Homes for Foreclosure in Las Vegas

Any savvy real estate investor will tell you a foreclosed home in Las Vegas that is priced-to-sell could become the deal of a lifetime. That's especially true right now because there is an over-abundance of distressed properties on the market. RealtyTrac recently reported the number of foreclosures in Las Vegas nationwide rose 65 percent in the past year. There is no question that there is also a fast growing interest in foreclosures. investinlasvegashomes.com says searches for foreclosures on their website were up more than 200 percent in the first quarter this year.

Homes in Las Vegas that can be purchased at 1970 prices, As an example there are foreclosure homes with Insurance replacement values that is 300% of their current offered price, and that's not even counting the land value of the property, which according to the tax records is valued over $40,000. If a property like this is purchased cash- the rent alone will be around $1050+ a month- That's a gross ROI or return of investment of around 32%.

The demand for Las Vegas foreclosure homes remain strong despite the slow pace of the housing market in August. According to market data, single family home sales totaled 3,229 in Las Vegas, Nevada in August. Last month's figures were 14 percent lower compared with July sales of 3,738

Also in August, the median home price sold in the area was $135,500, a drop of 2.4 percent compared with the previous month's $138,800. The median price in August represented a 36 percent drop compared with the same month last year.

For this month, the top 200 foreclosure deals are being listed in investinlasvegashomes.com. According to industry experts, many foreclosure homes on the auction block are priced below market value, with some fetching a starting bid of just $49,000. They cited a Northcliffe Drive foreclosed home which was originally valued at about $1.2 million but is now being sold for $189,000.

In addition, some Las Vegas foreclosure homes are priced significantly below market valuebecause they need repairs. Before you purchase a foreclosure in Las Vegas, make sure that you get an inspection to understand the home you are buying. Allow for repair costs and cleanup costs and estimate these costs. Add these amounts to the asking price of the home. Even with the repair and cleaning costs, the home should still be a good bargain.

Keep in mind, too, that different foreclosures mean different discounts. Not all foreclosed real estate is the same. Real estate owned (REO) properties have gone into foreclosure and have been bought by the bank or have not sold at auction. These homes offer smaller discounts but are usually safer since the bank gets rid of any clouds on title. Homes sold through a foreclosure auction or tax sale are more likely to be sold at a good discount, but this is a riskier way to buy since the homes come with no warranties of any kind. Government homes are discounted to varying degrees, but government agencies often offer special buyer programs that make these properties more affordable.

Industry experts said that the current market prices of foreclosure properties in Las Vegas are unprecedented and it would be a wise move for buyers and investors to take advantage of the market situation.