Mesquite Market

Mesquite Nevada homes for sale and local builders have a new head wind, Sun City Mesquite. They are celebrating one year in the market with the announcement of construction of 41 spec homes. They were on “Talking Real Estate” yesterday and said the average base price was in the mid $130 per square foot.

During their first year here in the Mesquite market they basically only did pre-sale homes. They are changing that approach, becoming more aggressive and building homes as standing inventory. Brand new homes, finished , ready to move in, being offered with great incentives, and below $150 per square foot.

Seller’s of existing homes are not going to be able, any longer to ignore this giant standing in their backyard. The Mesquite Nevada real estate market for homes has changed forever. I remember saying that on Radiomesquite.com the day they opened, June of 2007.

This new approach by Sun City Mesquite,for our little market is like having a thousand pound gorilla in the room with you. The Mesquite Nevada homes market for existing has been selling on average above $160, this year, above $170 last year , and above $180 the year before that.

For the Mesquite Nevada homes marketthis is more than just a real estate cycle down turn, it is a new market, new competition. Pulte/ Del Webb, Sun City Mesquite also said yesterday on “Talking Real Estate” that the newest Mesquite Nevada Golf course will be open at Sun City late 2009.

Sun City Mesquite will be building new home here for many years. Based on the fact that the average asking price for existing homes listed over the past thirty days was over $175 per square foot it seems Sun City Mesquite is going to continue to do very well, and the existing home owners will have to wait.

For more information about Mesquite Nevada Real Estate.

Chris W. Miller

ERA Brokers Consolidated

Mesquite NV  89027

702- 346-7200

435-862-5951

Mesquite Market

Nevada Farm and Ranch Land

Nevada Water Rights

Lincoln County Land Market

chris@mesquitemarket.com

If you say to a friend, “you better wear your boots and take an umbrella because it is raining outside and the weatherman says, it is going to rain for the next two days”, are you being negative?

I know, attitude is everything, PMA, lemons and lemonade, bloom where you are planted, etc.

Facts are still facts, and the consumers rely on us for information, I don’t believe HYPE is any where in the definition of information. They look to us for trends that we are in the unique position to see. If you know your market, and see the trends are headed in the wrong direction, do you just omit facts? Or do you tell the truth at the risk of being labeled negative, or a fear monger?

I for one will continue to speak the truth, good, bad or indifferent. I believe my clients deserve nothing less.

Chris W. Miller

ERA Brokers Consolidated

Mesquite NV  89027

702- 346-7200

435-862-5951

Mesquite Market

Nevada Farm and Ranch Land

Nevada Water Rights

Lincoln County Land Market

chris@mesquitemarket.com

Mesquite Nevada homes for sale will be less affected by new regulations in lending and underwriting than many markets. The City of Mesquite recently spent around $80,000 on a Buxton study, to be used as a tool be promote Mesquite Nevada commercial development.

The study points out that 65% of the locals are above 45 years old, and the three highest demographic categories are called “Conservative Classics, Affluent Empty Nesters, and Cautious Couples”. Virtually all came here from somewhere else, and as you might gather from the names, they are retirees.

While they are not immune to lender standards and rules, they tend, in general to have good credit and stable incomes. They can and do generally put 20% or more as a down payment. The more conservative nature of many of these folks leads to less leveraged debt and stronger net worth.

Mesquite Nevada real estate is being developed with the assistance of a very well thought-out master plan with current inventory estimates as high 14,000 vacant lots. It is laid out to be appealing and functional. The past speculative boom is creating a more affordable market as well. Home building competition will likely increase, providing a good supply and a competitive market balance for many years to come.

This supply and planning combined with the very desirable climate, proximity to many natural resources, lack of state income taxes, and Las Vegas will continue to draw the retiring baby boomer generation well into 2020.

As mortgage money becomes more difficult to borrow for many buyers, the crowd headed to play in the Sun Shine in Mesquite Nevada most likely will hardly notice the new regs.

Mesquite Nevada real estate might be the place for you. This great real estate environment does not, of course, change the fact that you still need an agent working for you, and you still need to know the recent sold comps and those prices per square foot.

Chris W. Miller

ERA Brokers Consolidated

Mesquite NV  89027

702- 346-7200

435-862-5951

Mesquite Market

Nevada Farm and Ranch Land

Nevada Water Rights

Lincoln County Land Market

chris@mesquitemarket.com

In recent years there has been a fundamental change on the supply side of vacant land in the Mesquite NV real estate market including whole subdivisions, commercial sites, and single family home building lots. Prior to the north side take downs, Mesquite had a very limited supply. Today with those take downs completed and the land now open to and owned by many speculators, the free market, supply and demand will dictate prices.

