Las Vegas homebuilders are stuck in the doldrums as purchasers continue to shy away from hefty price tag tags, a new report shows.
Neighborhood builders sold 530 new homes in August, bringing this year’s total to three,733, down 26 percent from the exact same period in 2013, according to Las Vegas-primarily based Home Builders Research.
Builders also pulled 544 new-home permits, a “disappointing” total, investigation firm President Dennis Smith mentioned. Permits had been steadily climbing this year, and Smith anticipated more than 700 last month.
The median sales value in August was $ 289,628, up 9 percent year-over-year.
Smith attributed the decline in permits to processing delays. Brokers, meanwhile, have told him that a lot of men and women are looking at houses but not biting, indicating “a wholesome dose of price tag resistance,” he said.
“The housing market continues to ‘ho-hum’ its way by way of 2014,” Smith wrote in the report. “The old two actions forward, 1 step back scenario appears to be embedded and it is quite hard to get rid of.”
New-home sales have plunged this year as would-be buyers, saddled with credit woes, flat wages and sticker shock, can not pay the higher listing rates.
The market slowdown has been far greater locally than nationally.
Southern Nevada builders sold about two,700 new houses in the first half of the year, down 25 percent from the identical period in 2013, according to Home Builders Research.
Nationwide, new-home sales slipped just four % in that time, federal data show.
As a outcome, at least some regional builders have slashed rates lately, offered purchasers a lot more perks and boosted agents’ sales commissions, so they’d steer clients to building internet sites.