Cash is King, once again. I know this is Las Vegas, and you were thinking that Elvis is the King. (Elvis is dead. No, really.) Cash is back - it's the new black.

I've never seen so many banks ready to take less money for cash offers. Of course cash is always preferred, but in today's market the discount for cash is greater than it was in the past. Don't get too excited - even cash buyers are most often paying list price or above lately. But buyers using OPM to buy their foreclosure property are finding they can't offer enough. OPM  is SO early 2009.

Before late April and the surge in offers, buyers using FHA or conventional financing were forced to offer quite a bit more than cash buyers to get an offer accepted. But with homes appraising low and banks forced to lower their price or put the REO back on the market, banks are salivating over cash offers which are generally not going to fall out of escrow over appraisal issues.

The big downside for Las Vegas residents is that so many of the homes are being bought up by out-of-state investors who really aren't invested in the community so much as the property. These aren't speculators that will bail out; these are investors who intend to buy and hold for the cash flow as well as future appreciation. But first-time homebuyers are struggling to buy at a time when homes are affordable again. I help my investor clients make money, but every once in awhile I enjoy a warm, fuzzy feeling when I can help a local family buy their first home.

Prices are remaining steady. Intuitively I think I'm seeing that REOs are coming on the market at slightly higher prices, but this is based on anecdotal information at this time. Don't be surprised to see that prices are rising very slightly.

Lots of new changes that I'll share with you soon. You'll have noticed some of these on the website already if you are a regular viewer. The feedback on the changes has been very positive, with many homebuyers raving about the newly automated Top 10 and the list of all Las Vegas bank-owned homes.

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