The Raiders have gained final approval to relocate to Las Vegas, and this announcement is set to impact the city’s real estate market in a number of ways. Because the football team is now preparing to move to Sin City, both team owners and fans will be following the team to Nevada. Here’s a look at the impact that the soon-to-be Las Vegas Raiders Stadium has on local real estate, so you can prepare for when the Raiders finally call Sin City home.
Las Vegas: The New Home of the Raiders
The Raiders aren’t the only professional sports team moving to Las Vegas. They will join the Golden Knights on the journey to the Mojave Desert. The NFL and NHL are both coming to Sin City, and both teams are likely to send shockwaves through the city. With the introduction of two professional sports teams comes changes for the resident and visitor populations. As a result, this dazzling desert destination will be in a time of transition for years to come. The city’s neighborhoods and community as a whole are forecasted to reflect the new Las Vegas lifestyle, where professional sports and real estate go hand in hand.
Post-Recession Economic Growth in Las Vegas
Las Vegas took a major hit during the 2008 recession, and it’s still in recovery today. The area’s home prices are looking healthier now, especially compared to the weeks, months and years after the recession. The potential for Raiders Stadium to hasten this rehabilitation is inevitable. The housing market, for new homes in particular, bottomed out during the market crash, which led to a drop in property values around the city. Given that the median price of single-family homes has already nearly doubled since this fall, the Las Vegas housing market will be in an even more prominent upswing with the new football team and stadium. In a city that already draws more than 40 million visitors annually, the addition of two professional sports teams will only help to continue its growth.
The Las Vegas Real Estate Market
Before we dive into the different ways the Las Vegas Raiders Stadium will affect the real estate market, let’s take a moment to appreciate its role in this changing landscape. The promise of a new sports team will most likely bolster the real estate scene, which has been on an upward trend in recent years. As more properties are selling for higher prices, the market is in good shape to see an additional rise in available homes, condos and townhomes alongside the population of buyers looking to invest in them.
Las Vegas Real Estate and The Raiders Effect
The city’s success in the real estate game since 2008 reveals how the Raiders are the finishing touch in this prosperous market. The football team will likely inspire people from out of town to invest in real estate near the stadium. As such, Las Vegas is experiencing what’s been dubbed the “Raiders effect”. These recent transactions shed light on the notion that people from California, Nevada and other parts of the country will be buying properties in the area. Consequently, the expectation is that home values will rise after the team moves to the city.
The Road from Oakland, California to Las Vegas, Nevada
As the Raiders relocate from Oakland, California, the move to Las Vegas will bring sports professionals and fans to the area. A host of people are expected to follow the Raiders to Las Vegas, which will increase the demand for both short-term and long-term housing. As such, both the team’s ownership and fan base will require accommodations in the area. It is anticipated that he city will experience a growing interest in available properties as the big move gets closer. As Oakland’s dedicated following makes the jump to Las Vegas, sellers in Las Vegas can start taking advantage of this phenomenon.
The Effect of the Raiders Stadium Location on Las Vegas
The location of the Raiders Stadium will have an impact on both Las Vegas real estate near the proposed stadium site and the city as a whole. Because the stadium is likely to reside on 60 acres of land off Interstate 15 near Russell Road and Hacienda Avenue, the site will influence property prices and the types of buyers in this area. The $1.9-billion, 65,000-square-foot stadium will attract fans looking to buy homes near the stadium and entrepreneurs hoping to invest in the area, so the location the Raiders decide to call home will become a hotspot for all football-motivated buyers.
An Increase in House Prices Near the Stadium
The Las Vegas Raiders stadium’s location will no doubt contribute to growing house prices over the next few years. This change will affect the city’s entire residential real estate market. If buyers are looking for places in close proximity to the stadium, they’ll likely find higher prices there and in surrounding areas. Sellers will experience an increase in the demand for condos, townhomes and homes, while both buyers and sellers can also expect new homes to pop up near the stadium. Because these developments will help encourage people to move to the area, they’re good news for both current and future Las Vegas residents.
Raiders Stadium and Housing Prices for Buyers
The news that Las Vegas is ready to house its own NFL team means buyers will be looking to invest in every kind of real estate in the city. For anyone who was already considering moving to Las Vegas, the arrival of a new professional sports team is a good sign for the value of current and future properties. The impact of Raiders Stadium on Las Vegas real estate will manifest itself in many ways, with the expectation that home prices will begin to rise. When this market faces a boost in prices, buyers can expect many houses to become more costly throughout the Las Vegas Valley once the stadium is complete.
Raiders Stadium and Housing Prices for Sellers
Because the announcement that the Raiders will be coming to Las Vegas puts sellers in a good position, they’ll be able to take advantage of the increasing demand for affordable housing. The Las Vegas locals who already own property in the city will benefit from the new NFL team, as they can expect to see a boost in house sales in coming years. Given that buyers are already showing interest both near the future stadium and around the city, the potential for an improvement in sales will be high moving forward.
Raiders Stadium and The Las Vegas Economy
This good news and bad news for buyers and sellers in Las Vegas also unveils a number of trends developing in the city’s economy. However, business and consumers alike will stand to benefit from the new sports team. It is projected that the team and its stadium will bring in a trove of new visitors, expected at over 450,000. Additionally, the professional and college football games, along with concerts and other large scale entertainment events will contribute to an estimated $620 million for the city. Furthermore, the sports teams coming to southern Nevada signal economic strength given that each one will create jobs and encourage people to move to the area. With a professional hockey and football team, residents and visitors will also reap the benefits of exponential growth in construction, tourism and other local industries.
Las Vegas Raiders Stadium and the Luxury Real Estate Market
The popularity of professional sports in Las Vegas will continue to influence the position of luxury real estate in the city. Given that these two organizations are paving the way for more professional teams to come to the area, each new bid will impact luxury living in Las Vegas. The Ridges in Summerlin is already becoming an appealing option for team owners. The market for luxury homes in this part of Las Vegas will attract even more interest from sports professionals in time. Making an investment in a high-end home in one of the city’s exclusive master-planned communities is slated to pay off in the long run. As such, it’s a good time to look at the growing market for multi-million homes in Las Vegas and Henderson.
The momentum in the real estate industry and the economy as a whole is likely to get stronger leading up to the stadium’s grand opening. Be sure to follow along as Las Vegas develops into an even more dynamic city. Given that the approval to host the Raiders means even more progress for the city’s real estate market, both the team and economic growth will be heading to the city.
I would be happy to answer any questions you may have about the way Raiders Stadium will change the Las Vegas Valley, so please don’t hesitate to contact me and schedule an appointment with the Las Vegas dream home specialist today.