Las Vegas is many things to many different people. For some it is adult playground where inhibitions and responsibilities are checked at the door. For others it is a rapidly growing city in the middle of a desert. But for most guests it is neon oasis that offers endless possibility and unlimited entertainment. In this article we are going to look behind the flashing lights and jackpot alarms to see what Sin City offers average business investors.
For decades Las Vegas has one of the fastest growing real estate markets in the US. But when the market slowed a bit and the mortgage crisis hit, home prices plummeted and many folks defaulted on their mortgages.
Reluctantly, banks were forced to take possession of tens and thousands of homes in the Las Vegas area. We say reluctantly because banks are in the business of banking, and there are few things they hate more than having to sell other people’s homes. But unfortunately for all parties, that is exactly what has happened. Well, maybe not all parties. The market meltdown has actually presented Nevada entertainment and business investors with a once in a lifetime opportunity.
You see, when a bank takes possession of a home they must get rid of it as soon as they possibly can to recoup some of the money they lost on the initial loan and to get the bad debt off their books. The reason that this is a great opportunity for investors is because these properties customarily sell at well below the market rate. In fact, it is not uncommon to get discounts of up to thirty percent on quality homes.
For investors who are looking to purchase commercial real estate, banks also have special auctions for selling businesses who have defaulted on their loans, and in Las Vegas there have been many of them.
