How The Election Might Impact Las Vegas Real Estate As previously stated, the Las Vegas luxury real estate market's health is primarily impacted by the in-state supply of housing, price to rent ratios, and out of state variables, including tax rates, quality of life, and advances in technology allowing people to telecommute/work from home. Unfortunately, now, power blackouts, wildfires, air quality, and a reduction of home insurance options relative to fire-related events are accelerating the desire to vacate California. As of October 30, 2020, there are only 304 homes for sale in Las Vegas Metro Area, priced at $1.5m or more. We believe this is insufficient as 691,000 California residents vacated the State in full-year 2019. Many seek to reside in guard-gated golf communities such as: The Ridges, Red Rock Country Club, MacDonald Highlands. Alternative options are Las Vegas strip condominium projects, including: Veer Towers and The Residences at Waldorf Astoria. The following articles share stories based on these topics: Taxes California to Out Of State Marketplace Sellers: You May Owe Income Tax Too These 5 States Would Have The Highest Marginal Tax Rate (C.A., NJ, OR, HI, and M.N.) California Would Have The Highest Marginal State And Local Tax Rate, At 62.64%, View A Number Of Tax Rates, Ranks, And Measures Detailing Nevada's Income Tax California Proposes Another Reason For Corporations To Move TAnother State Property Investment ROI | Regulations SF: Homes priced at $601,362 homes achieve $1000/monthly rental rates. (Price/Rent Ratio 53.01) LA (Price/Rent Ratio 38.58) Las Vegas, offers homes at $600,000 whcih can achieve up to $3500/month depending on interior finishes.
Overview of Landlord-Tenant Laws in California California Law Limits Increases Of Rent To 5% Each Year Plus Inflation. S.F. Rent Prices Plunge As Much As 31% — Steepest Decline In U.S., New Report Says Relocation 691,000 People Moved Out Of California Last Year. Here's Where They Went Benefits of Starting a Business in (or Relocating to) Nevada Quality Of Life Average Daily Commute Times:
- San Francisco 67.6 minutes
- Los Angeles 56.3 minutes
- Phoenix 45.3
- Las Vegas 25.4 minutes
San Francisco has an AQI of 57, which cautions residents to:
- “Keep windows closed to avoid dirty outdoor (fire smoke,) air and that sensitive groups should reduce outdoor exercise.”
- Las Vegas is omitted from the top 100 cities and has an air quality index of 19, and considered healthy.
- According to the American Lung Association’s recent “State of the Air 2019” report, California leads the charts. f
Wildfires | Weather Events
Although the election may have a marginal impact on Vegas real estate, I think Nevada will benefit from either candidate.
I shared previous concerns about the State mandated eviction moratorium and that the expiration on October 15th could result in a flood of non-performing investment properties coming to market; however, I have spoken to two of the largest process server/eviction companies, and one Principle stated that out of the 4,000 rentals which his clients own, only 150 evictions were requested and those may be re-rented vs. listed for sale.
The tsunami of for sale listings does not appear to be happening.