Las Vegas leads the nation in bank owned foreclosures and for good reason. For many years, Las Vegas has been the fastest growing city in the nation. Investors have been buying homes here for years and when the economy went into the cellar, many walked away from homes that are now worth about half of what they were purchased for. Las Vegas Homes are considered to be one of the best values in the country and with the interest rates at record lows, the timing is perfect. This is a list of very common mistakes that buyers make when trying to purchase a home here. You probably have heard the expression “nothing worthwhile comes easy”. The Las Vegas real estate market is a good example.

• Unrealistic view of the availability of bank owned homes
Many of the clients we work with are under the impression that there are 1,000’s of properties that they will be able to choose from. When you narrow your search down to a price range and plug in all the amenities that you want, along with the area of town that you like, the choices are less than expected.

• The homes in Las Vegas are not selling so I’ll make low offers
The nicer homes in Las Vegas are selling and the really nice ones are getting multiple offers. About 50% of the offers are cash offers. Bank owned foreclosures continue to drive the market and are about 75% of the current sales.

• Don’t understand how to negotiate with the banks to get an offer accepted
You really do need help and should do your homework so you really know the value of the home. Just because a home is listed at a certain price, does not mean that is the value. Many of the foreclosures sell for more than the asking price and are well worth it.

• Get discouraged and give up when they make several offers and don’t get anything
Be patient and good things come to those that wait. Most of our clients do make several offers before they get the one they want. If it’s not meant to be, it’s not meant to be.

• Only look at the numbers and not the total picture
You have heard this many times, it’s all about location. Las Vegas is no exception. The city is very spread out and prices vary a lot. Spend some time researching the area you like. Go to the local shopping centers and restaurants and get a realistic feel.
Have fun, Las Vegas has a lot to offer.

When you do your Las Vegas home search, you need to know the difference.
A short sale means that the home has not gone into foreclosure but the bank that holds the note on the property is willing to take less than what is owed. The owner of the property has a limited amount of time to sell the home or short sale it before the bank would actually foreclose and take the property back. The main advantage to the seller or owner is that a foreclosure would not be on their credit report. The seller is not allowed to make any money on the short sale transaction. In order to compete against the bank owned homes, short sales are selling for similar low prices and can be great bargains. Have your realtor do a comparative market analyses to give you a good feel for what the property is worth. If the bank will agree to the short sale offer and your offer is below the comps, you just got a bargain. Short sales usually take much longer to get approved so if you need a home in the next 30 to 45 days, bank owned foreclosures may be your best bet. A bank owned foreclosure means that the home is now owned by a bank and you will be making your offer directly to them. The banks normally will respond to your offer in 3 to 5 days and of course, the best offer wins. My best advice to buyers is to not get greedy. Your offer needs to be appealing to the bank or they will reject it and wait for a better one. Here are some other tips that may help.

• Look at the total picture and not just the asking price. If the asking price seems very low, it may sell for more.
• Do not ask the banks to make any repairs. “As is” is the way they sell these.
• Use the banks title co. to do the transaction. Cooperation is the key.
• If the bank is not willing to include a home warranty, buy one yourself.
• Do a home inspection to verify the condition of the property.
• Make sure you have a due- diligence period in the contract.
• You may need to make several offers to get one accepted. Be patient.