Table of Contents
- Is Las Vegas Good for Rental Properties Investing?
- 5 Things to Consider When Finding Las Vegas Rental Properties for Sale
- 10 Best Neighborhoods in Las Vegas for Traditional and Airbnb Rental Investment
2022 and 2023 will be the perfect time to purchase or rent a home in Las Vegas, with the real estate market still to reach its peak. However, the issue is, which areas are the best for purchasing a Las Vegas rental property for sale?
Moreover, where can you acquire a solid rental income and long-term capital? Mashvisor can be of great help when it comes to potential rental properties for sale.
In this article, we will go through some of the finest areas in Las Vegas to buy investment properties for sale and more. So, let’s get started since investing in Las Vegas real estate is an excellent choice because of the city’s relatively cheap investment property taxes and no individual (personal) income tax.
Is Las Vegas Good for Rental Properties Investing?
Yes. Las Vegas saw a significant rise in real estate investment over the last few years.
The city offers aspiring investors a diverse choice of properties for sale, including flats, single-family units, penthouses, commercial offices, and shops. However, the industry is constantly expanding and getting increasingly competitive.
Many individuals are relocating to Las Vegas owing to the excellent weather, lack of personal income tax, and low cost of living. As a result, the city is fast becoming a popular rental investment destination.
One thing that makes Vegas so attractive is the number of people it welcomes annually. In addition, travelers will always be captivated by the city because of the iconic Strip, clubs and casinos, endless entertainment, wonderful indoor activities, and fantastic outdoor places.
Likewise, Las Vegas is well-known for hosting yearly business meetings and trade events. Such events attract business visitors and entrepreneurs from different aspects of life—all of them are searching for a place to stay. So, owning rental properties in the region will benefit them and also help you in terms of income.
As a lucrative destination, with the city gradually rebuilding, it is pretty unlikely that your Las Vegas rental property would be left unoccupied. In fact, you can expect a constant stream of individuals interested in renting out—or maybe even purchasing—your Las Vegas properties for sale.
Now, let’s see Mashvisor’s latest Las Vegas data and what you can expect in 2023.
Las Vegas Real Estate Market Forecast for 2023
The median house price in Las Vegas fell for the second consecutive month in July. In June, we began to see evidence of a change from a seller’s market to a buyer’s market. More supply started to enter the market, and median house prices fell slightly.
Nevertheless, the median house price declined even more in July than in June, and there was even more housing on the market. Here is the latest Las Vegas real estate market data for August 2022, provided by Mashvisor.
- Median Property Price: $257,413
- Average Price per Square Foot: $135
- Days on Market: 198
- Monthly Traditional Rental Income: $1,710
- Monthly Airbnb Rental Income: $1,318
- Traditional Cash on Cash Return: 5.97%
- Airbnb Cash on Cash Return: 3.41%
- Price to Rent Ratio: 13
- Walk Score: 75
The change is most likely due to higher interest rates, inflation, and the uncertainty of what will happen by the end of 2022. Buyers now enjoy more choices and bargaining power due to the market change.
On the other hand, sellers may not face the same repeated offer/over asking/bidding battle circumstances. They will need to advertise Las Vegas rental properties for sale at competitive pricing.
Related: 8 Best Places for Buying a Vacation Home in Nevada in 2022
5 Things to Consider When Finding Las Vegas Rental Properties for Sale
The real estate market in Las Vegas is growing and changing. If you are still unsure about investing in Las Vegas rental properties for sale, here are five reasons why you should do so right now.
1. Properties in Las Vegas Are Still Affordable
Although you might be hearing about how wonderfully the Nevada real estate market is doing, typical property prices in Las Vegas are still far cheaper than in other major US cities. It is a fantastic opportunity to get in while the costs are still reasonable.
Moreover, housing price fluctuations and affordability are two of the numerous measures real estate investors use to examine a real estate market before purchasing rental properties for sale.
Something to keep in mind is the Home Price Index and Home Affordability Index reports. The HPI monitors the rise or fall of housing costs over time. In contrast, the HAI compares the median cost of a house in a marketplace to the median household income.
According to recent data, Las Vegas’s HAI is 92. The figure suggests that for individuals with a median family income, purchasing a median-priced property is a bit less affordable. It might indicate significant demand for rentals in Las Vegas and the surrounding region.
