Vivinavi

Las Vegas Housing Market Information (Nov ）)

Hello,

Finally, there is only one day left in this year. The mild winter in Las Vegas has been very mild, and the days have been so easy to spend that it is hard to feel the New Year's feeling.

Now, I would like to share with you the latest data on the Las Vegas real estate market. The median price for single-family homes for the week ending December 30 was $483,900, exceeding the all-time high of $482,000 set in May 2022. The median price for condominiums and townhouses was $301,250 in November, up 9.5% from $275,000 in the same month last year.

However, according to LVR （ Las Vegas Realtor¿), there were 5,570 single-family homes （ for sale with no offers at the end of November, up 28% ） from the previous year, and 1,856 condos and townhouses up 47.2% from the previous year ） reported. Although rising mortgage rates and home price appreciation have made properties unaffordable for many prospective buyers, the best priced properties are still attracting attention and selling quickly, while higher priced properties in poor condition tend to remain on the market. In the U.S., it is difficult to feel the end of the year as it is in Japan, but looking back to the year 2024, this year was a particularly significant turning point for the real estate industry. Notably, in March, the National Association of Realtors (NAR) reached a $418 million settlement in the Sitzer/Burnett class action lawsuit alleging that NAR's policies led to skyrocketing real estate commissions. The settlement was approved in federal court on November 26, 2024, and resulted in significant changes in real estate industry practices.

In the past, sellers were generally responsible for the buyer's broker's commission, but this was considered mandatory compensation and NAR eliminated the display of buyer broker compensation by seller's brokers in the Multiple Listing Services (MLS This change will increase transparency and competition in real estate transactions. The NAR's main purpose for this change is to increase transparency and competition in the real estate transaction. Real estate agents are now required to enter into a written contract with buyers prior to showing a property, which must clearly disclose compensation and indicate that it is negotiable.

This affects both buyers and sellers.

For buyers:
An Agent Agreement Buyer Broker Representation Agreement must be signed prior to viewing the property. Of course, the agreement can be cancelled afterwards and there are no major restrictions. However, there is an increased obligation to have the agreement in writing, and the buyer must sign the agreement at least once before being allowed to view the property.

For Sellers:
Although compensation to the buyer's broker is no longer mandatory in the MLS, the seller can still negotiate the terms of the buyer broker's compensation. In some cases, sellers are still responsible for the buyer's broker fee as before in search of a better buyer, and buyers can now ask for assistance with that fee in their offers, and sellers can negotiate for that fee in their offers.


We have heard that in Japan, it is still common for the buyer to pay the commission to the buyer's real estate. Considering such a practice, the system in the U.S. where the seller even pays the commission on the buyer's real estate may indeed seem strange. This revision in the U.S. was triggered by an objection that the seller bears the buyer's commission. The U.S. Department of Justice (DOJ （ Department of Justice) intervened in response to this issue, and as a result, the practice will be changed throughout the United States beginning in August 2024. If you feel strange, just say so and we may be able to give you hope.

Seeing such an uproar in the U.S. reminded me of the culture of deposit and key money required when signing a lease in Japan in the past. There was a time when it was commonplace to have to pay as much as four times the rent before moving in, and even require the signature and seal of a co-signer. I remember that one month's key money was paid to the landlord, but if this were done in the U.S., the rental business would not exist （ lol ）.
Perhaps such practices are changing now with the increase in foreigners.

Now, 2024 is coming to an end. I am truly happy that many people are saying that next year, 2025, will be the year that various businesses will come out of their dark tunnels and find new hope.

Thank you very much for your support this year. Please have a happy New Year ！.