Historically speaking, the ongoing housing boom is an anomaly. Over the past two years, U.S. home prices have soared 34.4%—including 19.8% over the past 12 months. For perspective, home prices have risen on average 4.6% per year since 1987. On Monday, Zillow published a paper declaring that we are not inching toward a housing bubble or crash. They also argue that housing bubble fears are actually making matters worse and could drive home prices even higher.“The expectation of another [housing] crash could contribute to keeping homes so unaffordable. Builders have been firing on all cylinders, and with more homes under construction than any time since 1973, they understandably feel exposed in the event of a housing downturn. If they trim their construction plans out of caution, we will miss out on one of the best hopes we have for net new inventory on the market, and the inventory crunch that’s helped push prices up will persist for longer than expected,” write the Zillow researchers. Simply put: Zillow researchers think if homebuilders reduce production out of housing crash fears, it could keep inventory levels suppressed. Of course, the lack of inventory has been among the major drivers of the ongoing housing boom. The fact that home shoppers far outnumber homes for sale gives buyers little choice but to engage in bidding wars.
Zillow just reported that in Sun City Mesquite, Nevada the average home in 2021 was $376,834. This year the average home price is $485,827. That is a mighty big increase in 1 year. Wow.
Mesquite 89027 Year over Year Increase and Next Years Forecast
Zillow jut reported the following average data that in the 89027 Zip Code Mesquite Nevada:
2020 Value $237,960
2021 Value $351,317
1 Year Forecast Zillow predicts a 23.7% increase in prices. Hard to imagine, but from the last 2 years, nothing is out of question.
Beazer Homes Gatherings at Shadow Crest Mesquite Nevada
Beazer Homes is showcasing a collection of single-family home designs in its Gatherings at Shadow Crest community in Mesquite. This gated community is home to the growing number of adults 55 and older, who are seeking a lower-maintenance lifestyle while enjoying the sophisticated features of a well-appointed new home. The age-restricted community is just minutes away from award-winning golf courses in a vibrant, multigenerational neighborhood. Homebuyers can choose from five one-story floor plans on spacious lots with living space ranging from 1,536 square feet to 2,736 square feet. Starting from the upper $300,000s, the floor plans offer two to four bedrooms, two to three baths and two- or three-car garages. “Our home buyers are drawn to Gatherings to join a community of neighbors in the same life stage, and to pursue a lower-maintenance lifestyle without compromising on home features that really matter,” said Kyle Tibbitts, president of the Las Vegas division of Beazer Homes. “Every Beazer Home is designed for Surprising Performance. With our experienced team and industry-leading processes, we’re building energy-efficient homes that outperform expectations and save homeowners money by reducing energy costs.” Included in the cost of each home is general landscape maintenance and Beazer’s unique Choice Plans offering. With Choice Plans, homebuyers can change the livability of primary living spaces like the kitchen and bathroom, ensuring the layout is perfect for their new chapter of life. Additionally, Beazer offers Mortgage Choice, a platform for buyers to easily compare multiple lenders and loan offers. Lenders compete for business, each offering outstanding customer service, diverse home loan programs and competitive rates. Customers save thousands and enjoy great service when lenders compete, and customers compare and choose the right mortgage for their needs. For more information contact Goody 801.915.2398
I just received the latest update from Zillow. In the Sun City Mesuite Zip Code (89034) the average home price was $371,311 last year. This year as of today the average home price in Sun City Mesuite is $467,889. WOW
January 9th, 2022 By Assorted Real Estate Experts Predictions
Will there be a housing market correction in 2022 after two years of 'hyper-growth'?
High-stakes bidding wars. All-cash offers. Limited supply. After two years of scorching growth in the U.S. housing market, will there be a cool-down and possibly a fall in sales and prices in 2022, along with a return to some normalcy?
Um, not exactly, several housing experts tell USA TODAY.
"Home sales are likely to be slightly lower in 2022 from the anticipated rise in mortgage rates. Home prices, meanwhile, will continue to rise due to the ongoing housing shortage even as demand is clipped a bit," said Lawrence Yun, chief economist with the National Association of Realtors (NAR), who oversees NAR's research group.
"After seeing such hyper-growth," said Andreis Bergeron, head of brokerage operations at Awning.com, a real estate tech company,"I don't think we will see a correction, maybe a slowdown."
Ryan McLaughlin, the CEO of the Northern Virginia Association of Realtors (NVAR), also does not expect a drop in prices. "I don't see any sort of crash in the near future. No way."
December 15th, 2021 By Chase Hansen Cherry Creek Mortgage
The Fed is holding the Federal Funds Rate steady at 0 to .25%
The Fed is holding the Federal Funds Rate steady at 0 to .25%.
The Fed's decision today doesn't directly affect mortgage rates, but the federal funds rate can influence other interest rates that affect borrowing costs.
What does this mean for home owners and home buyers?
Mortgage rates are still historically low, so home owners and home buyers could take advantage by:
Buying a new home
Refinancing to get a lower rate or eliminate mortgage insurance
Financing home renovations
Funding major expenses (like college tuition)
Consolidating debt*
Interested in learning more about the federal funds rate and the impact it can have on inflation, credit, and employment? Check out this quick explanation for more details.
Don't hesitate to reach out to me for a conversation about home financing - get in touch with me today!
