Jwsale, Other/Just Looking in Summerlin, Las Vegas,...

What is the average discount sellers are making to close the deal on their home?

Asked by Jwsale, Summerlin, Las Vegas, NV Sun Jan 2, 2011

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There is no such thing as a seller discount in the Las Vegas market currently. Despite what you're hearing on the news, the Vegas market is very active. REOs or bank owned properties that are in good condition continue to get multiple offers, especially those priced at $300,000 and under. Short sales have a slightly better chance of a discount, but the seller's bank has the final say on what they're willing to accept as an offer for the property. And most traditional sales are investors who have recently bought properties at auction or by some other means, rehabbed the properties and then are reselling. The average amount of time a property is on the market is less than 60 days. And most sellers aren't willing to make concessions in such a short time frame. If the property has been on the market for at least 120 days, then you may get some minor concession. Even the builders are now selling many properties for $80 or less per square foot.
This is much less than it cost to build them.

So don't wait too long, or you'll be going I should have bought then.
1 vote Thank Flag Link Sun Jan 2, 2011
The discounts from asking price to sold price is information obtained from Equity Title based on the information from the Real Estate Board. reports. They break down listing and sales by area, and by price range. Did you know in September there were 1,111 SFR House SOLD selling below $99,999. That's why the median prices are dropping for Las Vegas, Almost 33% of the 3,242 SOLDs were below $99,999

DAVID COOPER Foreclosure Specialist with Since 1917 Realty.35 Years Experience Investing. For a Free List of Low Priced Bargain Homes in Good Areas with Cash Flow, GO TO http://www.lasvegaswinner.org or Call +1-7024997037
0 votes Thank Flag Link Sun Oct 30, 2011
Jwsale....Please note that I have answered your question. [below]
>>>>> http://lvrealestatelady.com/SnapShot_of_LV_Market.html

Also please note that my information/experience/insights are accurate as they relate to the Current "Las Vegas" Real Estate Market.

Should you or your friends/family have any Las Vegas real estate needs or questions, please feel free to contact me at anytime....
Thanks and have a great day!

Julia St. Marie, ABR, RRG, RSPS
Realty ONE Group
Certified REO Specialist
Direct: 702-355-H-O-M-E (4663)
Office: 702-898-0101
Email: LVRealEstateLady1@yahoo.com
Web: http://www.LVRealEstateLady.com
Video Newsletter: http://realtytimes.com/REUv/LVrealEstateLady
0 votes Thank Flag Link Sat Oct 29, 2011
I am looking ar research for Oct Sales that shows in area 102,40-402-403-405, the average asking price for the 2365 listed houses is $184,090 and the average CLOSED price for the 654 Sales was $130,246.

DAVID COOPER Foreclosure Specialist with Since 1917 Realty.35 Years Experience Investing. For a Free List of Low Priced Bargain Homes in Good Areas with Cash Flow, GO TO http://www.lasvegaswinner.org or Call +1-7024997037
0 votes Thank Flag Link Sat Oct 29, 2011
I bought my house in 2010. I went through a lot of agents before I bought my home. I would not listen to any of them. I wasted my time with low ball offers and passed up a lot of homes that I really really did like. Other people got the home, but not me. I wish I did this from the beginning because what I was doing was not working and very frustrating.

Sometimes it was a little embarassing. I got back rejections that were signed in big letters on the front page. REJECTED. That seller didn't even look past my low offer price on the first page!

I finally made a very reasonable offer and got my home. I'm happy because my home is worth all of it and it was still a great deal.
0 votes Thank Flag Link Wed Jan 5, 2011
The discount will depend upon the negotiating ability of the buyer's team. Investors routinely will get deeper discounts. There are plenty of ways to obtain a discount without even asking a seller to discount his/her price.

Knowledge is power.
0 votes Thank Flag Link Tue Jan 4, 2011
Here is a great resource for short sales. http://www.capitalonemitigation.com

Also Here is link to Wall Street Journal article in early 2010 about Short Sales: http://www.capitalonemitigation.com/index.php?option=com_con…

I hope this helps..
0 votes Thank Flag Link Tue Jan 4, 2011
Hello JWsale,

This question needs a little fleshing out to understand where you are coming from. For instance, are you referring to the discount from the peak values of 2006 and 2007? Or a discount from today's prices? Are you asking as a Buyer or a Seller?

