[MadManofBethesda]

Originally Posted by lvoc

Prices continue to climb and volumes drops a little more. Now at price levels last seen in 2009.

Yeah, I guess that's a good news/bad news type of situation. I just got my 2013/2014 assessment notice in the mail and the taxable value of my property went up $60,386 from the previous year. That's the good news. The bad news is that I will be paying more in taxes next August.

[aardogfsu]

If I were to live out in henderson, mls 1068662 looks like a good deal. In the short sale game I've been waiting around 120 days to close on a condo that's been paying out $850 a month to the owner who is no longer paying their mortgage...and the tenant is happy and wants to stay indefinitely.

[007 license to sell]

As you can see sales and contingentcy properties seem to be level, still very high regarding the # of contingencies and short sales are slowly declining some maybe due to actual closings and other due to the mortgage debt relief act about to expire and those sellers may be preparing to do something else like bankruptcy to get out of paying taxes on that would've been forgiven in a bankruptcy or deed in lieu.

Las Vegas Real Estate Market Report: 12/12/12

This is the latest Las Vegas Real Estate Market Report for the week of December 12, 2012, data is obtained from the Greater Las Vegas Association of Realtors MLS.

Single Family Residence (SFR)
Available – 3,886 (+16, Last Week 3,870)
Under Contract – 11,657 (-36, Last Week 11,693)
Days of Supply – 10 (+0, Last Week 10)
Short Sales – 9,881 (-64, Last Week 9,945)

Condominiums and Town Homes (CONDO/TH)
Available – 874 (-2, Last Week 876)
Under Contract – 2,284 (-5, Last Week 2,289)
Days of Supply – 12 (+0, Last Week 12)
Short Sales – 2,012 (-20, Last Week 2,032)

Combined SFR + CONDO/TH
Available – 4,760 (+14, Last Week 4,746)
Under Contract – 13,941 (-41, Last Week 13,982)
Days of Supply – 11 (+0, Last Week 11)
Short Sales – 11,893 (-84, Last Week 11,977)

[Swigchow]

Originally Posted by MadManofBethesda

Yeah, I guess that's a good news/bad news type of situation. I just got my 2013/2014 assessment notice in the mail and the taxable value of my property went up $60,386 from the previous year. That's the good news. The bad news is that I will be paying more in taxes next August.

Yup, things are a changin' down there. Our place is up 32% over the last year.

[von949]

New incentives.





Posted from Nokia 8210

[007 license to sell]

If you were wondering what is happening with Veer towers in Las Vegas.
CityCenter announced today that they sold 427 residential units for $119 million for Veer Towers. The transaction is estimated an average sales price per square foot of $300. The selling price is below it's previous new construction asking prices for The Veer Towers.

Most investment firms like this one usually with their recently acquired units are held and leased to prospective tenants. I would think that the new owners time horizon may span three to five years (at a minimum), as opposed to a quick flip, similar to what the real-estate division of Starwood hotels did when they aquired Streamline now called the Ogden, and One las Vegas and Juhl.

Usually these types of investments take a longer-view strategy to provide stability for the two veer toweres , while they wait until the economy has recovered and can handle additional condo's for sale.

I wonder how this is going to effect the owners of units that were purchased before this sale. You know they paid allot more than $300.00 sq/ft . It will be interesting to see how this sale effects sales of other properties since those have been steadily rising in value already. But how will it effect the rental inventory is the bigger question. The Ogden lucked out with it's rentals when the owner of Zappo's rented 40 units for his staff that will be working down town at his new location.

Only time will tell I guess.

[MadManofBethesda]

Originally Posted by Swigchow

Yup, things are a changin' down there. Our place is up 32% over the last year.

Interesting that now that the LV market is on the rise again, all of the anti-housing trolls apparently have scurried back under their respective bridges.

[oomph]

I will try to add some insight into Internal Revenue Code (IRC) section 108. This is the code section which gives relief from forgiveness of debt income, which arises in foreclosures and short sales.

Here is a small part of the legalese:

a) Exclusion from gross income

(1) In general
Gross income does not include any amount which (but for this subsection) would be includible in gross income by reason of the discharge (in whole or in part) of indebtedness of the taxpayer if—
(A) the discharge occurs in a title 11 case,
(B) the discharge occurs when the taxpayer is insolvent,
(C) the indebtedness discharged is qualified farm indebtedness,
(D) in the case of a taxpayer other than a C corporation, the indebtedness discharged is qualified real property business indebtedness, or
(E) the indebtedness discharged is qualified principal residence indebtedness which is discharged before January 1, 2013.

The highlighted red part is the subsection under consideration.

My experience as a tax professional suggests many people who need this code section can not afford my help on this matter. They are in a life raft situation. I do this type of work at a deep discount frequently. Rare is the time I see someone approach me who is not hurting economically. This removes some of the choice from the ship is sinking what do we do-decision mix.

Further, this subsection has a delayed effect. If you short sale at the beginning of 2013, you can prolong having to deal with the consequences until October 15 2014, or 22 months. I would guess our politicians might do something about this in that time period.

[WestieJeff]

I suspect the govmint will eventually extend the tax exclusion here and retroactively include properties sold while the exclusion wasn't in effect.

However, it creates a problem in the meantime, if you're a seller and you close while the exclusion hasn't been extended then you're crossing your fingers that they will extend it. If they choose not to extend it, you've already closed, so you're stuck with a tax bill.

If I'm a seller, there are many factors to consider, but maybe I would cancel the deal and retry once the exclusion has been extended, so I know where I stand. These decisions aren't made in a vacuum though, they likely have impending foreclosure and the hassle of getting a short sale approved to consider as well.

I'm not sure though, I've heard many people say they would qualify as being "insolvent" even without the tax exclusion. Not sure what the IRS definition of insolvent is though.

Originally Posted by oomph

I will try to add some insight into Internal Revenue Code (IRC) section 108. This is the code section which gives relief from forgiveness of debt income, which arises in foreclosures and short sales.

[oomph]

WestieJeff, you look at the fair market value of what you own minus what you owe, at the time you are foreclosed on or the short sale closes. For example, if your only asset is a home underwater with a mortgage ($200k) and fair market value ($110k), then you are insolvent for $90k. if the debt forgiven is greater than $90k you have income for the difference. Under subsection 108 (e) you will notice the entire amount of debt forgiveness income is excluded.