Interest Rates... What's Gonna Happen?

Another common question we get is...

"What is happening with Interest Rates?"

I have always felt like everybody in the Industry likes to advance the idea that 

Interest rates are always going to go up. 

This motivates Buyers that there is a sense of urgency, and they should "Buy Now".

The truth is, I have No Idea what is going to happen with Interest Rates.

I know there are factors that affect Rates.

But Nobody knows whats going to happen to them either.

Below is an example of a $250,000 Loan with Interest Rates of

4.5%  -  4%  - 3.5%  -  3% with 20% down for 15 Yrs

If Rates go up 1% it can change your monthly payment $144 a month or $1,728 a year.

PAST 12 MONTHS

PAST 40 YEARS

It's Geting HOT this Summer....

 Back to my favorite graph.

These graphs show the last 3 year price trends.

Most everyone I have talked to in the Real Estate Biz has said 

they thought the Market had "Leveled Off"

The question was, what was going to happen next?

We have all seen the Resurgence of New Construction throughout Town.

Tourism is on the Rise, and it is having a positive affect 

on our Economy and our Real Estate Market.

LAS VEGAS

HENDERSON

NORTH LAS VEGAS

Solar Panels are Heating Up - Buy - Lease - Or...

Solar Panels are The Hot New Trend!

As a Realtor I am concerned about what it will do to the Value of Our Homes.

If you can afford to Buy Panels, Great. Awesome Idea.

If you are Leasing the Panels, Proceed with Caution.

People are signing 20 year leases that attach to the home. Liens.

If you decide to Sell in 10 years, the New Buyer has to assume that Contract.

But what if the Cost of Panels drops in those 10 years?

Look at the first VCR's or Cellular Phones as examples of how 

Technology and Market Demand drive down Prices.

A Buyer might be Comparing Your Home with another that has either;

a Newer, Cheaper, or More Advance System.

Or a Home with No Contract attached to it at all.

We all want to do our part, just be cautious.

Q. Is it a good time to buy? Are Rates Good?

Some in Real Estate say,

It's All about Location, Location, Location...

Now people want to know if it's a good time to Buy based on whether or not the 

Market is going up or down or if Interest Rates are good.

It seems it's more like buying a Stock than a Home. 

Below you can a Historical Graph of Interest Rates.

Below that is a State by State Comparison of each States Equity Growth.

Nevada has had an Awesome Recovery over the past few years.

I wonder what Colorado and Washington have done to get their strong growth.

Las Vegas Housing Market Prices and Trends

Another Up Swing this Spring

Over the Last few months, whenever anybody would ask about the Market,

We said it had "flattened out".

Some thought this was a sign that the market was going to drop.

We maintained the Market still had a lot of room for recovery.

Over the last two months the market has Spring-ed into action.

Activity and Prices have both Jumped Up.

When you look around town, there are construction projects everywhere.

Within 5 miles of my home, I can think 5 new restaurants that recently opened.

These are positive signs and we are anticipating another year of strong equity growth.

Thanks Nevada Title and Chicago Title for Graphs and Data

Equity Growth Map by Zip Code - How did you do?

Last week the Las Vegas Review Journal had this Map on the front page.

This is always a fun one to look at.

But again, review with caution.

One or two Million dollar homes or a few Distressed Foreclosures can skew these numbers.

 It's better to look at the Valley as a whole. And generally speaking...

Las Vegas Metropolitan Area had a very good year of Equity Growth.

From 2012 -2013 we had close to 30% growth.

from 2013 -2014 it looks like close to 20% growth.

And my guess for this year is a more modest 10% Growth.