Elaine and James Hansen

Elaine and James Hansen
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Friday, December 14, 2018

The "Mother Load" of All Las Vegas Economic Statistics

The Las Vegas Global Economic Alliance has an Amazing Data Portal.
This Data Portal compiles Statistics on All Major Economic Indicators for all of Clark County.
Including Population, Labor, Unemployment, Incomes, Gaming Revenue, Tourism, Conventions, 
Housing, Airport Passengers,  and even the Number of Gallons of Gasoline Sold.
You can also Search and breakdown All of the Statistics by Township.
For people who like Statistics, this is the "Mother Load".
With all that said, I spent an hour looking at several stats and the Good News is,
almost every Economic Indicator is moving in a Positive Direction.
The few that were Down include; Existing and New Housing Closings,
Convention Attendance, Weekly Wages and Hours Worked.
Why Housing?
Rising Interest Rates and a Slowing Down from the Last 3 Years of Rapid Recovery.

https://www.lvgea.org/data-portal/regional-overview/

https://www.lvgea.org/data-portal/regional-overview/

Monday, October 8, 2018

Home Prices Dropping and the Market Slowing...

 Back in August we looked at these same graphs and asked,
If this is a Market Slow Down or a Seasonal Trend.
We can now see that there has definitely been a Slow Down and Home Prices are Dropping
The next question is now... Why?
 Could be a combination of any of several reasons.
Could be that anyone who has wanted to buy already has.
Or, Home prices have gone too High too Fast.  Maybe because it's an Election Year.
But probably the main reason is that Interest Rates are at a 7 Year High.
 High Interest Rates combined with Higher Home Prices 
lead to more Unaffordable Mortgage Payments.

I still think we will see the usual Rise in Prices this Spring as 
the Raider's start looking ahead to where they want to live in Las Vegas. 
Most likely in Henderson or Southern Highlands near the practice building.




Wednesday, September 5, 2018

Nevada's Population Growth leads to Higher Debt

Nevada sets another record, this time it's Fastest Growing Credit Card Debt.
Which is considered, "Bad Debt"
Home Loans, Car Loans and Education are considered Good Debt.
The article also goes on to say,
"Nevada’s booming population is likely the biggest contributing factor for this growth"
 The graph below shows a breakdown of ALL Debt over the last 15 years.
It interesting how much larger School Loan debt is compared to Car and Credit Card Loans.
 If you know anybody who needs some Good Debt, a House, we can help with that.








Thursday, August 23, 2018

A Strong Economy Leads to a Strong Housing Market and Consumer Spending

As always the most common question we get is,
"Can we sustain these Home Prices?"
Executives from Target, Wal-Mart, Home Depot, Macy's and Lowe's
All reference Strong Employment,  Rising Wages, Consumer Confidence
and the Economy for Boost in Consumer Spending.

As a Realtor, the fact that  Home Depot and Lowe's are doing so well,
tell us that Home Owners are Investing Money into their Homes.

Locally, the Unemployment Rate has fallen to 4.7% 
and Las Vegas has created 28,800 New Jobs in the last year.

https://www.recode.net/2018/8/22/17770348/target-walmart-home-depot-macro-economy-consumer-environment

https://www.recode.net/2018/8/22/17770348/target-walmart-home-depot-macro-economy-consumer-environment

https://www.gohansen.com/fine/real/estate/economy/custom/Economy

https://www.gohansen.com/fine/real/estate/economy/custom/Economy

Wednesday, August 8, 2018

A Market Slowing Down, a Crash or a Seasonal Trend

This week in the Las Vegas Review Journal the Headline said,
"Las Vegas Median Home Prices 'Slowing down' this Summer"
I also found a Headline from California and Washington State
both with similar comments about their local Real Estate Markets.
So what is happening ?    Is the market turning ?     I wish I knew !!!
On the Graph below, you can easily see that in the past 2 years,
there has been a seasonal trend that starts in August and ends in April.
 We wont know if this is a Seasonal Trend or a Cool Down until next April.
 FYI...  of the approx 11,360 Homes on the Market,
1,450 or 12% are Tenant Occupied and 5,225 or 45% are Vacant.





Wednesday, July 11, 2018

California to Limit Water Usage to 55 Gallons per Person per Day

A month or so back I saw a bunch of Social Media Headlines like the ones below.
"It's now against the law in California to shower and do laundry on the same day."
" The penalty of up to $1,000 per day for excessive water use."
I was curious. What is actually happening in California?
So I looked it up and here's what I found...

