Patrick wrote on March 26, 2008 09:00 PM: Homeless in Las Vegas is correct in my opinion. The "real" employment in Vegas, and the entire United States does NOT have the wages necessary to keep the population in its current lifestyle. Home prices along with utilities, gasoline, food, entertainment, insurance, etc..all needs to drop about 75%.

Money Trees grow in Fantasy Land wrote on March 26, 2008 04:51 PM: Homeless in LV- I suggest you move to LA. You will have it easier there. Did you know that Vegas prices are at the Natioal Average? Maybe you should move down South: Ala., Miss., etc.

homeless in Las Vegas wrote on March 26, 2008 12:59 PM: There was only one way for prices to be sustained at any level and that is the cost of living index. Either wages have to increase or housing prices must drop to encourage the influx of new residence to buy. It won't matter how many new resorts or developments open up within the next few years. If it is not financially feasable to live here, those new residents will either not come at all or they will choose to rent. Las Vegas wages do not support home ownership.

TimeRanger wrote on March 26, 2008 12:36 PM: Gee, you mean that prices are actually starting to reflect the actual value of the properties, instead of the bloated prices forced upon them by speculators??

Furious wrote on March 26, 2008 09:11 AM: To polyannas like Mr. Murphy, anything short of a speculative bubble is "doom and gloom." They're like junkies who aren't satisfied unless they're in the throes of an unsustainable rush. The "mindset" of 2004 wasn't the top of a real estate cycle. It was liquidity-induced mania, outside the bounds of any normal cycle. And, at the risk of sounding doom-and-gloom, the damage will take more than four years to undo.

wl wrote on March 26, 2008 08:54 AM: We're house-hunting. All reports are saying that prices are falling, yet many sellers aren't getting the news, or trying to ignore it.

There is an enormous number of homes for sale, 142 show up in our very tight search of the MLS, yesterday. The "asking" prices are in a huge range for similar houses. Dozens are foreclosures, and are starting to increase dramatically with plummeting sale prices. This is putting even more pressure on sellers.

There is no bottom in sight yet, and that's reality from our perspective. Those who bought at the top are seeing the "true" value of their homes cratering. I feel bad for them, but that's what's going on. Those who are trying to sell have no chance whatsoever until they find a price that's going to get it done, and from what we're seeing, that price is far, far below what anyone thinks.

Until credit becomes available--it's not at all at the moment--and the supply shrinks, the end is a long way off.

rg wrote on March 26, 2008 08:31 AM: For the short term (next 12 months or so), we can expect sales and home prices to be squeezed. However, consider this: Las Vegas, whether you love it or hate it, is the most favorite domestic tourist destinations but also ranks very high with the international community. With the demand for hotel rooms comes all the related supply sources such as food, medical, housing, etc. etc. What I believe will play a very important part relative to the housing slump in the next couple of years is the demand by foreigners, particularly, Asia and European buyers to cash in and purchase middle and high end hotels and condos at "bargain prices" We must also recongnize that this downward cycle is really a normal part of real estate capitalism which has happened many times in the last 40 years only to recover and reach new heights. Have patience and try very hard to hold on.