Las Vegas Real Estate Market Sees Inventory Increase A Massive 44.5% As Buyers Won’t Gamble On High Prices And High Interest Rates
From Yahoo Finance: 2025-05-24 11:15:00
The Las Vegas real estate market is facing a massive inventory increase of 44.5%, with a flood of new constructions primarily in Sunbelt states. Despite a rise in listings, buyers are not absorbing homes at the same rate, leading to homes sitting on the market longer.
According to Zillow, the average Las Vegas home value is now $437,324, up 3.6% over the past year. Affordability remains a challenge, with high prices leading to a 27.3% increase in listings showing price cuts. First-time buyers are particularly impacted by the current market conditions.
The surge in Las Vegas home prices was fueled by an influx of Californians during the pandemic. However, the number of Californians moving to Las Vegas has dropped significantly, contributing to the inventory buildup. Many Californians are holding onto low-interest mortgage loans, making it difficult to match current market rates.
A significant factor in the Las Vegas real estate market’s current state is the impact of interest rates on buyers. Californians rushed to leave the state during the pandemic, causing a housing boom in Las Vegas. However, recent years have seen a decline in Californians moving to the city, exacerbating the inventory surplus.