Senate Bill 606 and Assembly Bill 1668, signed into law by Governor Brown on 31 May 2018
 New water conservation legislation in California will mandate water districts and 
municipalities enact water conservation measures statewide starting in 2022.
Establishing an indoor, per person water use goal of 55 gallons per day until 2025, 
52.5 gallons from 2025 to 2030 and 50 gallons beginning in 2030.

55 Gallons per Day per Person
FYI...  An average shower uses about 17 gallons of water 
Most clothes washers use 15 to 30 gallons of water per load 
Most toilets use 5 gallons a flush. Newer ones use 1.25 gallons
Brushing your teeth with the water running uses about 4 gallons 
Washing your hands / face with the water running uses about 4 gallons 
Washing dishes with the water running uses about 15 gallons in 5 minutes
Do the math. Does this seem realistic? 
Will this push even more people from Cali to Las Vegas?
Time will tell...



Monday, June 25, 2018

Home Values going Up, Rents going Up... but Las Vegas is Still Affordable

 The Headlines below were recently in LVRJ
Rents are on the Rise and Bidding Wars on Apartment Complexes
In May alone, 5 major apartment complexes Sold for over $250 Million  
Why? The Smart Guys know that Rents in Las Vegas are going Up and Fast.
 Our booming Job Market has pushed Home Values to near Record Highs.
 The same Housing Shortage is Pushing Rental Prices.
Apartment Construction is also rising from 3,528 in 2016 to
4,146 in 2017 and they are expecting 6,321 Units this year.
The Average rent in Las Vegas is at $ 989
National Average rent is $1,318 making Las Vegas look affordable.









Thursday, May 31, 2018

Find Relief from High Taxes in Las Vegas

Below is an Interactive Map Tool from Redfin, that shows where people 
are looking to move and where people are coming from for 80 U.S. metros.
When I choose Las Vegas as the destination,  you can see the results below.
 I was curious, so I went to Google and searched, "Highest Taxed Cities"
Ironically, the lists look similar.

It is my belief that People are looking to relocate 
Out of High Tax areas to places with Lower Taxes and cost of living.
USA Today has Nevada ranked the #8 Lowest in Taxes.

http://www.gohansen.com/fine/real/estate/metromoves/custom/Metro_Moves

http://www.gohansen.com/fine/real/estate/metromoves/custom/Metro_Moveshttp://www.gohansen.com/fine/real/estate/metromoves/custom/Metro_Moves

Wednesday, May 2, 2018

Las Vegas is Growing Fast - what can slow it down?

Las Vegas is Growing, in Many Ways, and at an Astounding Pace.
 According to CoreLogic, (a leading property information and data-enabled provider)
over the past year, the Las Vegas Metropolitan Area is the #1 growing real estate market.
Forbes magazine has Las Vegas ranked 6 for Fastest Growing City,
with a Projected Job Growth for 2018 #1 in the Nation at 3.23%
So what's could slow us down?   Interest Rates...?
When Rates go up, Home Buyers payments go up. Making Homes less affordable.
Forcing Buyers to buy less expensive homes and slowing the market.

