Author: anthonylasvegas

Anyone buying real estate as an investment knows the type of rigorous financial analysis necessary to make sure that the individual investment property will be profitable for the duration of the holding period.  When running your numbers it is critical that the investor avoid underestimating expenses or a cash flow positive property could quickly become cash flow negative.  Most investors can determine the upfront costs and common expenses associated with buying a property pretty accurately but occasionally they miss some of the some hidden costs or expenses that can creep up after settlement.  This article will identify 4 hidden costs that can pop up after purchasing an investment that can have a profound effect on your bottom line.

1.) Rise in Condo/HOA Fee:

When you buy a property that is part of condominium association or home owners association (HOA) you will almost always pay a condominium fee or HOA fee that covers your share of the expenses for the comment elements of the property.  Sellers and associations are required to make financial disclosures to buyers with respect to the condo/HOA’s budget and the individual unit’s annual or monthly obligation so the buyer should be well informed as to what amount is due monthly, quarterly or annually.  What some buyers fail to understand is that condo/HOA fees increase over time as expenses like insurance and building staff salaries increase.  To be safe, research the property’s condo/HOA fee history to see what the average annual increase has been historically or budget a reasonable annual or biannual increase into your projections.

via 4 Hidden Costs That Can Sneak Up After Buying An Investment Property.

Mandarin Oriental Las Vegas Condos – 2012 Market Report

Mandarin Oriental sold 4 residences in 2012 with an average sale price of $1,837,250 and days on market of 130, and there are currently 18 condos on the market with $899,900 being the lowest priced condo currently available.

Mandarin Oriental condo rentals averaged $3,868 per month with an average of 53 days to find a tenant.

For Las Vegas Condo Investment data, please visit: http://www.mylvcondosales.com/investments/

 

Anthony Phillips

http://www.mylvcondosales.com

www.facebook.com/LasVegasCondos

Allure Las Vegas Condos – 2012 Market Report

Allure Las Vegas sold 53 residences in 2012 with an average sale price of $206,524 and days on market of 74, and there are currently 20 condos on the market with $155,000 being the lowest priced condo currently available.

Allure condo rentals averaged $1491 per month with an average of 51 days to find a tenant.

For Las Vegas Condo Investment data, please visit: http://www.mylvcondosales.com/investments/

 

Anthony Phillips

http://www.mylvcondosales.com

http://www.facebook.com/LasVegasCondos

MGM Resorts International is off to a flying start in 2013, filling all its hotel rooms for the International Consumer Electronics Show, anticipating a big burst of activity for the Year of the Snake and nailing down plans to put a half-billion dollars in improvements into its Las Vegas properties.And, on top of that, executives learned early Wednesday that they had cleared another hurdle in the process to build a second resort in the world’s most lucrative gaming market, Macau.MGM Resorts CEO Jim Murren gave a mini-state of the company address to the state Gaming Control Board on Wednesday, telling regulators that improvements to Las Vegas properties are high on the company’s to-do list this year.

via Riding high, MGM Resorts eager to devote some TLC to its Las Vegas properties – VEGAS INC.

http://www.mylvcondosales.com/

 

The WordPress.com stats helper monkeys prepared a 2012 annual report for this blog.

Here’s an excerpt:

19,000 people fit into the new Barclays Center to see Jay-Z perform. This blog was viewed about 110,000 times in 2012. If it were a concert at the Barclays Center, it would take about 6 sold-out performances for that many people to see it.

Click here to see the complete report.

The Las Vegas housing market had a strong year in 2012 with increased sales and rising prices.Most of the deal flow was at the lower end of the market, where investors keep picking up cheap homes to rent out. The luxury-homes sector, while accounting for a small portion of overall sales, had a fair number of deals, as well.

via Posh pads: The priciest Las Vegas home sales of 2012 – VEGAS INC.

Las Vegas is expected to be among the 50 fastest-growing metropolitan areas over the next five years, according to a computer projection released today by Pitney Bowes Software.The city ranks 48th in percentage of anticipated growth and 23rd in the expected number of new households in Pitney Bowes’ first Metro Magnet Index report.The model, which examined trends in 384 U.S. metropolitan areas, forecasts slow, steady 1 percent annual growth for Las Vegas over the next five years, adding 33,500 households by 2017.The growth forecast for Las Vegas is comparable to Phoenix, which was one of the fastest-growing cities in the first decade of the 21st century. In terms of number of real households, Las Vegas is on par with projections for the Chicago and Nashville metropolitan areas.Pitney Bowes created the model as a way of helping businesses map future expansion plans.“Projected household growth is a critical indicator for the economic prospects of a specific geographic area, and this data can help real estate, retail and a range of other businesses, plan their growth strategy scientifically,” John O’Hara, president of Pitney Bowes, said in a statement.

via Las Vegas ranked in top 50 of fastest-growing metropolitan areas – VEGAS INC.

Here was a summary of forecasts for 2012. Right now it looks like new home sales will be around 370 thousand this year, and total starts around 770 thousand or so.  Tom Lawler, John Burns and David Crowe (NAHB) were all very close on New Home sales for 2012.  Lawler was the closest on housing starts.

The table below shows several forecasts for 2013. (several analysts were kind enough to share their forecasts – thanks!)

From Fannie Mae: Housing Forecast: November 2012

From NAHB: Housing and Interest Rate Forecast, 11/29/2012 (excel)

I haven’t worked up a forecast yet for 2013. I’ve heard there are some lot issues for some of the builders (not improved until 2014), and that might limit supply. In general I expect prices to increase around the rate of inflation, and to see another solid increase in 2013 for new home sales and housing starts.

via Calculated Risk: 2013 Housing Forecasts.

A New York investment firm has paid $119 million cash for more than 60 percent of the condos at CityCenter’s Veer Towers.

The bulk sale of 427 units to Ladder Capital, recorded Thursday in Clark County, means almost all the available inventory has been snapped up.

The 37-story luxury high rises on the Strip are 98 percent sold, developers said today. The 11 remaining units are all penthouses.

via Veer Towers virtually sold out with bulk sale of 427 units – VEGAS INC.