Nevertheless, the prices are still going down as of August 2022, so the conclusion is that Las Vegas is still a great buyer’s market if you opt for rental properties for sale. Real estate website Mashvisor includes an investment property search feature that allows you to find lucrative traditional or Airbnb rental properties for sale in a matter of minutes.
2. Las Vegas Is Growing
The city is evolving into more than being an entertainment mecca. Its tax-friendly environment continues to draw individuals from around the country to make it their residence or just to visit. As a result, real estate, retail, and other areas of the local economy are witnessing growth.
The economy of Las Vegas involves much more than casinos and entertainment. Aerospace and defense, education, information and technology, geology, and natural resource technologies are all critical businesses in the Las Vegas metropolitan region.
So with all that in mind, it is safe to say that Las Vegas will continue to grow even more and attract people of many profiles—making it an excellent place to seek properties for sale.
Related: Should You Invest in Las Vegas Homes for Sale in 2022?
3. Las Vegas and Life Quality
Las Vegas is widely known for endless partying and betting, and there’s a reason it’s named Sin City. However, you’ll be surprised to realize that the city also promotes diverse, international style and individuality, with welcoming suburban communities and trendy historic regions.
Las Vegas is a huge suburban area outside the Strip and downtown districts. It takes around 45 minutes to get from one end of town to the other, so you’ll need a car. In addition, retiring in Las Vegas is appealing due to the low cost of living and the opportunity to maintain a healthy lifestyle in pleasant weather.
Moreover, real estate is still reasonably priced, the environment is pleasant, and finding a good bargain on meals is simple. When the cheap cost of living is paired with the absence of a state tax, a person on a limited income may find great satisfaction in Las Vegas after retiring.
4. Job Market in Las Vegas
Because of the availability of hotels, spas, casinos, shops, bars, and tourist hotspots, job seekers in the hospitality business enjoy an abundance of options.
In addition, technology, worldwide commerce, health care, transportation, manufacturing, and financial sectors are also flourishing, according to the Las Vegas Global Economic Alliance.
And, even though housing costs are fluctuating, Nevada is where many companies and people desire to live. As reported by the Las Vegas Sun, more than 100,000 industrial jobs were added within only five states in the Southwest in the last three years, with Nevada contributing 30% of the country’s total.
Related: Job Growth and Its Effects on the US Housing Market
5. Weather in Las Vegas
The best part is that Las Vegas offers over 310 days of sunlight yearly. East Coasters and residents in hot and humid regions enjoy the absence of snow and humidity. And the city hardly receives around four inches of rain every year.
Moreover, winters are typically shorter and moderate, and summer can continue from June until September. Although it is incredibly hot for two to three months of the year, the other nine months offer the most pleasant temperatures and overall weather.
As for when tourists visit Las Vegas the most, here are the ideal months for visiting Las Vegas: March through May and September through November. While many travel packages are available all year, the spring and fall seasons offer the most pleasant experience for visitors.
Now, let’s focus on the best neighborhoods in Las Vegas for potential rental properties for sale.
10 Best Neighborhoods in Las Vegas for Traditional and Airbnb Rental Investment
If you’re considering properties for sale in Las Vegas, we’d like to point out that you won’t be disappointed. We’ve prepared a list of the top 10 best neighborhoods to buy rental properties for sale in Las Vegas, which you can find below.
Based on Mashvisor’s most recent monthly property data, the neighborhoods are ordered from the highest to lowest cash on cash return.
