Las Vegas NowLas Vegas Housing Market Slump

Las Vegas Housing Market Slump

Some Southern Nevada homeowners will be paying attention when the Federal Reserve meets Tuesday.

Experts predict the feds will leave interest rates the same because of uncertainty over the economy's strength. That means homeowners who may be in over in their heads won't get any relief.

Emily Gunning has been a real estate agent for 20 years and she says she's never seen a market like this. "If you list a home whether you live in Henderson, Summerlin, Northwest, one-in-four that you will get your home sold, 75-percent that the listing will expire."

Gunning says she believes the market is in a downward slump and she says the current statistics are proof. "It's sickening that one-in-four homes currently listed are either a short sale or in pre-foreclosure status."

Gunning says these numbers do not include homes already owned by the bank.

"The creative loans have had a huge impact on the market that's why the lenders are in trouble right now. We've got investors trying to get rid of properties. We've got sellers trying to move and in both cases they are striking out," Gunning explained.

Commissioner Scott Bice, of the Nevada Division of Mortgage Lending, said, "All this easy money has fueled the boom. We've seen now the bloom is off the rose now. The market isn't as healthy as it's been."

Bice says while the industry is tightening the rules and requirement to obtain loans, people are still paying the price for decisions made in the past few years.

"It's the risk layering. It's the 100-percent financing. The teaser rate arm -- you can pay at a lower rate for a year that when it adjusts and you assume your property, is going up 5-percent a month."

Experts predict we will continue to see these signs for a while and there is no for sure timetable before it gets any better.

There are several bills being proposed during this legislative session to tighten up rules and requirements for people working in the mortgage and lending business in Nevada.

Email your comments to Anchor Colleen May.