Home Prices are going up
Las Vegas real estate is making a turn towards a brighter future with the recent upswing in home prices in the valley. According to Zillow.com over 37,000 homeowners in the Las Vegas valley finally made out from underwater mortgages due to rising home value.
This is a step in the right direction considering the dire situation of the home market over the past couple of years in the Las Vegas valley. This is an encouraging sign for the investors in the residential Las Vegas real estate market.
Homeowners with underwater mortgages or negative equity have fell from 63% to 59% from the last quarter. At the end of the fourth quarter there were 197,434 homes with negative equity in the valley. These homes add up to a combined $19 billion dollars in negative equity!
Here at Progressive Real Estate Investments we are excited for the future that is ahead of us here in Las Vegas. This is a great time to buy and sell a home in Las Vegas and Henderson. If you are wanting to find a new home to buy or are looking to get out of a home that is underwater so you can get on with your life, call us today!
The Las Vegas Review Journal has written a great article on this topic
“The Zillow negative equity forecast predicts that the negative equity rate among all homeowners with a mortgage will fall to at least 56.7 percent by fourth quarter 2013, freeing 8,435 underwater homeowners.
Zillow found that roughly one-fourth of Las Vegas underwater homeowners have 20 percent or less negative equity.
Zillow senior economist Svenja Gudell said Las Vegas dropped 11 percentage points in negative equity, from 70 percent in fourth quarter 2011 to 59 percent, while home values increased 14 percent. Homes that were over 200 percent loan-to-value, or worth less than half the mortgage, dropped from 26.7 percent to 18.6 percent.
“The salient point to take away is that even as home values increase, homeowners are still under water, but not as far,” she said.
“That’s the good news there.”
The 90-day delinquency rate for mortgaged homes in Las Vegas is 14.5 percent, compared with the national rate of 8.9 percent.
In a breakdown of Las Vegas metro, the city of North Las Vegas is most under water at 69 percent, followed by Las Vegas (59.1 percent); Bunkerville (58.4 percent); Henderson (52.2 percent); Logandale (50.3 percent); Boulder City (49.1 percent); Laughlin (46.5 percent); and Mesquite (38.8 percent).
Nationwide, Zillow reported homeowners with negative equity fell to 27.5 percent in the fourth quarter, compared with 31.1 percent a year ago.”
Call us today or email us at Mickey@Progressive-rei.com