Las Vegas Housing Market Update 2023 YEAR END REVIEW

Las Vegas Housing Market Update 2023 YEAR END REVIEW

Welcome to the January 2024 issue of our monthly market update for Southern Nevada. In this issue we will be going over December 2023 numbers and year to date numbers for 2023.

The Las Vegas Valley real estate industry had its worst year for sales since 2008. This year mortgage rates reached a more than 20-year high. But the valley is plagued by a lack of inventory and affordable housing in the post-pandemic real estate market, as many homeowners who bought with low interest rates during the pandemic, when the Fed slashed rates, are refusing to sell their homes because they are unwilling to part with their cheap monthly mortgage payments.

If we continue to have low inventory, it will keep the Las Vegas home values up.

This January will probably be the most opportune time for a buyer to get in for years, and as soon as the Fed drops those interest rates, we are most likely going to see a reverse crash. A surge in demand from buyers and hedge funds and no supply increase will most likely cause the prices to skyrocket.

Forecasters are predicting the Federal Reserve will slash the overnight funds rate sometime next year as inflation cools, which could give a boost to the market. But given the current macroeconomic climate, it’s anyone’s guess as to where the economy will actually head in 2024.

MARKET TRENDS

There were 1,518 single-family houses that sold in December, up 5.8% from November, but down 1% from December 2022.

The median sales price of previously owned single-family homes, dropped by $100 and went to $449,900 for December, which is up 5.9% from the prior year.

So, we started the year in 2023 at $425,000 for median price and ended at $449,900, which was a 5.9% increase year of year.

In December 2022, the median price of previously owned single-family homes was at $425,000.

In December 2021, the median price of previously owned single-family homes was at $425,000.

In December 2020, the median price of previously owned single-family homes was at $345,000.

MEDIAN PRICE:

January 2023: $425,000

February 2023: $424,995

March 2023: $425,000

April: $430,000

May: $442,120

June 2023: $440,990

July 2023: $450,000

August 2023: $447,435

September 2023: $450,000

October 2023: $450,000

November 2023: $450,000

December 2023: $449,900

The median sales price of condos and townhomes for December dropped $5,000 to $270,000, which is down 1.8% from November, but up 9.3% from the prior year.

In December 2022, the median price of condos and townhomes was at $246,950.
In December 2021, the median price of condos and townhomes was at $242,000.
In December 2020, the median price of condos and townhomes was at $186,000.

LUXURY MARKET

While home sales in Clark County dropped in 2023 to their worst level since 2008, the luxury market was stronger. Sales of multimillion-dollar homes still declined, but not to the degree of the overall residential market. Cash buyers essentially kept the Las Vegas real estate scene from flat lining, though a lack of listings kept prices high.

There were 92 homes that sold in December for $1 million and over, compared to November’s 88 homes, 4 home increase.

The median sales price in the Luxury Market for December increased to $1,452,500 and in November that number was $1,416,288. A $36,212 increase in the median sales price.

MARKET TRENDS

So, for December we had a total of 1,500 new listings, which is down 23.8% from November and down 10.6% from the prior year.

There were also a total number of 3,766 single-family houses listed without offers at the end of December, which is down 13.5% from the previous month and down 39.4% from the prior year.

December 2022 there were 6,211 single-family homes listed without offers.

LISTINGS WITHOUT OFFERS

January 2023: 5,450

February 2023: 4,665

March 2023: 4,196

April 2023: 3,737

May 2023: 3,645

June 2023: 3,680

July 2023: 3,524

August 2023: 3,881

September 2023: 4,066

October 2023: 4,213

November 2023: 4,353

December 2023: 3,766

MARKET TRENDS

Which brings us to the housing supply in Southern Nevada, last month we are at 2.5 months of inventory on the market, which is down 18.2% from November and down 38.7% from the prior year.  December 2022 there were 4 months of inventory on the market.

MONTHS OF INVENTORY

January 2023: 4.1

February 2023: 2.7

March 2023: 1.8

April 2023: 1.9

May 2023: 1.6

June 2023: 1.6

July 2023: 1.7

August 2023: 1.9

September 2023: 2.2

October 2023: 2.5

November 2023: 3

December 2023: 2.5

57.6% of the closings for the month December was on the market 30 days or less, in November this number was at 65.5% and in December 2022 40.8% of the homes were on the market 30 days or less.

LAS VEGAS REALTORS REPORT

If you’re considering buying a home in the Las Vegas Valley, please don’t hesitate to reach out to me. I’ll get back to you personally and promptly. Thanks for visiting!

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Angela O’Hare
Favorite Las Vegas Realtor
Home Realty Center
Lic. #180246
702-370-5112
[email protected]
www.neighborhoodsinlasvegas.com