to wait in order to qualify for another home loan.)

As for commercial real estate, more and more, I am seeing notes being purchased.  And, these are most likely at a discount.  With office, retail and industrial vacancies being so high, it doesn't make sense to keep these properties either -- if you are an owner.

One of my clients has decided to stay put for now.  His commercial property is paid for and he is collecting enough rent to maintain the property until the Las Vegas economy improves.

For Information about Las Vegas Commercial Investment Property, contact David Howes at:

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