A Real Estate Investor's Perspective, Why Buy in Nevada vs California?
Nevada has been on the real estate investor’s radar for a long time and will stay there for a long time coming, as long as neighboring California’s market continues its wild ride up the property value scale. It’s ironic that the safer bet is in Nevada, the gambling Mecca of the world.
Real estate is the reason the Oakland Raiders will become the Las Vegas Raiders in March. The football team needed a new stadium, the NFL called foul on the city of Oakland’s plan for a new one, and signalled “no” to relocating to Los Angeles. Las Vegas’s well-financed proposal for a first class stadium got the green light and the Silver & Black locker room soon will be in the Silver state.
And you can bet that many diehard Raider fans will be cashing in their California real estate chips to move to Nevada. This is not the beginning of a trend but a continuation of one.
Certainly, real estate-rich Californians aren’t the only ones relocating to Las Vegas. Many are moving to the area so they can afford to buy their first home, and many others across the nation are moving there to take advantage of its not so secret boom.
Service industry and hospitality employment dominates Las Vegas. Generally speaking, these are low paying jobs, and while saving for a down payment people have to live somewhere. Rental properties offer a great investment opportunity. A one-bedroom, one -bath condominium in a complex offering high-end amenities such as gym, pool, sauna, and entertainment area can be found easily for about $100,000. The inventory also includes new construction homes.
In fact, new construction homes are plentiful. As one real estate professional put it, “anything older than 1990 is considered an antique.” And that is the siren call for flippers or wanna be flippers, who may be surprised to learn that HGTV programs aren’t necessarily “reality shows.” Still, buying the lowest priced house on the block and flipping it is an excellent way to start real estate investing.
The endless migration to Nevada has created a commercial boom, as well. After all, people need to buy groceries, clothing, have furniture, go to a barber, take their children to dance class, catch a movie, and buy birthday presents, just to name a few errands of life. If you have ever thought of developing a strip mall, the Las Vegas area may be the perfect spot. Or you could look into a REIT (real estate investment trust), which is a company that owns and typically operates income producing real estate. Office parks and apartment buildings are two examples of REITs.
Are you more interested in learning about buying home in Nevada for personal use? If so, you’ll want to read Nevada or California — Where should first-time homebuyers roll the dice?
Is there a real estate- or relocation-related topic you would like to discuss in this blog? Let us know at info@raidersrelocators.com. We look forward to hearing from you.
