Category Archive : Real Estate

The Negotiation Process

The price may be right, and there is an enthused and qualified buyer, and an enthused and eager seller, but the deal falls apart. Why would this happen when all the right elements are in place? These situations can often occur, much to the frustration of all concerned.

There may be many possibilities to consider regarding what might have caused the collapse of the deal. Possibly a problem arose between seller, lender and buyer, such as an appraisal dispute, or a buyer’s -intentionally or unintentionally- undisclosed debt uncovered by the lender.

But, guess what? If there were no problems with the appraisal or issues between buyer and lender, then the real problem may have surfaced during negotiations between buyer and seller.

Negotiations between buyer and seller can most often be a sensitive process that often uncovers certain demands and refusals by either party that can lead to an impasse. In situations such as these, an experienced and knowledgeable Las Vegas Real Estate Agent’s people handling skills can very well be the key to solving the dispute.

A real estate agent’s success in his/her profession is dependent not only upon knowledge of the business, but equally based upon an understanding of human nature, and the ability to arbitrate disputes.

It has been said before, but an agent’s ability to foster an atmosphere of trust and cooperation between buyer and seller during the negotiation process is often the answer to resolving disputes and clearing the way to a successful closing.

Forging an understanding that neither party is going to get everything they want, and that some concessions must be made, or the buyer will not get the house he/she had wanted to buy, and the seller’s property will have to be put back on the market, can be a convincing argument for both parties, and can lead to the acceptance of a give and take attitude that is needed to close a deal.

Buyer and seller must be made to understand that a win-lose scenario in which only one party gets what they want can rarely work in a real estate deal, and a win-win situation in which each party is given options for mutual gain is the best route to take.

Fear, anger, distrust and anxiety are some of the negative emotions that might surface during the negotiations, and the Realtor must be alert to these feelings and help to dispel them.

The skilled real estate negotiator must first start with an understanding of his client’s real wants and needs. Wants and needs, for example, are not always “set in stone,” and the agent must assure both parties that a solution must be reached that is fair to both parties, and that would be the only way  differences can be  resolved.

Located off Rainbow Boulevard and the I215 Beltway, Coronado Ranch offers a number of neighborhoods of single family homes and townhomes with views of the Spring Mountains during the day and the Las Vegas Strip at night.  Home prices in this delightful master planned community currently range from $101,000 to $399,000.  The builders who contributed style and design to the community are Carinao Homes, American West, Astoria and Pacific Southwest Development.

• The Resort is a rental community of flats and townhomes with a 24/7 guard gated entrance.  Amenities include pool, spa, fitness center and concierge services.  Six floor plans offer units from 788 to 1,310 sq.ft. with rentals from $850 to $1,395 per month.  Apartment amenities include a fireplace, ceiling fans, 9 ft. ceilings, private balcony or patio and more.

• Paseo Homes range from 1,347 to 1,718 sq. ft. priced from $169,990 to $186,990.  This community offers an active, outdoor lifestyle geared to young families and singles.  Amenities include a front yard paseo, which is a place to gather and socialize with neighbors, several parks, three pools and four playgrounds with tot lots for the little ones.

• Heritage Homes, built in 2007/8, range from 1,165 to 1,853 sq. ft.  Floor plans include five single and two story homes with two to three bedrooms and a two car garage.  Some homes feature island kitchens, game rooms or a study.

• Pinnacle Peaks is a gated community built in 2004 with ten single and two story floor plans.  Homes were built with three car garages and up to six bedrooms and range in size from 1,800 to 5,400 square feet.  Some homes offer a basement and large lots ranging in size from 9,000 square feet to approximately 1/4 acre.

• Woodbridge homes range in size from approximately 3,435 to 4,770 square feet with four to six bedrooms and three car garages.  Built in 2007/8, homes offer two to three stories.  Some homes offer a library, elevator, dry bar, game room, fireplace, study, dual master suite and more.