FORBES - America's Fastest-Growing Cities 2018


Tuesday, April 10, 2018

Las Vegas Projects Strengthen Our Economy

Below is a List of some of the Major Projects happening in the Las Vegas Valley.
All Net Resort-Arena Clark County commissioners approved in October 2017 the next phase of the arena, which would be located between The Drew and SLS on the Las Vegas Strip.  This is a project of businessman and former basketball player Jackie Robinson.  The complex would encompass a resort hotel, a retail and restaurant streetscape, and a multi-purpose indoor arena with a retractable roof.  The arena first broke ground in 2014 but a completion date is unknown.
 AREA 15 In January 2018, a new development called AREA 15 was announced. It will be located on 40 acres near Sirius Avenue and Rancho Drive. The space offers up to 126,000 square feet of customized tenant space for a specialty collection of experiential and retail businesses, 68,000 square feet of leasable ground floor space, 58,000 square feet of mezzanine space and a 40,000-square-foot indoor and outdoor event space. The space will include multiple areas, one of which is likened to comic books, another to science fiction film “Blade Runner” and a third to the apocalyptic “Mad Max” film series.  The project is expected to be complete by the end of 2019.
The Bend This is a retail, dining, and office project with a movie theater and is planned across the street from IKEA – near Sunset Road and Durango Drive. The southwest Las Vegas project, called The Bend.   Anchored by a 73,000 square-foot, 13-screen Galaxy Theaters, an early leasing brochure lists SkinnyFats joining Johnny Rockets as a casual dining options. Talks are currently underway with VegeNation, Pizza Rock, wine bar Bin 702, coffee roaster Vesta, and Henderson’s Great Greek Mediterranean.  There is also negotiations fort beer favorite Aces & Ales to build a full brewery and Lotus of Siam could also open at the complex. An opening date has not been announced.
 The Drew In February 2018, the unfinished Fontainebleau hotel got a new name -- The Drew. The hotel, which will be located at 2755 S. Las Vegas Blvd., is scheduled to open in 2020.  The Drew Las Vegas is located on the Las Vegas Strip on the 24.5-acre site previously occupied by the El Rancho Hotel and Casino and the Algiers Hotel.  It was intended to be a sister property to the well-known 1950s-era Fontainebleau Miami Beach hotel. Excluding the nearby Stratosphere observation tower, the Drew's 68-floor hotel building is the tallest building in Las Vegas and in the state.
 Extreme Sports Hotel/Casino The Clark County Commission has approved a land use permit for the construction of an extreme sports-themed hotel, casino, and amusement park. Slated to go on a plot of land on Las Vegas Boulevard just south of Mandalay Bay (next to the airport), the facility would include a 15-story hotel, a casino, indoor skydiving, a BMX style track, rock climbing towers, a bungee jump, ziplines, wakeboarding, surfing, and more. This was first proposed way back in 2013 but seems to have gained a least a little momentum recently.
 Fremont Street Experience renovation LVCVA approved a large-scale renovation to downtown Las Vegas. The $30 million project will completely renovate the Fremont Street Experience.  Approximately $9.5 million of that money will go into renovating the 1,500foot long video canopy attraction. This is the first time it'll be renovated in 14 years.  The city plans to add four-times the number of LED screens on the canopy, making it seven times brighter so that the video display can run 24-7.  The $30 million project will be split three ways between the LVCVA, the city, and the Fremont Street Experience.  The renovations will take place over 14 months.
 Kind Heaven at The LINQ Promenade will offer Southeast Asian culture, music, food, danger, fashion, exoticism, exploration, mystery and spiritual enlightenment. Featuring a soundscape curated by Perry Farrell (front man for Jane’s Addiction and creator of Lollapalooza), Kind Heaven will provide a variety of experiences, from dark and mysterious back alleys to a Forest Temple and Sanctuary. Ferrell describes Kind Heaven as an immersive entertainment complex. It doesn’t have chairs like a traditional theater. It will have stages within the complex for music and other types of entertainment, but you’re basically walking through a 90-minute show routed in mythology. When you’re within the complex, you’re free to roam around and discover hidden alleyways, visit nightclubs and eat from Hong Kong-style street food vendors. There will be improvisational actors, musicians, acrobats and comedians, combining elements of sensuality and espionage into an experience that will be a first of its kind.  Kind Heaven will be family friendly by day and adult at night. It is scheduled to open in 2019.
 Las Vegas Ballpark The Las Vegas 51s are finally getting a long-discussed 10,000-fan capacity stadium next to Downtown Summerlin. They broke ground on February 23rd.  The project, which will cost about $150 million — an estimated $90 million for the stadium itself — is expected to be ready for the start of the 2019 season.  The park sits next to City National Arena, the Golden Knights’ practice facility, and adjacent to Downtown Summerlin.
 Las Vegas Convention Center Expansion The Riviera implosion in 2016 led the way for the expansion of the Las Vegas Convention Center. The $860 million addition, and after renovations, the exhibition hall will be North America’s second-largest (top honors go to Chicago’s McCormick Place). This megaproject will proceed in phases. The first phase, the LVCC District Expansion, is expected to be finished by the end of 2020, while a subsequent renovation of the existing 3.2-millionsquare-foot convention center will wrap in 2023.
