The Las Vegas area homebuilders are reporting solid sales despite rising mortgage rates and a slight increase in single-family home prices.
Since mid-January, builders have had 18 consecutive weeks with at least 200 net sales, according to Andrew Smith, president of Las Vegas-based Home Builders Research. In May, there were 0.9 net sales per project, above the market average of 0.7 sales. May’s cancellation rate was the lowest of 2023 at 13 percent, which is another interesting sign.
There were 990 new home closings in May, a 7 percent decrease over May 2022. Single-family home prices climbed 3 percent to $511,319, while attached products dropped 1 percent to $364,990.
Nine new communities opened in May, bringing 894 lots to the market. The average base asking price was $537,278.
53 percent of May’s new home closings were in master plans, led by Summerlin with 106, Cadence with 88, and Inspirada with 65.
Summerlin’s median closing price was $722,495, compared to Inspirada’s $454,569 and Cadence’s $442,023. Lake Las Vegas’ average closing price was $650,000, while Skye Canyon’s was $484,990.
New home demand remains higher than existing home demand most likely because homeowners are hesitant to put their homes on the market with higher interest rates.
Just under 24 percent of new home closings in May were cash transactions, and 19 percent were new homes.
Keep in mind that whether you are interested in buying a home or selling a home, a Realtor should represent you– this person is working for your benefit and will help you navigate through the buying or selling process. We have celebrated selling both New and Resale Homes for over thirty years…..
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