This week the City of Mesquite announced another proposed public land swap, which will eventually add to the existing supply side. Another 4900 acres. Combine this to the roughly 4000 acres, encompassing Pulte Del Webb/Sun City/Canyon Crest properties, and the Lincoln County land, 13,300 acres (Toquop Township) we will have some where in the neighborhood of 22,000 acres of develop-able land in the market. Clearing this market will require time and competitive prices. Mesquite NV builders took out 209 permits during the first six months of 2008 to build new homes.

Mesquite Nevada real estate is very unique in that we are surrounded by public land, which can and is sold off to meet future needs. The Toquop auction which involved 21 sections or approximately 13,300 acres of land was sold at public auction back about four years ago. They paid around 47 million and plan to develop as many as 40,000 housing units as well as much more commercially zoned competition. This property has a six mile border with the City of Mesquite to the North. The current city maps show at least six streets running into the property.

The past run up in prices was a combination of funny money being thrown at consumers, speculators, and mindless frenzy. It was also partially based on the very limited supply side of the land in the market. That has changed. Today we have a number of whole subdivisions going into foreclosure. Today, at least from my point of view, it is almost impossible to know how many years it will take absorb this supply. 

The absorption rate will depend on cost basis as it comes out of foreclosure and the prices of the final product offered to the consumers. In other words, lower new home prices, at the very least, a highly competitive new home sales market for years to come. This supply of new home sites at lower prices will likely translate into future challenges to existing home price appreciation.

The difference here is the unlimited supply of public lands, and the city government dealing in real estate.

Chris W. Miller

ERA Brokers Consolidated

Mesquite NV  89027

702- 346-7200

435-862-5951

Mesquite Market

Nevada Farm and Ranch Land

Nevada Water Rights

Lincoln County Land Market

chris@mesquitemarket.com

Mesquite Nevada foreclosure propertiesappear to be growing in numbers, last week I received a list from a local title company with 24 new notice of default filings. I was contacted by a property  manager this week, she wanted to know if I could give her a heads up in advance about which properties are going into foreclosure. She said they are having problems with tenants being given a week or less to move and no one gets any notice, including the property manager. She said the tenants are losing the rents they paid and the deposits they put up and given no choice but to vacate. Of course the property owners got notice, but they are not warning the manager or the tenant.

The property manager went on to say that in many of the cases she has seen recently these tenants did not have the means to make the move. First and last months rent, deposit, utility transfer costs and fees, cost of moving, etc.,  for many this was an unplanned and unmanageable expense. Many could not even get the time off work to move so suddenly. Then she explained that if they have pets or are smokers, or have too many vehicles or any number of other issues, she may or may NOT be able to find them a new home on such short notice. These are families who pay their bills on time, did not borrow any funny money, or speculate in the real estate market, minding their own business and yet they are caught in the foreclosure mess. More completely innocent casualties of the greed.

Another observation from an agents point of view about foreclosures, if it says foreclosure or bank owned, buyers seem to be lulled into some false sense of security that it must be a good deal. Cash buyers are really at the mercy of the agents and the banks, since no appraisal will be required. In some local neighborhoods we have bank owned properties getting far more attention than normal owner listings and it appears the only reason is that the sign says Bank Owned Property. They may not be a better value at all, especially when condition is taken into consideration.

Bank owned and foreclosure properties may or may not be a better value. Mesquite NV real estate market knowledge is the only way to really know for sure. You can get that from a qualified knowledgeable agent, or you have an independent appraisal done. To buy just because the bank owns it could prove to be a huge mistake. And from my point of view, we have seen enough dumb mistakes.

Finally this, I wrote an offer this week on a bank owned property in Mesquite, NV for a very savvy buyer. The bank came back and said OK we have three offers, who wants to offer the best bid? The buyer I am working with had the control and sense to know it may be time to back away. Banks NEED to sell these REO properties, they are motivated sellers, they would like to lure you in. They would love to draw you into a bidding war with a couple of other pre approved buyers.

Just because a bank owns it, does not assure you that it is a good value. Hire a qualified buyers agent to represent you, use a calculator for price per square foot to compare, and be patient. Do your best to keep your emotions out of the process and don’t be afraid to walk away. There are going to be plenty more for you to chose from in the months to come.

Chris W. Miller

ERA Brokers Consolidated

Mesquite NV  89027

702- 346-7200

435-862-5951

Mesquite Market

Nevada Farm and Ranch Land

Nevada Water Rights

Lincoln County Land Market

chris@mesquitemarket.com