Investing in Las Vegas Real Estate
Bella Vegas Homes Realty is a full-service real estate company. Whether you’re looking to buy, sell or invest in Las Vegas real estate, our team of knowledgeable experts can help.
Looking to put your hard earned money to an investment but the stock market is too wild and interest earning savings are barely paying? Real Estate is a wise option for both long term growth and short term rental income. Where to buy, what condition and size of home, what kind of seller, and what type of property all depends on your risk acceptance and involvement you wish for your investment.
Most homes are sold by individual owners who live in their own home or investors looking to liquidly their portfolio. Short sales and foreclosures do rarely come up for sale but it is no longer the steal of a purchase like the market of 2009 – 2012.
A 3rd kind of seller that has been gaining popularity called the corporate flipper, will take low purchased properties, make cosmetic improvements similar to what one sees in an Ikea showcase, and sell the home for top dollar on the open market hopefully for profit. While beautiful looking, the corporate flipper has no knowledge of the history of the home and therefore cannot confidently complete a disclosure report of known issues. So the home flipped during the dry season may have many unknown issues that appear during our August monsoons.
Homes in HOA’s have some advantages for the investor. There are many horror stories of over zealous board of directors doing shady or immoral practices. But most board of directors just want to live in a peaceful beautiful neighborhood. They are the additional eyes and ears in your neighborhood that will let us know if the tenant is behaving disrespectfully to the home or if the home itself is in need of exterior repair. CAVEAT EMPTOR – Some HOA’s have rental restrictions that may or may not be enforced at the time of purchase. HOA’s can change their mind about enforcement. Do not trust any person’s word, even if you are purchasing a home with a tenant in place. Read the HOA resale package during your diligence period to make sure your home is a safe investment purchase.
There are four kinds of investment properties; Single Family Residential (SFR), Townhouse, Condominium, and Multi-Unit. For the investor, the home is a test of your budget and risk / reward desire. SFR’s typically have the lease Return on Investment (ROI) but also have the least amount of risk and lowest vacancy time. Condo’s usually attract tenants more likely to move leading to higher vacancies. With Condos and Townhouses, you have higher expenses in HOA dues when the property is vacant.
Multi-Unit properties are unique in many areas. They have low vacancy rates because they typically have the lowest rent rates in the Las Vegas Valley. Despite low rents, they offer the highest ROI. The risk in purchase is the typical building is 40 – 60 years old and with it, there is much deferred maintenance. Most Multi-Unit properties are 4-plexes. If you are an investor that also wants to live in your own building, thsi is an especially attractive purchase since a buyer can get an Owner-Occupied loan which offers better interest rates and a lower deposit (3.5% minimum).
We can help you locate rental opportunities. Please contact Jason at Jason@bellavegashomes.com or 702 203-2722 if you’ve found a property you like or wish for assistance in locating one. You can also view our current inventory of homes for sale.
Once a property is purchased, Bella Vegas Homes can make sure it’s ready for rental, find you the right renter and take the hassle and headache out of renting your investment property.