Las Vegas Valley New home sales nearing 2006 levels.
Through the first four months of the year, new home closings have reached 3,264; a 22% increase over the same period last year. If new home closings continue at this rate, we will have seen nearly 10,000 new homes closed in 2018; less than 2006 but nearing those levels. Building permits pulled in April were 1,047, a 28% increase from April of 2017. This brings the total number of building permits through April of 2018 to 4,059, 33% higher than last year. If this pace continues we will have over 12,000 permits pulled in 2018. This increase in permits pulled will pave the way for strong new home sales in 2018 and 2019.
With the increase in new construction sales, construction worker talent is in high demand. There is currently a shortage of construction workers which has slowed down the build time from four months to build a new home to six months.
The current median new home closing price in April was $374,440. This is an increase of 11 percent over prior year. Many factors are causing this increase including; labor shortage, material costs, land costs, high demand for new construction and supply shortage.
In California, all new homes will be required to install solar panels for whole house solar systems in an effort to save energy beginning January 1, 2020. It will be interesting to see if Nevada follows in the same path.
Preparing for a showing
There is some preparation for your showing that will set you up for a more successful showing. Here are a few tips:
- Open all the shades and curtains to let in light.
- Turn on enough lights so the home is well-lit. Yes, even in the middle of the day.
- Remove clutter from tables and bookshelves. Neatness makes rooms seem larger.
- Remove pets. Take them with your or keep them penned in the yard or garage.
- Put away items in the yard such as garden tools, bicycles and toys.
- Turn on gas fireplaces to create a cozy atmosphere.
- Grind up part of a lemon in the disposal to add a fresh smell to the kitchen.
- Turn on soft music on your home sound system to create a relaxed, pleasant atmosphere.
Remember, you only have one chance to make a first impression.
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What is Due Diligence?
When purchasing Residential Real Estate or land, the agreement between the buyer and seller will outline a time frame in which the buyer can conduct their due diligence. This time period is the buyer’s opportunity to bring in professionals to conduct inspections of the structure and systems. In cases where the property may need remodeling after close of escrow, the buyer will bring in contractor’s and other professionals to get bids on the work the buyer wants to do after they take possession of the property.
During the due diligence period the buyer is taking an in-depth look into everything about the property and deciding whether to ask the seller for additional concessions like repairs or a credit towards closing costs in lieu of repairs, or to just move forward as is. In some cases, the buyer may decide not to move forward, in which case, the buyer would be eligible to receive their earnest money back.
For seller’s, proper maintenance of all systems and structures during the life of the property is a good investment in maximizing a potential buyer’s satisfaction with the home.
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