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as Vegas' residential and commercial real estate markets are showing signs of struggle, according to analysts and stakeholders. The median home price in Southern Nevada has reached a record high of $485,000, but sales have slowed significantly this year compared to pre-pandemic levels. Home sales were down 5.8 percent in July from the same month last year, according to Las Vegas Realtors.

    Despite national trends showing home prices dropping in cities like Austin and Miami, Las Vegas' prices remain high due to factors such as a lack of developable land, increased construction costs, and a continued influx of California residents. Homebuilders are also struggling, with sales down 24 percent through the first half of this year compared to the same period last year.

    Commercial real estate development is also slowing in the Las Vegas Valley, with office space construction stalled in the second quarter due to a lack of new projects breaking ground. However, multifamily projects have been coming online, putting downward pressure on rental rates.

    John Boyd Jr., principal at The Boyd Company, says Las Vegas has entered a "reckoning phase" as its tourism numbers decline and it needs to rethink its economic strategy. Robert Little, a real estate agent with Re/Max, remains optimistic about the residential market, citing the valley's expanding population and expected growth.

    However, Nicholas Irwin, research director for UNLV's Lied Center for Real Estate, warns that if mortgage rates drop below 6 percent without sparking sales activity, it could be a sign of larger economic issues. The valley has seen an increase in homes on the market, with single-family home listings up 54.2 percent and condo and townhome listings up 77 percent in July alone.

    Clark County is expected to reach 3 million residents by 2045, but population growth has slowed since 2015. Elevated mortgage rates are a major issue for the housing market, with Little predicting they will drop soon due to economic pressures.