Spanish Trails Real Estate

Spanish Trails is a luxury community located in the southwest section of Las Vegas close to Tropicana and Rainbow not far from the Strip.  Developed in the 1980’s,  Spanish Trails covers 640 acres with 1,252 homes in eleven different neighborhoods.

This master planned community was one of the first actual private guard gated golf communities in the Las Vegas Valley.  Visitors to this gorgeous enclave must pass through one of two elegant guard gates boasting waterfalls and palm trees.

Among the many amenities offered in Spanish Trails is a private 27 hole golf course designed by Robert Trent Jones, Jr. which is a visual delight for players with numerous lakes, streams and waterfalls as well as views of the mountains.  Spanish Trails also offers a tennis center, two pools and spas and a fitness center.

Residences on the golf course include town homes from $300,000, semi-custom homes from $500,000 and custom estate homes beginning at $1,000,000.

If you would like to take a tour of one of the many master planned communities in Las Vegas, feel free to give us a call at 702.376.0088.

As Las Vegas Real Estate Agents, we are all well aware of the pros and cons of the Home Valuation Code of Conduct (HVCC) and how this piece of legislation was initially intended to insure the purity of the home appraisal process and the integrity of all concerned.

Apparently, something went amiss during the drafting of HVCC, and in the confusion, and as a direct result of HVCC’s requirements, many seasoned home appraisal professionals have been leaving the industry, primarily due to regulations which have negatively impacted their income.

It’s not the intent of this article to microscopically analyze the problem with some of the legislative negatives inherent in this bill, since there are many articles, blogs, whatever, that have addressed, and are still addressing these issues.

Basically, this article is intended to offer an overview of the appraisal process to the first-time home buyer, and to point out how important the results of this process is to all concerned; buyer, lender and realtor.

• A professional appraiser is a person who has undergone a specific educational regimen which has trained that person to have the skills and knowledge to render an opinion as to the market value of a property.

• The appraiser’s written report as to the current market value of a property, is of primary importance in the decision making processes of the property owner, prospective buyer, and lender.  A negative report, for example, stating that the property is worth less than the asking price, would cause many reactions; the buyer or lender backing out of the deal, the Realtors loss of commissions, etc., Or a possible re-negotiation to lower the asking price to reflect the assessed market value.

• The appraiser’s report reflects many things that would positively or negatively impact the property purchase negotiations, such as the property’s overall condition, upscale or deteriorating neighborhood for example, number of homes in the neighborhood in decline, in foreclosure etc., or if the home is a showpiece in a neighborhood of lower priced homes, or a lesser type home in a neighborhood of more expensive homes.

Certainly, there are numerous factors that the assessor is trained to consider; however, it is important to understand that if the appraiser is unfamiliar with the area, the appraisal report could be faulty.

Under the rules established by the HVCC –which we are not going into in detail here – an appraiser not familiar with the area could be assigned to inspect a particular property on behalf of a lender, and the result may well be a flawed report.

Of course, the potential buyer could appoint an appraiser more familiar with the neighborhood in which the seller’s property is located, and if the buyer’s report, for example, differs with the lender’s appraisal report, the buyer, seller and lender could negotiate to save the deal, such as ordering a third report, and reach an agreeable compromise. The buyer and seller may agree to split the appraisal costs, etc.

However, until the issues that have encouraged experienced and competent appraisers to abandon their profession is resolved, appraisal headaches will apparently remain.

The Las Vegas Condo-Hotel Concept

The veritable explosion of high-rise condo construction in Las Vegas has not only dramatically altered the city’s skyline, but has considerably altered the lifestyle of many Las Vegans, and the repeat visitors to our city.

Prior to  the proliferation of hi-rise condos in Las Vegas, repeat visitors such as vacationers, businessmen and women, and high rollers would primarily check in at a hotel, motel or, depending on the reason and length of stay of the visit, rent a private home on a temporary basis.

The availability of conveniently located luxury condos convinced many of these repeat visitors that it would make economic sense to purchase a Las Vegas Condo home of their own, that in the long run would build equity, and be more cost-effective than renting a hotel room or suite and dining out for every meal.

