Betting on Las Vegas’ Future
After over 3 years of economic downturn, a rough housing market and barely any tourists, could 2012 be the year that Vegas comes back? According to real estate analyst site Zillow, the Las Vegas Home Value Index is currently at $107,000 – down from a peak of $298,000 in 2006.
This past Friday, respected investor site Morningstar called a bottom in the housing market. “I believe the bottom in the housing market is definitely in. The main question from here is the pace of that improvement, not if there will be a recovery at all,” said Bob Johnson, Morningstar’s director of economic analysis.
Hotel prices in Las Vegas took a hit with the rest of the real estate market. While your home value crashed, Las Vegas hotels became as affordable as ever. Considering a stay at the MGM Grand Hotel & Casino? At $92 a night, you’ll have more money to spend at the poker table. The Tropicana, a classic hotel for those who love 50’s and 60’s nostalgia, also goes for $92 a night. The Mirage, another 4 star favorite, is $2 more at $94 a night.
If we step up to 5 star hotels, the deals are just as good. $109 a night for Trump International is a lot less than 4 years ago. The Signature at MGM Grand goes for a cool $135. Caesar’s Palace is well under $200 a night at $168. Another 5 star staple, The Bellagio, is a bargain at $179 a night.
If Morningstar and other real estate forecasters are right, the first quarter of 2012 is the bottom of the housing market. Prices for homes and hotels will only go up from here. Before you buy a home, maybe you want to think it over during a weekend in Vegas. There’s never been a better time to visit your favorite Vegas casinos!