The median home price in Las Vegas has fallen from more than $300,000 in 2006 to about $180,000 in December 2008, according to the National Association of Realtors. The Case-Shiller home price index; which dropped by 44 percent from the 2006 peak level also confirmed the NAR findings. For some properties however, the price decline have been almost 80 percent.



Large numbers of foreclosure properties in Las Vegas has put Nevada foreclosures among the top ten in ranks of state foreclosures in 2008 and in the first months of 2009, as compiled by RealtyTrac and other foreclosure tracking firms. As more and more people are laid off, more and more houses are being abandoned and turned into foreclosure properties.

The experiences and business activities of Jennifer Martin as a real estate agent in Las Vegas illustrate how foreclosure properties have affected the housing market in Las Vegas, like in other major cities in the country. While homeowners are losing their homes to foreclosures, investors and second-time homebuyers are capitalizing on the low home prices and low mortgage rates.

Martin uses a tour bus to bring prospective homebuyers around foreclosure properties that she previously scouted so that the bargain tour would be fruitful for buyers, who are mostly second-time homebuyers and investors from other countries such as Australia, Canada, England, Ireland, Mexico, Singapore and Italy.

Among the foreclosure properties she has recently shown are two-bedroom condos previously priced at $250,000 which are now priced between $55,000 to $75,000. Investors expect to earn profits from the foreclosed homes by spending some for repairs and then renting them out or selling them later as retirement homes.

Older foreclosure properties are also included in the tour to respond to requests from several investors looking for more home price discounts and who are prepared for making major repairs and replacements.

Investors, whether local or foreign, do not fail to see the contrast between the bargain-priced foreclosure properties and the still luxurious services and products being offered in the center of Las Vegas.

Nevertheless, the investors are looking forward to the day they will reap the fruits of their efforts in seeking, buying and improving foreclosure properties around the city.