Additionally, many investors were attracted by the offer of many of the big name luxury hotels such as the Ritz-Carlton, Sonesta, Starwood, Hilton, Trump, Four Seasons, etc. to purchase units (condo-hotel homes) that are part of the hotel structure, or luxury units built as adjacent structures to the hotel, such as Palm Towers, for example.

These condo hotels offer owners who plan to use their purchases as vacation homes, or use the condo intermittently on business trips, the opportunity to temporarily rent out their units when the owners are away.

Benefits are twofold.  The owner agrees to place the property into an organized rental program, saving the unit owner the trouble and expense of self-advertising, and rental revenue, shared with the rental program operator, allows a portion of the rental fees to be credited to the condo owner.

The operator of the rental program who shares rental fees with the owner, performs a number of services on behalf of the property, among which are marketing the unit to temporary renters as a hotel, maintains the property, supervising the front desk, overseeing housekeeping services, providing- concierge services, and food and beverage services.

Another attractive aspect of condo hotel ownership that has appealed to investors is that these units can be sold at anytime by the owner at his/her discretion.

The vacation home convenience and income potential of owning these units was an irresistible attraction to many investors who are frequent Las Vegas visitors, however, these purchases have proven just as vulnerable to the downturn in the nation’s economy as has the rest of the housing industry.

Additional information that a potential condo-hotel unit buyer should be aware of before considering this kind of investment will be covered in a follow up article, and will include such details as:

• Typical buyer/management agreements
• Guarantees –if any – offered to the buyer
• Analyzing the units for best location, amenities, etc.
• Key elements to look for when analyzing the profit potential of a condo-hotel purchase

Feel free to give us a call at 702.376.0088 with any questions about the Las Vegas High Rise Condo market.

Buying a Las Vegas Home isn’t just about price, it’s about finding a residence that best suits you and your family’s overall needs and lifestyle. But as far as price is concerned, there are both wide and narrow cost of purchase differences between owning a private home or a condominium.

For example, a single-family home versus a condo home; which would suit your needs best? As far as the cost of purchase is concerned, an older two bedroom single family home would generally be more expensive than an older, two bedroom condo, but buying a two bedroom condo in an upscale building could often be as costly as a modestly expensive single-family home. A luxurious condo in a prestigious building can easily cost as much as a luxury home in an equally prestigious residential community.

Single-family homes offer a much wider choice of floor plans and architectural styles; ranch-style, two-story, split level, etc. Locations can vary as well, such as a corner property or cul de sac.

Carrying groceries into an elevator is often much more of a chore than simply unloading your purchases from your car.

A Las Vegas single family home is a better choice for families with young children, since a back yard offers more space for children and pets to romp and play, and a neighborhood of young families means more opportunities for the kids to find new playmates.

Single family home neighborhoods are generally closer to schools, playgrounds and libraries. A single family home offers more privacy and fewer restrictions than a condo. Storage space is far more generous. If you are handy with tools, you may want a workshop in your garage, or be able to work on your car, something that would not be feasible in a condo home.

The appreciation factor of condos versus single-family homes could be a consideration if you are buying strictly as an investment. On the average, condo buying/selling prices are much more sensitive to market fluctuations, and more volatile than private residences. Condo prices can often either rise or fall dramatically.

That means if your timing is right, your buy low, sell high strategy could make you a fat profit. But if you get caught in a down market, you may have to sit on the property for a long time.

If you are buying a single-family home as a place for your children to grow up in, and a place in which you will have become emotionally invested, then the appreciation factor is of less concern.

So, the appreciation factor of a condo versus a private home should be a consideration, but should not be a primary reason for your purchase if you are looking for a place to call home, and not just as an investment. Purchasing a Las Vegas Home should be about affordability, and what is a best fit for you and your family’s needs.

What is a Master Planned Community?  Usually found in warmer climates, they are large communities of new homes typically at least 1,000 acres in size with development and construction governed by specified standards of design and restrictions of land use.  These communities offer recreational areas, golf courses  and parks as well as schools, restaurants and shopping within the community.  Clubhouses with pools and spas are part of the community package.

