The Wall Street Journal may be jumping the gun a little here with this report on housing. The reason we have seen price increases in Las Vegas has been due to the lack of inventory. This is due to the banks sitting on thousands of REO properties and the reality that there are so few people with equity.
It sounds like a formula for price increases and we have seen a slight upward trend in certain areas but we have seen an increase in homes hitting the market for June 2012. This may or may not be a good sign and it could mean a continued increase in supply which will again stagnate prices. We can all hope for appreciation but until the people who bought in the past 3 years at rock bottom prices decide it is time to sell we are likely to see a struggling housing market in Las Vegas.
Check out the article in the Wall Street Journal below.
Chris LaHaie Realtor
Prudential Americana Group,
Las Vegas, NV