Las Vegas Valley home prices rose 48% since 2020

Las Vegas Valley home prices have seen significant increases since the pandemic began in March 2020. A report from Zillow reveals that home prices have gone up by 48%, rising from an average of $287,517 to $425,474 by January 2025. The demand for homes in Las Vegas surged during the early pandemic, making it one of the most competitive real estate markets in the country. This trend was partly due to the area's affordable housing and warm climate. However, rising mortgage rates in 2022 caused buyer demand to decrease, leading to a slowdown in home price growth. Currently, the market is more balanced, although it is tougher for buyers than it was five years ago. There has also been a noticeable change in million-dollar homes, with the number tripling from 2020 to now. At the same time, the size of these homes has decreased, with the average square footage dropping from 4,107 to 3,362. Rent prices in the Valley have also risen, climbing nearly 36% since the start of the pandemic, which is higher than the national average. Despite the increases, many higher-earning residents in Las Vegas still find rents relatively affordable. Another report shows that Las Vegas has one of the highest rates of pending home deals falling through in the country. Since the pandemic began, new single-family home permits have also surged, with nearly 52,000 issued from January 2020 to November 2024.