In a Master Planned Community, all of the amenities and conveniences are planned and included ahead of time and are often in place before homes are built.

To maintain the original master plan, builders are carefully selected with home designs continuously reviewed.  There are a number of smaller similar type communities or subdivisions existing within the Master Planned Community providing potential buyers with a choice of home styles and prices.

Las Vegas offers a number of Master Planned Communities catering to individuals and families of various ages and life styles – with “something for everyone”.

Canyon Gate

This luxury low-density community just west of the Strip boasts 320 acres with only 507 homes and features custom houses, luxury condos and upscale tract homes.   Long considered the “Jewel of Las Vegas”, this Master Planned Community is family friendly offering kids’ camps and kids’ nights.

Close to the Spring Mountains and Red Rock National Conservation Area, homes in Canyon Gate have spectacular views.

The 24 hour manned gatehouse assures privacy and security to the owners of homes ranging from the $500,000’s to over $5,000,000.

The Canyon Gate Country Club offers a magnificent golf course with a 160 acre fairway designed by Ted Robinson and provides traveling golfers privileges at 192 courses throughout the world.  In addition to golf, the country club offers a number of amenities including gourmet dining, tennis and a state of the art fitness center.

In order to join this exclusive country club, your initiation fee will be $32,000 with approximately $500 in monthly dues.

Some of the amenities in this secluded community include five lighted tennis courts, an outdoor Jacuzzi and two outdoor pools and an indoor wet steam room.

Desert Shores

This beautiful, picturesque and quiet Master Planned Community is unique in that it is built around five man-made lakes.  Residents can enjoy boating, fishing and swimming in these lovely lakes which are home to ducks and swans.

This community was built in 1988 and includes 22 different residential districts with 3,351 units on 682 acres and offers residents a community clubhouse, a large swimming pool surrounded with a sand beach in the style of a lagoon and paddle boating on the lake.

Homes are available in Desert Shores from compact condos and medium priced homes to huge homes in their own gated areas.  Some lakefront homes have small docks.  At this time, prices in this popular community vary from the $90’s to $1 million and more.

If you would like to take a tour of one of the many master planned communities in Las Vegas, feel free to give us a call at 702.376.0088 or reply below.

When you are ready to sell your Las Vegas Home, it should be presented in the best possible way.  Staging by a trained and certified professional home stager helps to prepare a home for sale by pointing out the need for making minor repairs, repainting if necessary and eliminating clutter as well as re-arranging furniture and adding decorative accessories.

You can hire a trained and certified professional home stager to do the work  – or do it yourself.

To get an idea of how your home should be staged, pay a visit to some Las Vegas Model Homes in new communities similar in price to your area.

The common theme of model homes offers neutral colors and a sense of being large, bright and cheerful with lots of space.  The furniture arrangement allows a great deal of room to walk around.  Green plants and baskets of fruit add welcoming touches.  Lights are left on in all rooms as well as in closets and the laundry room.

One of the reasons why visitors are able to imagine themselves living in a model home is the lack of personal touches such as family photos and collectibles.  Consequently, there is no personalization of an owner that needs to be overcome.

The next step in staging your home is to walk around your property including both the back as well as the front yard.  Make note of necessary outside maintenance  such as peeling paint or dying shrubs or plants and have these problems fixed.  Be sure the lawn is regularly watered and mowed.

Once your Las Vegas Home is listed for sale, the driveway and front entrance of your home should always be swept clean in case a potential buyer drives by to check out the neighborhood.  Bicycles, cars and trash cans should be kept in your now uncluttered garage for the same reason.

Since a potential buyer will have an immediate reaction to the curb appeal when arriving at your home, remember that similar to a first date or a job interview, you cannot make a second first impression.

Now is the time to clean out your kitchen cabinets and closets because you can be assured, visitors will open them and look inside.  For those pieces of furniture and items of clothing that you no longer want, this is the time to either have a garage sale or make a donation to charity.  If there are cherished personal possessions you want to keep and take with you to your new home, consider renting storage space for these objects you love.

