The national market is undergoing a slight correction, but that’s not exactly what’s happening in Las Vegas. Here’s why.

Right now, our national market is going through a slight correction and experiencing a bit of a slowdown, but that’s not exactly the case here in Las Vegas.

On a national scale, homes are spending more days on the market and price reductions are increasing. When it comes to these price reductions, though, this doesn’t mean that sales prices are actually decreasing—it just means people were asking more for their houses than they were worth, causing them to sit on the market longer and reduce in price in order to drum up interest.

Our Las Vegas market is slightly insulated from the national market for a few reasons, though.

For one thing, we have a lot of growth happening here. In 2017, we had a net increase of 43,000 new residents. Since this figure also accounts for those who moved out of our area, the actual number of people who moved here is higher. We don’t have enough homes to accommodate this gain, which is why both our rental and housing markets are strong.

We also have several large projects that are under construction through 2020 that account for a lot of employment and future economic development. Resorts World, Fountain Blue, and Paradise Park will add about 9,000 rooms to the Las Vegas strip—the largest such gain since 1993 when the Luxor, Treasure Island, and the MGM Grand opened.

"Our Las Vegas market is slightly insulated from the national market"

There are also several projects happening outside of the hospitality industry, such as Switch Communications. This is one of the largest co-location facilities in the world, and some of the world’s leading computer technology companies host their servers there.

We’re also adding teams from the world of professional sports. The newest NHL expansion franchise, the Golden Knights, started calling Las Vegas home just last year and made it all the way to the Stanley Cup Finals. In 2020, the NFL’s Oakland Raiders are set to become the Las Vegas Raiders, and season tickets are selling out at a historical rate.

With all of this expansion, there are a lot of people who want to move here, and they’ll need places to stay. While we will end up experiencing a bit of the same market correction and some of the same cyclical and seasonal changes that the national market does, we’re far from being in a bubble.

If you’d like to know more about the Las Vegas real estate market or you’re thinking about buying or selling a home, don’t hesitate to reach out to me. I’d be happy to help you.