Investors are buying houses as commonly in Las Vegas as they are nationally, a new report programs, a stark change from current years when regional deals far exceeded the national average.
Institutional financiers– those who buy a minimum of 10 houses each year– purchased 1.9 percent of houses sold in the Las Vegas area in the very first half of the year. That’s down from 8.6 percent of sales in the exact same period in 2014 and 14 percent in the very first half of 2013, according to RealtyTrac.
Nationally, investors bought 1.9 percent of houses sold in the first half of 2015. That’s below 4.1 percent in the very same period in 2014 and 5.7 percent in the first half of 2013, the business found.
Bargain-hunting financiers swarmed Las Vegas after the bubble burst to buy cheap houses, typically wholesale, to turn into rentals. They revived the marketplace and drove up rates at some of the fastest rates nationally, raising fears of another housing bubble.
But confronted with increasing costs they helped create, financiers have been progressively pulling back.
Some 28 percent of homes sold in June in Southern Nevada were bought with cash. That’s down from 35 percent a year earlier and far listed below the peak of virtually 60 percent in February 2013, according to the Greater Las Vegas Association of Realtors, which mostly tracks formerly had houses.
The drop-off suggests that “money buyers and financiers are still a factor in the local real estate market however that their influence is waning with each passing month,” the GLVAR just recently stated.