LAS VEGAS (FOX5) – Last year was hot for the Las Vegas housing market.
A record breaking 50,000 homes were sold in valley throughout the year. Now, local real estate experts are weighing in on if 2022 will be just as busy.
“There was a lot of competition out there. A lot of home buyers looking to get into a home quickly,” said Hugo Organista, a first time buyer.
Organista said the process was stressful, and he’s not alone.
“You need to put in multiple offers, hoping that you’re the winner,” he said.
Brandon Roberts, president of Las Vegas Realtors, said many first time buyers are facing intense competition in their price range.
“They have to be patient and work with a realtor that is actively looking for them,” Roberts said.
He said he believes the market is going to cool down.
“I anticipate a rise in the interest rates, which will create an easing of the price increase,” he said.
He predicts that values will still go up, but not at the same rate as 2021.
“I think it helps us a lot because it protects us, or helps protect us, from a crash, so we don’t get over inflated, so I think it’s important that we have gradual increase price, rather than big gains.”
Although Roberts said he is not concerned about a crash, he expressed some concern that interest rates would rise too fast.
“I am concerned on how fast interest rates go up, and what that would do with our market in the slowing in the prices, which would create more inventory. More inventory with less demand would slow things up.”
If interest rates do rise at a gradual rate, it could ease competition and slowly bring up inventory, which is currently very low in the valley.
“We do have less than a one month's supply,” he said.