Expert upbeat on LV housing

Jennifer Shubinski

Monday, Feb. 7, 2005 | 10:50 a.m.

The chief executive of Century 21 Real Estate Corp. said he expects Las Vegas to continue to have a strong real estate market this year.

And he doesn't expect valley housing prices to decline anytime soon.

Thomas Kunz was in town Thursday to celebrate the 20th anniversary of Century 21 MoneyWorld in Las Vegas.

"This is still a very strong market, with job growth and expansion of the gaming industry," Kunz said.

He expects interest rates to remain in the 5 percent to 6 percent range this year, which will help keep the real estate market strong, both locally and nationally.

Kunz said despite the run up in housing prices last year, there are still homes available in Las Vegas for people who want to own a home.

He said first-time homebuyers should evaluate what they are looking for in a home. Then he said people should look for what they can afford, which in some cases may not be their dream home, but it's a step to their eventual goal.

"Get into the game and get a home and stop paying somebody else's mortgage," Kunz said.

He said with time, homeowners can move up in the real estate world into that dream home.

Mike West, president of Century 21 MoneyWorld, said the events of last year, which many called a "perfect storm" of low interest rates, high demand and low inventory left the valley changed forever.

"It left us with high prices and a lack of available land," West said.

Kunz said the Las Vegas market is similar to the Southern California market, East Coast and New York City market that also experienced run ups in home prices in the past year.

Despite the growth in prices, Kunz said he dismisses talk of a real estate bubble and does not expect prices to come down anytime soon.

He said comparisons to the tech stock bubble are not a good, or fair, comparison because of the nature of real estate.

"Different houses sell at different prices, some are up, some are at the top and some are in decline," Kunz said. As far as Las Vegas, he said the city continues to benefit from its favorable image nationally and abroad.

The perceived friendliness of the state and local government continues to be an attraction for new businesses, which in the end means the demand for houses will remain strong, Kunz said.