5 Best Neighborhoods in Las Vegas for Traditional Rental Investment
Here are our top picks for traditional rental investment based on the latest Mashvisor data:
1. Winchester
- Median Property Price: $395,093
- Average Price per Square Foot: $229
- Days on Market: 60
- Monthly Traditional Rental Income: $1,611
- Traditional Cash on Cash Return: 2.53%
- Traditional Cap Rate: 2.59%
- Price to Rent Ratio: 20
- Walk Score: 54
2. Buffalo
- Median Property Price: $524,175
- Average Price per Square Foot: $274
- Days on Market: 59
- Monthly Traditional Rental Income: $1,773
- Traditional Cash on Cash Return: 2.51%
- Traditional Cap Rate: 2.57%
- Price to Rent Ratio: 25
- Walk Score: 64
3. Meadows Village
- Median Property Price: $804,304
- Average Price per Square Foot: $411
- Days on Market: 72
- Monthly Traditional Rental Income: $2,867
- Traditional Cash on Cash Return: 2.48%
- Traditional Cap Rate: 2.54%
- Price to Rent Ratio: 23
- Walk Score: 63
4. Paradise
- Median Property Price: $512,258
- Average Price per Square Foot: $284
- Days on Market: 52
- Monthly Traditional Rental Income: $1,758
- Traditional Cash on Cash Return: 2.29%
- Traditional Cap Rate: 2.34%
- Price to Rent Ratio: 24
- Walk Score: 29
5. Spring Valley
- Median Property Price: $558,498
- Average Price per Square Foot: $288
- Days on Market: 47
- Monthly Traditional Rental Income: $1,782
- Traditional Cash on Cash Return: 2.19%
- Traditional Cap Rate: 2.24%
- Price to Rent Ratio: 26
- Walk Score: 7
Begin your search for lucrative traditional rental investment properties for sale in Las Vegas by clicking here.
Search for the best neighborhoods for traditional rental and Airbnb rental properties for sale using Mashvisor.
5 Best Neighborhoods in Las Vegas for Airbnb Rental Investment
Based on the most recent Mashvisor data, here are our top options for Airbnb rental investment:
1. East Las Vegas
- Median Property Price: $312,847
- Average Price per Square Foot: $244
- Days on Market: 46
- Monthly Airbnb Rental Income: $3,402
- Airbnb Cash on Cash Return: 7.13%
- Airbnb Cap Rate: 7.33%
- Airbnb Daily Rate: $140
- Airbnb Occupancy Rate: 53%
- Walk Score: 55
2. West Las Vegas
- Median Property Price: $392,627
- Average Price per Square Foot: $256
- Days on Market: 39
- Monthly Airbnb Rental Income: $3,728
- Airbnb Cash on Cash Return: 6.96%
- Airbnb Cap Rate: 7.12%
- Airbnb Daily Rate: $179
- Airbnb Occupancy Rate: 53%
- Walk Score: 30
3. Downtown East
- Median Property Price: $363,275
- Average Price per Square Foot: $237
- Days on Market: 64
- Monthly Airbnb Rental Income: $3,511
- Airbnb Cash on Cash Return: 6.81%
- Airbnb Cap Rate: 6.97%
- Airbnb Daily Rate: $144
- Airbnb Occupancy Rate: 54%
- Walk Score: 72
4. Huntridge
- Median Property Price: $406,198
- Average Price per Square Foot: $264
- Days on Market: 42
- Monthly Airbnb Rental Income: $3,881
- Airbnb Cash on Cash Return: 6.61%
- Airbnb Cap Rate: 6.75%
- Airbnb Daily Rate: $188
- Airbnb Occupancy Rate: 53%
- Walk Score: 54
5. Twin Lakes
- Median Property Price: $369,484
- Average Price per Square Foot: $237
- Days on Market: 56
- Monthly Airbnb Rental Income: $3,477
- Airbnb Cash on Cash Return: 6.37%
- Airbnb Cap Rate: 6.54%
- Airbnb Daily Rate: $212
- Airbnb Occupancy Rate: 51%
- Walk Score: 17
Start your search for profitable Airbnb rental investment properties for sale in Las Vegas by clicking here.
Conclusion
As reported by The Nevada Independent, the growth in cash purchasers in Nevada’s property market closed out certain homebuyers. Moreover, investors, wealthy purchasers, significant businesses, and investment groups scored big in buying Las Vegas rental properties for sale.
With Las Vegas’s house affordability, popularity as a tourist destination, and people seeking a new place to reside, they’re more than enough reasons for investing in rental properties for sale. It is expected that the state’s real estate market will continue to develop and provide new, lucrative opportunities for investors in 2023.
Whether you’re just starting in real estate or need help finding and purchasing a property, choosing an expert real estate investment platform can help you every step of the way. Mashvisor is here to support you throughout your investment journey—and to help you establish a profitable investment plan.
Mashvisor’s investment property search feature makes it simpler to find the finest locations to buy a rental property in Las Vegas in 2023. It is designed to help investors determine the most lucrative areas for future investments.
Let us help you while you enjoy your real estate investment journey.
To get access to Mashvisor’s real estate investment tools, click here to sign up for a 7-day free trial today, followed by 15% off for life.