If there are objects such as chandeliers that you do not want to sell along with the house, remove them and substitute the old ones (that you hopefully kept) so that you do not have to refuse to sell these objects to the potential buyer.

If you have pets, arrange to have them stay at a friend’s house when your home is being shown.  Be sure to remove litter boxes and doggie pillows and clean and spray so that there are no bad odors to turn off your visitors.

There are a number of issues in which a  Las Vegas Property Manager becomes involved when working with a Homeowners Association, issues that involve tact, people skills, communication and thorough knowledge of – in the State of Nevada – NRS 116 – Common Interest Ownership (Uniform Act).  The manager is often called upon to interpret different aspects of NRS 116 to guide the HOA Board of Directors in decision making or to suggest a consultation with the HOA attorney, if necessary.

One situation which frequently causes emotional reactions by homeowners in Las Vegas relates to xeriscaping of grass areas in front of condominium units.  While these areas are actually not owned by each individual homeowner and are considered common elements, those homeowners who prefer retaining the grass feel that a vote should be taken and no changes made without majority decision.

However, Homeowners’ Association Boards believe that planting drought tolerant landscaping saves money and that xeriscaping is strictly a Board decision.

In this matter, the property manager has to put aside his or her own personal preferences and either guide the Board to the appropriate section of NRS 116 or refer them to their attorney for a legal opinion.

The decision almost always causes one faction of the community to be resentful and the manager must help the Board to present the ruling to the homeowners in a tactful manner to avoid creating long lasting hostile feelings among dissenters.

Another often emotional issue relates to removal of one or more of the members of the Board of Directors.  This occurs when either an unpopular decision is made by the board in its entirety or if the actions of one or more officers are found to be offensive by a number of the homeowners in the community.

This is not an action to be taken lightly and requires a good deal of planning by the aggrieved homeowners who must obtain a specified number of signatures on a petition calling for a special meeting for a removal election.  Experts in Las Vegas Residential Property Management have stated that  recall of a board member is usually difficult.

The property manager is responsible for guiding the homeowners through the intricacies of a removal election.  In the latest 2009 update to NRS 116 Community Association information, it has now become easier to remove members of the executive board.

In order to remove a board member, if at least 35% of the voting members (homeowners) vote in favor of recall, then the board member or members are removed.  To be specific, if there are 100 voting members in a community and 35 of these individuals vote – with only 18 homeowners voting in favor of removal, then the recall process is successful.

Condominiums

Investing in Las Vegas condominiums is no different than any other real estate property investment. Knowledge of current market conditions, working with an experienced, knowledgeable Realtor, and having a real estate attorney and CPA on your team will certainly help to ensure that intelligent investment decisions will be made.

In the recent past, certain cities, such as Miami and Las Vegas, for example, experienced explosive growth in condominium construction, and condo homes were being sold as fast as they were being built, with even pre-construction units being quickly snapped up.

Current market conditions, particularly in these two cities, reflect an entirely different scenario. Despite a glut of willing buyers, and an equal glut of distressed condo units on the market, many selling at “bargain” prices, sales are not overwhelming, and the inventory of unsold units remains high.

Does that mean that investing in Las Vegas condo units as rental investment properties should be avoided, particularly during these difficult economic times? Certainly not! Many of these kinds of investments can still become profitable, if careful planning and forethought are the guidelines used before making a purchase commitment.

Forecasting the future of any investment is never a sure thing, particularly in a downside marketplace, with no firm indications as to when and to what degree an upturn will occur. However, investment knowledge and skills, backed by reliable advisers will certainly maximize the chances of an investor making the right choices.

Condos are still popular with young professionals and retirees, and offer many amenities not available to the average apartment dweller or single-family homeowner, such as workout rooms, spas, swimming pools (sometimes more than one), tennis courts, concierge services, secured parking, building and condo unit security systems, libraries, card rooms, a clubhouse, and, balconies, city,  or mountain views, and more.

