by Karl Utermohlen | August 20, 2013 3:07 pm
Prices for houses in Las Vegas and Arizona have skyrocketed within the last month due to the volatile nature of the housing market in those states.
Bloomberg reports[1] that while the rest of the country’s houses are gaining value at a steady pace, bubbles are inflating in Las Vegas and Arizona. The vice president of a data firm said that this inflation only took place in the desert states because they are warm vacation spots.
Private-equity firms, hedge funds and real estate investment trusts are the ones cashing in on this real estate boom. These groups have been consistently buying and selling houses at a higher value after the mid-2006 real estate bust, racking up at least $18 billion since 2011.
The 2006 bust cut the prices of Las Vegas and Arizona homes by 62% and 56% respectively.
Source URL: https://investorplace.com/2013/08/a-new-real-estate-bubble-is-quickly-growing-in-las-vegas/
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