November 16th, 2021 By Excerpt from Virgin Valley water
Water for Mesquite -Everybody's Business
The Western U.S. is in an extended period of drought. Lake Mead and Lake Powell
are at historically low levels. Yet development in southern Nevada is booming.
So it’s natural for us to be concerned about our water. Will we have enough here in
Mesquite? The answer is probably “Yes.” But we’re talking about water. It’s complicated.
Here’s what we know, according to the Virgin Valley Water District (VVWD):
• Mesquite relies on groundwater, not the Colorado River or its reservoir lakes.
Therefore our water supply is not affected by the widely-reported declines at Lake
Mead and Lake Powell.
• Mesquite’s residential water comes from a deep, high-production aquifer, identi
fied as Nevada Basin 222. The capacity of this aquifer has remained constant even
with the rapid development of recent decades.
• The aquifer is recharged by mountain snow pack in nearby Utah and Arizona. Pre
cipitation in the mountains has remained consistent over the years.
• The VVWD has state-permitted rights to 12,271 acre-feet of groundwater per year.
But since 2008, our water use has been steady at about 6,500 to 7,000 acre feet. Thus
the VVWD is currently using only about 60 percent of its permitted ground water.
• More important, water resources appear to be keeping up with growth. The aqui
fer’s water level is measured year-round by VVWD, both through its water pro
duction wells and also by 16 monitor wells. The water level and production po
tential of the aquifer have remained consistent.
• Finally, in addition to groundwater, the VVWD owns substantial surface water
rights from the Virgin River and mountain springs. So while those extensive sourc
es are not used now, they are available for the future.
So far, so good. But there are still lots of basics we don’t know:
We don’t really know how much water our valley is sitting on. The subsurface
geology and its effects on water movement are not well-understood. In addition, the
Virgin River contributes to subsurface water, but how much is unknown. This means
we don’t really know the maximum amount of water that could be taken sustainably
every year. And in turn, that means we can only guess how much growth can be
supported in the out-year decades. The VVWD’s Master Water Plan calculates that
Basin 222 groundwater will suffice until 2034. After that, river and spring water
will be needed. With total combined water resources on-line, plus conservation and
innovation, new demand might be supported late into the century, according to the
independently prepared Water Plan. But we need to know more.
What can be done to better understand Mesquite’s water potential?
1. This year, the VVWD is supporting a new review of existing data to update our
understanding of Basin 222 water.
2. The VVWD has also commissioned development of a computer model to use data
from its own wells and other information to better monitor the status and capacity
of groundwater sources. This work stems from updated tools developed by the U.S.
Geological Survey.
3. The state water engineer is also pleading for some $6 million to perform a 10-year
statewide, all-basins assessment of water resources in Nevada. The legislature has
so far failed to provide for such a study.
The bottom line?
In a presentation to the Mesquite City Council on September 28, Nevada Water
Resources Deputy Administrator Micheline Fairbank said Basin 222 is “sustainable
and stable,” with “no need for concern” for the near- and mid-term. Conservation is
still key. And so is knowledge development. In the world of water, the “unknowns”
still outweigh the “knowns.” We need to know more about the basics to predict
availability, and to use water ever more effectively.
September 22nd, 2021 By Chase Hansen with Cherry Creek Mortgage
The Fed announces rates will hold steady
The Fed announced the Federal Funds Rate will stay at 0 to .25%.
The Fed's decision today doesn't directly affect mortgage rates, but the federal funds rate can influence other interest rates that affect borrowing costs.
How does this affect home owners and home buyers? Today's mortgage rates are still historically low, which means it could be a great time to:
Buy a new home
Refinance to get a lower rate or eliminate mortgage insurance
Finance home renovations
Fund major expenses (like college tuition)
Consolidate debt*
Wondering how the federal funds rate ties to inflation, employment, and credit? Here is a quick explanation. Don't hesitate to reach out to me for a conversation about home financing - get in touch with me today!
This material is informational only and not an advertisement to extend credit as defined by TILA/Regulation Z nor an application for credit as defined by RESPA/Regulation X. All applications are subject to underwriting approval and determining applicant's ability to repay. Not all applicants are eligible for or qualify for all loan products offered. All loan programs, terms and conditions are subject to change without notice. Rates and terms are valid as of the date of printing/distribution.*Debt consolidation does not pay off the debt, please consult a financial advisorregarding the effect of consolidating short term debt into long-term debt.
September 11th, 2021 By Excerpt from Sun City Meeting with Kevin Brown Virgin Valley Water District
Mesquite Culinary Water In Good Shape
Virgin Valley Water Report – Kevin Brown, general manager of the Virgin Valley Water District, summarized the prospects for water availability in our area. The bottom line:
Water supply for Mesquite appears well-assured for the coming decades, even including rapid development.
Mesquite draws its water from a stable aquafer, not from rivers or lakes where decline of water has been in the news.
We use only about 60 percent of our allotted share of aquafer water, and our water conservation efforts are top-of-the-line. We rank close to Tucson Arizona which does very well conserving water. We still have not used our surface water allocations from the Virgin River and the Rights to Spring Water up on the Mountain.
One of the key takeaways was that VVWD has the SENIOR water rights for all of Basin 222. Nobody can steal our water.
Senior Right Holders usually prevail in court, in case Vegas comes for our water.
