The Las Vegas Valley is experiencing the highest year-over-year increase in the number of homes for sale among major metropolitan areas in the United States, according to a new study by Zillow.
As of the end of May, approximately 12,620 homes across various types are listed for sale, marking a staggering 50.2 percent rise since May of last year.
This growth in inventory has surpassed all other large metro regions in the nation.
The Zillow study also highlights a general trend in the housing market, with home values declining in 22 of the 50 largest U.S. cities over the past year.
In addition, around 26 percent of home listings across the country have seen price reductions.
Mike Roland, a Realtor and founder of The Roland Team in Henderson, observed firsthand the increasing inventory in Las Vegas, estimating it to have surged by approximately 60 percent compared to the same time last year.
He noted that while online interest in homes remains robust—evidenced by numerous saves and favorites—potential buyers are hesitant to take the next step to schedule in-person tours.
He added, “Even well-priced homes, some listed at or below recent comparable sales, are seeing little to no activity. Unless a home is priced extremely aggressively or stands out as the best on the block, it’s not generating much traction.”
Despite the slowdown in market activity, Roland mentioned that homes are still selling, albeit at a much slower pace than what has been customary in recent years.
Zillow’s analysis shows that the average price for a home in the Las Vegas Valley currently sits at $438,477, which reflects a modest increase of 1.6 percent year-over-year.
In comparison to national figures, 31 percent of listings in the valley have undergone price cuts, significantly surpassing the national average of 25.8 percent.
Furthermore, the region has experienced a 10.5 percent drop in newly pending listings, contrasting sharply with the national figure of just 0.9 percent.
In terms of financial implications, the typical mortgage payment for a home in the valley amounts to approximately $2,857, which is notably higher than the national average of $2,388.
On the rental front, the average rent for a single-family home in the valley is reported to be $2,260, just shy of the national average, which stands at $2,296.
The trend is also evident in the condo and townhouse market, as Southern Nevada experiences a rise in prices according to the latest data from Las Vegas Realtors.
The median price for condos and townhomes sold in May was $307,000, reflecting a 1.4 percent increase from April and a 4.1 percent rise compared to May of the previous year.
However, sales of condos and townhouses in Southern Nevada reached only 559 in May, which was a 2.8 percent increase from April but represented a 19 percent decline from May of last year.
Kara Ng, a senior economist for Zillow, pointed out several factors currently influencing the market.
She noted a notable shift toward renting, particularly among individuals looking for their first starter home.
Ng explained that economic uncertainty stemming from President Donald Trump’s administration’s trade tariffs has contributed to slower-than-expected newly pending sales, with a reported 2.5 percent decrease from the previous year in April.
Although concerns surrounding tariffs have eased somewhat and the stock market showed signs of recovery in April, the dynamics of the housing market appear to be shifting toward favoring buyers.
“Homebuyers today have a few factors in their favor: Rates are lower than last year, they have more homes to choose from, and sellers are cutting prices at record rates,” Ng stated.
However, the challenges remain, primarily in terms of accumulating a sufficient down payment and identifying homes within their financial reach.
Many families attempting to upsize are finding that renting a starter home may be a more affordable option compared to purchasing one.
image source from：reviewjournal
