Current Trends and Predictions for 2017
The State of Nevada was, and continues to be, one of the states most impacted by the subprime mortgage crisis of 2008. In fact, realitytrac.com currently reports that Nevada had the 5th highest foreclosure rate in the country for the first half of 2016, and the Las Vegas metro area is consistently within the top 5 worst in the nation.
Although this is seemingly bad news for Nevada property owners, the National Association of Home Builders reports that housing markets in 162 of the approximately 340 national metro areas have returned to or exceeded normal economic housing activity in third quarter 2016. The Nevada housing market is showing signs of recovery as well, as home sales have increased nearly 8% compared to 2015, and condo/townhome sales have increased 9% since September 2015. Additionally, the Greater Las Vegas Association of Realtors reported a 6.1% increase in home values from September of 2015 to September of 2016.
These increases are great news for property owners in Nevada, as many are starting to see their home values returning to 2008 levels. Additionally, reports from the National Association of Realtors, the Mortgage Bankers Association, Fannie Mae, and Freddie Mac report that home sales are going to continue their upward trends throughout 2017. If you compare Nevada’s 0% income tax rate to some of its neighbors, whose income tax rates are as high as 13%, you can expect to see an increased number of ‘out-of-staters’ investing in Nevada real estate in the coming years.