Another big plus for many condo dwellers, is they do not have to deal with the many maintenance issues involved in single-family home ownership. Some condos are part of a mixed-use development complex, with retail shops and restaurants on the premises.

Investing in condo conversions, however, are unlikely to offer the same profit potential as complexes designed and built as condominiums. Condo conversions are simply apartment buildings, with units originally rented on a lease basis, and are now tenant owned.

Cosmetic changes, simply painting the premises and possibly landscaping the property may be the only upgrades from apartment complex to a condo conversion the owners are willing to make.

Chances are, the building is an older structure and may have expensive plumbing, electrical, heating, cooling and structural problems in the near future –or sooner.

Overall, although a condo investment may not realize the future value appreciation of a single-family home, they are normally less expensive an investment, and with careful investigation and planning, a good way to leverage your real estate investment dollars.

Nevada’s U.S. Attorney Daniel Bogden announced today the federal grand jury in Las Vegas indicted five people on mortgage fraud charges.  All five individuals were charged with conspiracy to commit bank fraud, mail fraud, wire fraud, (6) counts of bank fraud and criminal forfeiture.  Suzanne McAllister, an assistant escrow officer and notary at Lawyers Title, was one of the five indicted.

According to the Las Vegas Sun, The indictment lists 28 real property sales transactions involving 21 homes sold in Las Vegas between Aug. 25, 2005, and April 18, 2007. Seven of the homes were “flipped” or sold twice within short periods of time. A majority of the homes sold for more than $700,000, and the total value of the mortgages for the 28 transactions was $18.9 million.

If convicted, the defendants could face up to 30 years in prison and a $1 million fine on each count, and may be required to forfeit up to about $4.2 million.

The Southern Nevada Mortgage Fraud Task Force and U.S. Postal Investigation Service is handling the investigation.

Simply checking online for today’s posted rate may not lead to your expected outcome due to the many factors that can cause each individual rate and closing cost scenario to fluctuate.

We can preach communication, service and education all day long, but it’s our ultimate goal to earn your trust so that you can be confident in our ability to successfully lead you through this complex mortgage process.

While mortgage rates can change several times a day, the following questions will help you qualify whether or your lender truly knows what to look for so that they can provide you with the best rate once you’re in a position of locking in your loan:

Who determines mortgage rates, and what are they tied to?

Mortgage interest rates are determined by the pricing of Mortgage Backed Securities or Mortgage Bonds. The media often implies mortgage rates are based off the 10-year Treasury Note, which is incorrect.

While the 10-year Treasury Note has been known to trend in the same direction as Mortgage Bonds, it is not unusual to see them move in completely opposite directions.

How often do mortgage rates change?

Mortgage rates may change throughout the day, however they only change on days when the Bond markets are trading securities since mortgage rates are based on Mortgage Bond prices.

Think of a Mortgage Bond’s sales price similar to that of a Stock that trades up and down during the course of a day.

For example, the FNMA 30-Year 4.50% coupon is selling for $100.50. The price is 50 basis points lower from the previous day’s closing price of $101.00. In simple terms, the borrower would have to pay an additional .50% of their loan amount to have the same rate today that they could have locked in the previous day. Alternatively, the borrower would also have the option of increasing their rate by an average of .125%.

What causes mortgage rates to change?

Mortgage Bonds are largely effected by various market forces that influence the changing demand for bonds within the market. Some of the key economic factors that have the greatest impact are unemployment percentages, inflationary fears, economic strength and the overall movement of money in and out of the markets.

Like stocks, most fluctuation is caused by consumer and investor emotions.

What do you use to monitor mortgage rates?

There are several great subscription based services available to monitor Mortgage Bond pricing.

The key is to make sure the lender is aware they should be monitoring Mortgage Bond pricing, such as the Fannie Mae 30-Year 4.50% coupon, and not the 10-Year Treasury Note or the news media.

When the Fed changes rates, why do mortgage rates move in the opposite direction?

It is a common misconception that when the Federal Reserve implements a rate cut it is immediately correlated to a reduction in mortgage rates.

