Why Invest in Nevada Estate?
When you hear the word Nevada, it typically evokes thoughts of Las Vegas, gambling and over-the-top exuberance. But, there’s much, much more to the Silver State than just gambling. It’s also home to one of the most dynamic real estate markets in the country.
In fact, Las Vegas, Nevada’s world-famous city known for its energy and flashiness, remains one of the premier real estate investment locations in the United States. This is largely attributed to tourism and convention traffic that regularly flows into the area. Leisure and tourism facilities are significant drivers of the Las Vegas real estate market, and play a significant role in influencing increasing property values.
Mining also represents a key component of Nevada’s economy. The state is the world’s fourth-largest producer of gold, and over 2000 businesses are connected to mining operations in some way, shape or form. As a result, mining companies are constantly hiring for new jobs, which is helping to fuel the influx of people looking for housing.
There’s also steady population growth, employment rates, and infrastructure development. As such, Nevada offers numerous options for real estate investors. From glorious penthouses and luxury condos to and single-family homes and beachside mansions, this state literally has it all.
Investment Considerations for Nevada Real Estate
- Strategic Location for Business– Nevada boasts central access to many major markets. It is located at the hub of the 11-state western region, which means it’s an ideal place for companies looking for cost-efficient access to major markets both locally and globally.
- No Personal or Corporate Income Tax – There is no personal state income tax for residents of Nevada, nor is there corporate income tax for businesses that are registered there. This helps to contribute to the generally low cost of living.
- Rising Home Sales– Total home sales, both new and existing, as well as median home prices, have been on an upward trajectory since the end of the recession in the late 2000s through mid-2018. This trend is expected to continue.
- Weather Disasters– The state of Iowa is prone to floods, many of which have caused agricultural and economic losses worth billions of dollars over the years. Besides direct damage to fields and roadways, floods have a cascading effect that often includes a decrease in property values in the affected areas.
- High Crime Rates– Crime is one of the biggest factors that undermine the Nevada real estate market. The state ranks amongst the worst in the United State for its crime rate. Property crime rate, for example, is about 8% higher than the national average. State officials attribute much of the crime to the high number of tourists who visit Las Vegas, Reno, and other gaming cities.
What are the Best Markets to Invest in Nevada?
While nearly 75% of the people living in the Silver State live in the Las Vegas region, there are several other great neighborhoods that real estate investors should consider, including Paradise, Henderson, Reno, and Carson City.
Getting Started in Real Estate Investing? HomeUnion® Can Help
HomeUnion® is the leader in residential real estate investment. With the use of big data and machine learning, we analyze information on millions of single family homes in Nevada; and across the United States and calculate home values RENTestimate for every property in Nevada. If you’re looking for the best investment properties across the country, visit our comprehensive investment site.