 MGM Convention Center Expansion A $130 Million may not sound like much money, but it’s what this expansion represents. Las Vegas is currently rated #1 in the USA for convention destinations and despite the mass amounts of current space available Las Vegas demands more. The number of convention delegates visiting Las Vegas has risen 41 percent since 2010 to top 6 million last year.  The expansion will be an extra 250,000 square feet, bringing this destination to a total of 850,000 square feet. To create a mental picture that would be like combining 6 large Costco buildings.
Monorail Extension The Las Vegas Monorail will extend the line from MGM Grand to Mandalay Bay. The plan is to have the track go over Tropicana Blvd., turn west and go over The Strip, go above the exiting tram line from Mandalay Bay to Excalibur and end at a station behind the Shoppes at Mandalay. There is no timetable set for the completion at this time.
 MSG Sphere (Madison Square Garden) This futuristic venue is scheduled to open in late 2020 on Sands Avenue between Manhattan Street and Koval Lane. The plans are to build a 360foot-tall, 500-foot-wide, 18,000-seat spherical arena.  A pedestrian bridge will connect the new venue to The Venetian and The Palazzo complex. A groundbreaking is set for June 2018. Clark County commissioners approved zoning and land use permits on Feb. 21. The arena will feature a programmable exterior with more than 36 miles of LED lights and a 250million-pixel interior screen with a 19,000 by 13,500 resolution, making it the largest, highest-definition screen on Earth, according to MSG. The venue will be able to host events ranging from immersive shows and esports to some live professional sports events.
 NFL Football Raiders Stadium This 62-acre stadium site that is the future home of the Raiders and the UNLV football team broke ground at its location near Russell Road and Dean Martin Drive in November 2017. It is projected to open in the summer of 2020.  The site cost $77.5 million to acquire. The Raiders will continue to play at in Oakland stadium through the 2019 season and are expected to move into their new stadium in Las Vegas for the 2020 NFL season. This Massive 65,000-seat stadium will be located adjacent to Interstate-15 and will be connected to the city’s expanding monorail system once it is built out to Mandalay Bay in the coming years.  The monorail will not only make it easy for Visitors to simply arrive at the stadium from the southern strip hotels. Las Vegas residents who own some of the Las Vegas high rise condos such as VEER, Mandarin, Panorama, Martin or MGM Signature condos already have the monorail outside their door.
 Project Neon Nearly two decades in the making, Project Neon is the largest public works project in Nevada history. Project NEON will widen 3.7 miles of Interstate 15 between Sahara Avenue and the “Spaghetti Bowl” interchange in downtown Las Vegas. It’s currently the busiest stretch of highway in Nevada with 300,000 vehicles daily, or one-tenth of the state population, seeing 25,000 lane changes an hour. Traffic through the corridor is expected to double by 2035.  It is projected to be complete in 2019
Resorts World was set to open in 2016 but had its opening date pushed back to 2020. The resort, which would cater to Chinese tourism, would be located at 3000 S. Las Vegas Boulevard. $7 Billion dollars, give or take a billion is the projected spend on this project.  This may be the largest and most massive resort casino to be constructed in Las Vegas history.  The completed 21,847,314-square-foot project will include 4 towers totaling 6,583 rooms with 175,000-square-foot casino. That’s a total of 15 mega Costco buildings all stuck together. This will include a 4,000-seat theater, retail, dining and convention space. The “extras” which can change during the development include a rooftop sky park and observation deck, Aquarium, Ice skating rink, Indoor water park and a Panda exhibit.
Symphony Park Las Vegas sold a five-acre parcel in the city-owned downtown Symphony Park for $4.25 million to SLC Development, Inc.  The Nashville-based company wants to build more than 300 residential apartments and 20,000square-feet of retail space across from the Smith Center for the Performing Arts.  Background:  Marked by two iconic anchors — a $550 million performing arts center campus and an $82.5 million private medical and research facility. This 61acre infill parcel in the heart of the city first came to life in 2009 with the opening of the Cleveland Clinic Lou Ruvo Center for Brain Health and the 2012 opening of The Smith Center for the Performing Arts.  Symphony Park is surrounded by the valley’s second largest employment center comprised of multiple downtown hotelcasinos; major entertainment attractions and museums that make up downtown’s vibrant tourist economy; Las Vegas Premium Outlets North, one of the country’s most successful outlet shopping malls; World Market Center Las Vegas, a five million-square-foot showcase for the home and hospitality contract furnishings industry; headquarters of Zappos.com; federal courthouses and multiple legal offices; office towers and more.
West Henderson Land Use The area referred to as West Henderson is mostly vacant land and is generally bound by Las Vegas Blvd. to the west, St. Rose Pkwy to the north, the master-planned communities of Seven Hills and Anthem to the east and Sloan Canyon to south.  The West Henderson project will facilitate diverse economic opportunities, generating a strong economic hub and increasing the city’s overall job-to-housing balance.  It will supply a range of highquality housing, a well-connected transportation and infrastructure, and a safe inter-connected system of parks, trails, and open spaces for education and recreation.
Wynn's Paradise Park was first announced in 2016. Construction is scheduled to ramp up in the spring 2018 and is expected to open in about three years. When complete, Paradise Park would have a lagoon, boardwalk, new convention space and food services. Wynn Resorts is considering $1.5 Billion investment to include a 1,000-room expansion at its Strip property centered around a 38-acre lagoon that would host water skiing, paddle boarding and parasailing by day and fireworks displays at night. This amazing dream is scheduled to be completed by 2020 at the same time as the Raiders stadium and Resorts World.