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Reno Housing Prices Fair According to New Report


The Global Insight National City house value report for the first quarter of this year says that the $251,500 median home price in Reno is 0.2 below what they consider absolute fair market value. Back in 2004 was the last time that home prices in Reno were considered to be at fair market value. In the spring of 2006 we were at the peak at 40% overvalued, and 2007 about 25% overvalued.

Bank owned properties are currently making up about 40% of the listings on the market in the Reno area and 66% of the homes going into escrow. Because of the number of short sales and foreclosures on the market I am seeing the median price continuing to go down for the next couple of months. Reno and Las Vegas were on this list in the bottom 50 of areas with the steepest declines. What goes up must come down.The median price has to go down so the sales will go up, once those two things happen we will have hit bottom and prices will start going back up. Buyers if you are still waiting for the bottom you will not know it until the prices start going back up.


David Hughes



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