So, let me try to answer from the different perspectives. If you are asking as a Seller asking this question, in this market it is almost academic since more than 80% of Las Vegas is upside down with regard to the value to debt ratio. Property values are down anywhere from 30% to 70% from their peak in 2006 and 2007. So, if you are selling, and you are under water on your loan, it almost doesn't matter if your discount is 30% or 70% from the peak. Whatever the discount, the only word for it is - brutal.

If you are asking as a Buyer or a Seller about the discount from today's incredibly low pricing, that number is within a few percentage points. If it is a Foreclosure, less. If it is a Short Sale, more. Because they are taking such a huge bath on these toxic loans, Banks are not discounting much (with a rare exception) from appraised values. If you are asking as a Buyer, if the property is in a desirable area or price range, you may see multiple offers within hours of hitting the market and the accepted price is going to be anywhere from 5% to 30% over list (more so with Foreclosures than Short Sales because of the time it takes to negotiate a Short Sale).

If you are a new investor to Vegas, experience tells me that you will have to lose 2 or 3 properties before you believe me on that one.

Bottom line is that most properties are priced according to the market and sell at or within a few points of that price. If they are overpriced, they are ignored until they drop into the market, and then the feeding frenzy begins.

Hope this helps.

Best of luck, and thanks for reading
0 votes Thank Flag Link Tue Jan 4, 2011
Hello Jwsale....
As most of Las Vegas MLS inventory is predominately REO and Short sales....Therefore; I will address your answer with focus on REO and Shortsale terms.

Answer: Banks/Sellers are not giving up or selling their equity on the properties in today's/current Las Vegas market.
What does this mean?
This means no discount off of today's/current FAIR market value. [Today's/current FMV is the 40-50-60-70% "discounted" from 2002, 2003, 2004, 2005 pricing]
Also with competing offers [yes all buyers want the "good ones"].....seller's concessions, for the most part, are not available as a seller's concession cuts into the seller's net.
Below please find a link of what a buyer can realistic expect in today's Las Vegas Market. [Actually it is quite awesome for the buyer].....open link below and you will see....
http://activerain.com/blogsview/2044127/snap-shot-of-the-cur…

If a buyer is realistic and fair---guess what -- buyer wins!!!!!!!!!!! [And does not waste time and effort]

Should you or your friends/family have any Las Vegas real estate needs or questions, please feel free to contact me at anytime....
Thanks and have a great day!

Julia St. Marie, ABR, RRG, RSPS
Realty ONE Group
Certified REO Specialist
Direct: 702-355-H-O-M-E (4663)
Office: 702-898-0101
Email: LVRealEstateLady1@yahoo.com
Web: http://www.LVRealEstateLady.com
Video Newsletter: http://realtytimes.com/REUv/LVrealEstateLady
0 votes Thank Flag Link Sun Jan 2, 2011
Great answer from Bill. To add on that, the average sale price to listing price in Summerlin over the past 12 months was 97.5% for single family homes. So on average sellers discounted 2.5% off the list price. It's also common to allow up to 3% towards the buyer's closing costs, but I don't have the data at hand to back that up.

It's also important to mention that averages mean little to nothing when you're negotiating on a specific property. When you look at average, you're including an 8.9 million dollar house that sold for 7 million, a $180k house that sold for $240k, a $200k home that was gutted and sold for $160k, etc... none of which have anything to do with the home you are either buying or selling.

Every deal is different and that's why the best agents will look carefully at all the details effecting your deal to give you the best possible angle in negotiations.
0 votes Thank Flag Link Sun Jan 2, 2011
JW,,

Sellers are not in the habit of discounting their properties. However, according to the latest statistics from the local association of Realtors, in 2010, the average sales price to listing price for single family homes was 99.11% (not including short sales); So. for a home that listed for $100K, the average sold price was $99,110.. Short sales only, was 99.96% or $99,960.

JW, depending on how long a property has been on the market, usually the closer your offer is the the listing price, the more you usually can ask from the seller. Example: Closing costs, home warranty, etc.

I hope this has helped in answering your question. If there is anything I can do to help you, feel free to contact me at any time.

Bill Smith
REALTOR®, ABR®, GRI® SFR SRS
Century 21 Aadvantage Gold
Cell: (702) 273-8705
Toll-Free FAX: (888) 217-1334
Bill@BillSmithLV.com
Web Reference: http://www.billsmithlv.com
0 votes Thank Flag Link Sun Jan 2, 2011
Discount sellers? It depends on what the mortgage amount, tax & insurance, vs. sells offer. Each home would stand alone No stat's would be available to answer your question (s)

Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
972-699-9111
http://www.lynn911.com
0 votes Thank Flag Link Sun Jan 2, 2011
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