The Federal Reserve policy influences short term rates known as the Fed Funds Rate (“FFR”). Lowering the FFR helps to stimulate the economy and increasing the FFR helps to slow the economy down. Effectively, cutting interest rates (FFR specifically) will cause the stock market to rally, driving money out of bonds and creating potential for inflation.

Mortgage Bond holders need to obtain a higher rate of return on their money if inflation is increasing, thus driving up mortgage rates. With the Federal Reserve Board meeting every six weeks, this is an important question to ask. If your lender does not have a firm understanding of this relationship, they may leave your rate unprotected costing you thousands of dollars over the life of your mortgage.

Do different programs have different interest rates?

Conventional, FHA and VA loans can all carry different rates on a 30-Year fixed mortgage. FHA and VA loans are insured by the Federal Government in the event of defaults. Conventional mortgages are insured by private mortgage insurance companies, if insurance is required.

Typically, FHA and VA loans carry a lower rate because the investor views the government backing as less of a risk. While rates are usually different for each program, it may be more important to compare the monthly and overall cost during the life of the loan to determine which program best suits your needs.

Why is an Adjustable Rate Mortgage (ARM) rate lower than a fixed rate mortgage?

An Adjustable Rate Mortgage (ARM) is usually fixed for a specific period of time. The period is typically 6 months, 1 year, 3 years, 5 years or 7 years. The shorter time period the rate is fixed, the lower the interest rate tends to be initially.

This is due to the borrower taking the future risk of increasing interest rates. The only instance where this would not be true is when there is an inverted yield curve where short-term rates are higher than long-term rates.

Why are rates higher for different property residence types?

Mortgage interest rates are based on risk-based pricing. Risk-based pricing allows adjustments to par pricing for risk factors such as; FICO scores, loan-to-value percentages, property type (SFR, Condo, 2-4 Units), occupancy (Primary, Vacation or Investment) and mortgage type (Interest Only, Adjustable Rate etc).

This allows the investors who lend their money for mortgages to receive additional compensation for taking additional risk. An example is if the borrower encounters a financial hardship, are they more likely to make the payment on the home they live in or the one they rent?

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A pre-planned multi-builder development with recreation, public services, commercial sites and residential housing in a self contained community. This is part two of a multiple part series looking at various master planned projects throughout Southern Nevada. I will be focusing on Southern Highlands in this article.

Southern Highlands is located in the Southwest part of the Las Vegas Valley. Secluded up against the mountains the community is still convenient to the Las Vegas strip, the Airport (without being in the flight path) and easy access to I-15/California. The 2300 acre community has more than 50 acres of parks, walking trails and community sports facilities.

Southern Highlands is home to the Southern Highlands Golf Club. A private golf  course designed by Robert Trent Jones which is consistently ranked one of the top 30 golf courses in America. There is also a 42,000 square foot clubhouse and spa with dining and private party facilities.

There are two public elementary schools (Aldeane Comito Ries, Charles & Phyllis Frias) and a public middle school (Lois & Jerry Tarkanian). There is also a private school for grades k-8 (Southern Highlands Preparatory School). Visit the link for more information http://www.ccsd.net/.

Currently there are approximately 213 resale homes for sale in Southern Highlands ranging in price from $106,000 to $10,000,000. In addition there are 12 builders currently selling new homes with prices similar to the resale range. Since this is a master planned community there are association fees to consider when buying a home here. Monthly association fees run  from as low as $39 up to$600 a month. Another cost to consider is called a SID (Special Improvement District), basically a bond that is repaid by homeowners over a period of years. The SID was initiated to pay for the initial installation of infrastructure (roads, sewers, sidewalks, streetlights etc.). The SID’s payments range from $260 to $4800 a year and not every house has a SID balance. They are transferable from old owners to new owners and sometimes you can find a house where they have been paid off.

Needless to say, I am a big fan of master planned communities and Southern Highlands is one of the standouts in Southern Nevada. Feel free to contact me if you have any real estate questions regarding Southern Nevada. I have lived here for 20 years and I have been a Realtor here since 2001.