[Swigchow]

Originally Posted by ocean2026

inventory is NOT depleted.

I disagree. Multiple bid situations are the common. Marketplace dynamics suggest the curve has shifted towards demand.

Certainly that may change when City Center opens and if there is a large backlog of inventory being held back by the banks.

[olecapt]

In some ways there is lots of inventory. But if you want say a Signature unit at a good price not much.

Signature has about 131 units for sale in the normal sales category. 65 are shorts and 48 are non-distressed and 18 are REOs. The last 60 days we sold 32 REOs, 4 shorts and 1 non-distressed. So if your interest is a deal on a REO there is perhaps a month of inventory. If you wish to chase shorts there is lots of inventory...but again with perhaps 50 in the contingent category we actually closed 4 in the last sixty days.

So I would think it a very tight and competitive market if you want a well priced REO. Shorts you are in heaven...however you may never get one done. The non-distressed are not offering the value of the others.

[ocean2026]

i follow platinum more than MGM way more , and i know there have been units priced in the $119k sitting there forever. Unit 207 and 617 for example- they are priced somewhat competitively so how can there be all these mulitiple bids if they aren't getting sold? When we call our broker - she doesn't seem to see multiple bids but the prices are still over $100k and that's too high based on income.

[LIS123]

Originally Posted by olecapt

I am sure 007, who works this area a lot will be along in a bit.

In general the highrise and condohotel is in a power dive. City Center is going to offer new pricing to those signed up. The only stability at this point appears to be Signature where the little condo hotel units are stabilizing at around $300 psf. Boca Raton is now being offered at $200 psf and is not selling.

So you may want to wait a while. Be careful of stability of the HOAs. That should be OK in the condohotels but not elsewhere. Watch out for usage restrictions on the condohotels.

By what percentage do you expect City Center and other properties to discount their prices?

[JM95]

Eh... I'm too good at the arithamatik.

10 years??? Are you kidding? There could be a massive earthquake next week which will level the strip and california.

But I AM betting on hyperinflation.

Originally Posted by MadManofBethesda

At $79k, the studios would be $152, not about $200. Not disputing your contention that the units may sell at that level 12 months from now, just your math.

But since you're prognosticating.......

Where do you see prices 10-15 years from now?

With the possibility, if not the probability of hyper-inflation several years down the road, what do you think the chances are that a condo on the strip could be had for anything approaching $100k at that point in time?

[007 license to sell]

Originally Posted by LIS123

By what percentage do you expect City Center and other properties to discount their prices?

Right now there is talk that CityCenter is going to lower their prices 30% however they are making buyers sign a confidentiallity contract for any negotiations in prices. They are going to start closing on condos in the Manderine first, due to the fact that most of the folks there will probably be cash buyers in Manderine, units started at over 1.8 mil and went up.

I would wait on purchasing anything at CityCenter until the dust settles give it about 3 to 6 months .
The other highrise properties closed on the existing buyers first and after they did , the builders lowered the prices of the remaining inventory which cause the all ready sold units to be upside down.

City Center is talking about having their own financing due to the problems of banks wanting to lend on condos'.

[007 license to sell]

Originally Posted by ocean2026

i follow platinum more than MGM way more , and i know there have been units priced in the $119k sitting there forever. Unit 207 and 617 for example- they are priced somewhat competitively so how can there be all these mulitiple bids if they aren't getting sold? When we call our broker - she doesn't seem to see multiple bids but the prices are still over $100k and that's too high based on income.

Platinum has issues it has 3 class action lawsuits against it, and there is allot more fees, lfor instance if you don't put your property in the rental pool you are charged an addition $700.00 a month fee to the HOA.

I have noticed lately allot less multiple bids on condotels, if there is multiple bids it's usually so cheap and the people want to own a vaction property an the high HOA's wont' matter.
The last time I checked a couple of weeks ago the property management at MGM takes 46% of income generated off a unit.

[LIS123]

Originally Posted by 007 license to sell

Right now there is talk that CityCenter is going to lower their prices 30% however they are making buyers sign a confidentiallity contract for any negotiations in prices. They are going to start closing on condos in the Manderine first, due to the fact that most of the folks there will probably be cash buyers in Manderine, units started at over 1.8 mil and went up.

I would wait on purchasing anything at CityCenter until the dust settles give it about 3 to 6 months .
The other highrise properties closed on the existing buyers first and after they did , the builders lowered the prices of the remaining inventory which cause the all ready sold units to be upside down.

City Center is talking about having their own financing due to the problems of banks wanting to lend on condos'.

Do you think apartments at City Center are still overvalued even after a 30% discount? If so, what percentage do you think the discount should be?

The overall market in the LV area has declined more than that, so a 30% discount does not offer purchasers a fair price.

[Swigchow]

Originally Posted by ocean2026

i follow platinum more than MGM way more , and i know there have been units priced in the $119k sitting there forever. Unit 207 and 617 for example- they are priced somewhat competitively so how can there be all these mulitiple bids if they aren't getting sold? When we call our broker - she doesn't seem to see multiple bids but the prices are still over $100k and that's too high based on income.

We stayed at the Platinum a couple of months ago when visiting Las Vegas. It was very nice. I liked the non-smoking, non-gaming aspect. The location is very good, close but not on the strip. I lost out on a unit on a multiple bid situation. But you have to watch out, some of the foreclosed units were nearly ransacked by the prior owners ie TV, frig, etc removed. Almost as bad as many of the Meridian units.