Due to the housing bubble that created astronomical housing prices across the country, the rate of foreclosures is near an all-time high. Like other cities in the southwestern United States, Las Vegas, Nevada has been hit by especially hard by falling housing prices and foreclosures.
In the city of Las Vegas, one in every 93 homes received a foreclosure notice in February 2010. Some of the more densely populated zip codes in the city have been affected even more severely. In zip code 89139, 224 households received a foreclosure notice in February 2010. This is a rate of 1 in every 4 households. In zip code 89148, one in every 3 homes received a foreclosure notice in February 2010.
The main reason for the high rate of foreclosures in the Las Vegas market could be the fact that housing prices are just a fraction of what they were a few years ago. Like many other cities, the prices of real estate in Las Vegas swelled dramatically in 2004 through 2006. Towards the end of 2006, the housing prices reached their maximum point when they hovered around $300,000. Since that point, housing prices in Las Vegas have fallen off considerably with the median price now somewhere below $150,000.
While housing prices have fallen off all over the city, prices appear to have stabilized. For the past few quarters, the median sales price has remained relatively stable. Also, because of the large amount of people seeking a deal, the volume of sales is Las Vegas is at its highest point in over two years.