Las Vegas - A Buyer's Market - REALLY??

We've been trying to acquire investment property in Las Vegas for a client for a while. Reading the press about the real estate market in Las Vegas, we expected our purchase to be a walk in the park, a piece of cake, like fishing in a barrel. After all, isn't Las Vegas one of the most hit markets in the nation? Foreclosure heaven? Well, we were wrong! We were VERY surprised to find out that the market has become VERY competitive recently. As of a few months ago, the same market has all but been pronounced yet, but now activity has gotten very brisk. Yes, the market is still dominated by what I call "distressed sales" (Foreclosures, Short Sales, REO Sales or Bankowned Properties). But there is a heck of competition for these distressed sales. A phenomenon many Californians still remember from the "good old days" is back: Multiple offers! We've written ~5 offers for the aforementioned clients over the last few weeks, and each time we've been beaten by other, higher offers. We're not trying to low ball. In some cases, we even offered more than the asking price. Many banks now set their asking price very low (ridiculously low in some cases) to attract multiple offers. Well, it's working! We still have to get an offer accepted. We realize that we have to be more aggressive (means: offer more!).

Here is why I'm not too unhappy with this situation: Multiple offers means more buyers being active in the market. Multiple offers also means price stabilization and eventually climbing prices. It also means inventory being absorbed at a faster rate. It means all the things you need for the market to turn around