Las Vegas / Henderson Investment Market

[Torin Murphin]

I was originally looking at multi-families in Las Vegas areas but they all seem to be in not-the-best areas leading to not-the-best tenants. I work in the Henderson (Green Valley) area but my wife and I had to find a rental in Vegas to live in because we couldn't find anything for less then $1,400/mo that was decent and wanted to live below our means.

We looked to buy in Henderson this last year and everything under $250k was getting snatched up and quick. I looked recently and there's quite a few listings, mostly in the older Henderson area (Foothill/Basic High zones), reducing their prices after being on the market for 2-3 months under $199k. SFR may be the way to go with rent remaining the same and home prices dropping and Henderson being a desirable area.

I'm wondering if anyone has noticed a trend of Henderson home prices dropping and if it's worth considering buy and hold or BRRRR? I've ran the numbers on a couple and they are giving 10-12% cash-on-cash return at the right buy price.

Thanks for anyone willing to help or answer!

[Phillip Dwyer]

@Torin Murphin I just did an MLS search for Henderson single family houses that have sold in the past 180 days with list prices under $200k. The median days on market was 16 days, and the average was 40 days (impacted by short sales). 452 houses sold during that time frame which equates to roughly 75 sales per month. There are currently 56 single family houses available (not contingent) priced under $200k in Henderson. This would mean there is less than a 1-month supply. In this scenario there is not likely a declining market. The price drops you're seeing are likely do to unrealistic sellers that priced too high to begin with.