Las Vegas Market Recap for December + News!

[Josh Edelman]

Happy New Year everyone! I hope you had a wonderful holiday season with friends and family. It was busy for me - I proposed to my lovely fiance and we enjoyed a trip to Puerto Rico.

We are excited for 2024 and hope you are too! Here are some updates and data points for Las Vegas!

Real Estate Update

Here's the latest real estate market report from December 2023 (single family homes)

:

• Mortgage Rates:
  • 30-year conventional rate today is 6.75%
  • 30-year VA rate today is 6.17%
• Median Sales Price:
  • October: $450,000
  • November: $462,990
  • December: $460,000
• New Listings:
  • October: 1,561
  • November: 1,302
  • December: 1,981
• Median Days on Market Until Sale:
  • October: 14
  • November:15
  • December: 21
• Months Supply of Inventory:
  • October: 2.5
  • November: 2.4
  • December: 2.0

What does "Months Supply of Inventory" mean?

It represents the number of months it would take to sell all homes currently on the market at the current pace of sales. A balanced market is typically around 6 months of inventory, so a lower number represents a seller's market with limited inventory.

So Long Vegas Avengers: The Marvel Avengers S.T.A.T.I.O.N. attraction at Treasure Island closed in December 2023 after being open since 2016.

How Successful Was F1 for the Strip Casinos? The Las Vegas Grand Prix had a mostly positive but not overwhelmingly successful impact on the Strip casinos. In November 2023, Nevada's statewide gross gaming revenue (GGR) reached $1.37 billion, a 12.6% increase from the previous year, but it fell 2.2% short of the all-time record. Strip casinos saw a substantial 23% increase, earning $821 million or 67% of Nevada's total win, while downtown revenue declined nearly 2%, and the Boulder Strip dropped 2.1%. Local casinos had a modest 1% increase, and North Las Vegas remained relatively flat. Analysts anticipate future races to have less financial and logistical impact, citing the diminishing novelty of the inaugural event, lower ticket and room prices, and a historical drop in attendance and profits for similar races over time.

Reid Slated To Expand: Las Vegas-Los Angeles, once the busiest domestic flight route, dropped to third place by the end of 2023. Reid International plans to expand over the next 15 years, including terminal divisions, renaming, and upgrades. A new Southern Nevada Supplemental Airport will also be completed by 2037, connected by the Brightline high-speed train.

In October, Reid International Airport achieved a remarkable milestone by setting a new monthly passenger transit record, with an impressive 5.47 million passengers, surpassing the October 2022 record by a significant 5.7%.

Fontainebleau Unveils Ultra-High-End Retail: Fontainebleau's new shopping area covers 90,000 square feet on two levels, catering to the luxury crowd. It features Chrome Hearts, Giuseppe Zanotti, Missoni, Ora, Morris & Co., Cocoa Dolce, and FB Express, offering a range of premium products, including fine jewelry, accessories, chocolates, and more. Additional high-end stores are in the works.

Super Bowl Construction on the Strip Begins: Preparations for the Super Bowl on February 11 are underway, causing lane disruptions at the Strip and Flamingo intersection. CBS, the broadcaster for this year's Big Game, will use two southbound lanes for equipment and broadcast material load-in. A total of 100 hours of Super Bowl programming will originate from four stages atop the Bellagio fountains. While the sidewalk will initially be closed, one traffic lane will later reopen for pedestrians. Road closures around the stadium commence today and will continue through February 15.

Mortgage rates are expected to ease in 2024, potentially reaching 6.5% (30-year conventional) by year-end, providing relief for homebuyers. Rates had surged to historic highs due to the Fed's inflation-fighting measures but have since declined, spurring refinance activity. Experts anticipate a further increase in refinancing when the Fed cuts rates in 2024, offering borrowers substantial savings. Even a drop to 5.5% could reduce monthly payments by an average of $284, according to Michele Raneri, vice president of U.S. research and consulting at TransUnion.

Chances of U.S. Bitcoin (BTC) ETF Approval: According to Bloomberg analysts, the probability of a spot Bitcoin exchange-traded fund (ETF) being approved in the U.S. has risen to over 90%. This could signify a big opportunity for BTC investors and could leave a nice bull-run for the near future.

Warmest December in Vegas History: December 2023 broke records as Las Vegas' warmest December ever, with an average daily temperature of 53.2 degrees. Highs reached 60 or higher on 22 out of 31 days. Rain is in the forecast for early 2024, along with a possibility of snowfall at Lee Canyon.

January Weather in Las Vegas: Las Vegas experiences cold temperatures ranging from 39°F to 53°F in January. Be prepared for chilly weather and occasional rainfall. It's advisable to wear warm clothing to stay comfortable and avoid getting sick. Stay updated with our weather forecast for a detailed overview of January 2024 weather in Las Vegas.

If you have any questions about buying, selling, investing, or real estate in general, please call, text, or email me.