According to the Las Vegas Review-Journal, Las Vegas is one of the best places to live in the U.S., especially for those looking for an affordable home. The city's real estate market has grown by a staggering 223.54% over the last decade. The market caters to the needs of both renters and buyers. Therefore, to decide whether you should buy or rent a home in Las Vegas, you need to understand the dynamics of the property market, particularly in relation to your housing needs.
There are pros and cons to both buying and renting in Las Vegas. Ultimately, the decision comes down to what is best for your individual situation.
If you are thinking of buying a home in Las Vegas, some of the advantages include building equity, having a fixed monthly payment, and potentially qualifying for a tax deduction. On the other hand, some of the drawbacks include a larger down payment, maintenance costs, and the potential for your home to decrease in value.
If you are thinking of renting in Las Vegas, some of the advantages include flexibility, lower monthly payments, and no maintenance costs. However, some of the disadvantages include not building equity, the possibility of your rent increasing, and you may have to move if your landlord decides to sell the property. Weigh the pros and cons carefully to decide what is best for you.
Reasons to Buy a Home in Las Vegas
Buying a house is a good option if you have plans to settle in a particular location for the long term. You can also buy a house but choose to lease it out. In other words, your investment goals also matter when it comes to buying or renting.
Reasons to buy a home in Las Vegas include:
• Affordable Homes
Las Vegas is among the top 30 most affordable places to buy a house in the U.S. The multiple housing developments that have been sprouting up in the city every year have significantly contributed to making the city affordable. Low property taxes and low mortgage rates have also contributed to affordable housing in Las Vegas. Moreover, the state of Nevada charges no income tax, which further reduces the cost of living.
• Strong Housing Market
Currently, the population of Las Vegas is growing by 1.23% annually, fueled by a positive net immigration rate. This has played a great role in the growth of the Las Vegas real estate market. Considering the lucrativeness of this market, it makes sense to buy a property for investment purposes here. Rents are also rising fast, and therefore, buying a home can help you hedge against inflation.
• Settle Down
If you want to permanently settle in Las Vegas with your loved ones, buying a house would be the ideal option. Las Vegas is one of the best retirement destinations since the state does not charge taxes on pension benefits. Although the city has established its reputation as a go-to vacation destination, it is also an incredible place to settle for families due to affordable housing and several family-friendly neighborhoods. It also gives you access to spacious houses that are perfect for families. Additionally, buying a house gives you the freedom to customize it according to your liking.
• Become Part of the Community
The average American moves residences about 12 times in their lifetime for various reasons. Any time a person moves, they risk losing touch with friends and communities. When moving to a new place, you likely want to make new friends and build a community for yourself, and buying a house makes it easier for you to achieve this, particularly because it enables you to settle for a longer time. This is unlike renting, which makes you open to moving at any desirable time, making it difficult for you to become a permanent member of any community.
Why Rent a Home in Las Vegas?
Depending on your situation and preference, renting may also be a better option than buying a house in Las Vegas. Keeping this in mind, you can also consider renting for the following reasons:
• Familiarize Yourself
At least 40 million Americans move every year, with housing being the key reason for this movement. Some people also move just to change the environment and experience new things. This means that before deciding to settle in a particular area in Las Vegas, you should first explore several neighborhoods. This is important because each neighborhood offers specific benefits that you may want to experience in the long term. As such, rent first as you compare neighborhoods before settling on a perfect location.
• Save Costs
In general, renting a house is cheaper as it comes with fewer living expenses. For instance, since rented houses are mostly smaller, utility bills will also be lower. Also, renting allows you to share some costs with your landlord, including insurance, repair, and maintenance. Rent insurance is, for example, cheaper than home insurance, helping you save on expenses.
• Unstable Economy
The COVID-19 pandemic destabilized the economy in Las Vegas. For instance, as of September 2021, 7.4% of the city's workforce was unemployed. Therefore, if you're moving to Vegas to look for work or start a business, then you should consider renting as you wait for the economy to stabilize and create more income opportunities. Moreover, different parts of the city develop at varying paces, and therefore, you may want to rent first as you compare the economic growth rates of various locations. This way, you will have a high chance of identifying and settling in a prime neighborhood.
• Access to Additional Amenities
Unlike buying, renting allows you to explore different areas and access more facilities and amenities. For instance, by renting a condo, you can have access to community-managed amenities such as pools, gardens, recreational centers, and gyms, things that may be difficult to find if you bought a house. Therefore, if access to more facilities is all you want, then consider renting until you find the perfect spot to buy a house.
To determine whether to buy or rent a property in Las Vegas, you should consider both your housing needs and the property market dynamics. Contact our experts to learn more about buying or renting a home in Las Vegas.
LOOKING TO SELL?
For sellers, what a great time to sell! Inventory is low and motivated buyers are looking for houses for sale. Sellers don't have competition with as many property owners. Some would be sellers have decided to wait out the pandemic, but more and more buyers enter the market. This only further pushes the pricing point higher due to tight supply. Check your home's value here! or CONTACT ME HERE FOR MORE INFORMATION!
LOOKING TO BUY?
For buyers, the inventory is slowly increasing and mortgage rates are at historic all-time lows, record-breaking never seen before lows. Buyers are out in force taking full advantage of their higher than usual purchasing power. It is a win-win scenario for both sellers and buyers. CONTACT ME HERE to get started!