World-renowned for its high-energy casinos, first-class entertainment, and one of the strongest tourism industries across the globe, Las Vegas is much more than a stop on a whirlwind tour. Since around 2000, Las Vegas has morphed into a city of nearly 2.5 million year-round residents. Although the hospitality industry remains the largest employer in Las Vegas, the city has become a hot spot for the development of startups in the technology and digital marketing sectors.
The city has grown large enough to attract two professional sports franchises: The Las Vegas Golden Knights and the Las Vegas Raiders.
Over the past decade, rapid growth has produced new neighborhoods that give rental property investors more opportunities to make money. However, Las Vegas has earned a reputation for being a pricey real estate market, especially for rental properties located both within city limits and in suburbs such as Henderson. The property management professionals at Utopia Management want investors to know there are several affordable Las Vegas neighborhoods to invest in rental properties.
Not far from the hustle and bustle of the Las Vegas Strip sits an affordable neighborhood that provides residents with spectacular mountain vistas. Centennial Hills is known for its quiet streets and an active neighborhood association. With access to public transportation and major highways, residents of Centennial Hills can commute to downtown in fewer than 30 minutes. City planners have done a great job of balancing the development of retail centers and maintaining the relatively secluded ambiance that residents enjoy.
The most recent numbers for rental properties in the area state the average rent for Centennial Hills residents runs from $800 for a studio apartment to more than $1,400 for a three-bedroom unit. Both numbers are a bit below average for rent prices in greater Las Vegas.
Downtown Las Vegas has made a dramatic comeback from the days of empty housing and shuttered businesses. City leaders have made significant strides redeveloping downtown and promoting the benefits of living in the neighborhood. Downtown now boasts luxury apartment complexes and casinos that rival the glitz and glamour of the casinos operating on the Strip. Live music venues and recently built office buildings have restored downtown to its refined past.
The average monthly rent for a studio apartment downtown runs $700, while a three-bedroom unit gets a little more than $1,100.
North Las Vegas
Like downtown, North Las Vegas has undergone a huge economic transformation. Located along the northern border of Las Vegas, North Las Vegas has some of the most affordable rental units in the entire region. Residents live close to most of the hospitality jobs that drive the Las Vegas economy. A three-mile drive or ride on public transportation gets residents to downtown for work and play. The city has cleared out abandoned properties to make room for new shopping malls and mixed-use properties. Investors can make a nice windfall investing in North Las Vegas rental properties. Because of a ramp-up in demand, many real estate analysts expect the affordable prices to increase within the next couple of years.
Studio apartments average rent of an incredibly low $490, and three-bedroom apartments cost an average of around $900 a month.
Can you find affordable rental properties to invest in outside of the Las Vegas city limits? Cities like Henderson might fall outside what is considered the affordable rental price range, but a suburb such as Spring Valley offers investors value. The serene neighborhood is located within a short drive of scenic Red Rock Canyon, which boasts more than 50 trails that accommodate hikers of all skill levels. Rock climbing enthusiasts consider Red Rock Canyon to be the premier venue for rock climbing in the low Nevada desert. Spring Valley sits two miles from the Las Vegas Strip, with rental unit prices that fare well when compared to similar units in Las Vegas proper.
The average monthly rent for a studio is $850. For a three-bedroom apartment, the monthly rent is just under $1,400. Spring Valley has one of the highest occupancy rates for apartments in and around Las Vegas.
Considered one of, if not the safest Las Vegas neighborhood, Summerlin attracts families because of its favorable property tax rates. The neighborhood also has a highly rated public school district that is the model for academic achievement in Nevada. Located between majestic mountains and the bright lights of the Strip, Summerlin combines rural natural attractions with a vibrant dining scene to keep residents active throughout the year. Summerlin is also famous for an abundance of recreational activities, from cycling through the low desert to playing golf on meticulously maintained courses.
The average rent for a studio in Summerlin is a surprisingly low $800 per month, with three-bedroom apartments going for a price of $1,200.
From towering mountain ranges that surround the city to the constant development of casinos along the Strip, Las Vegas has emerged in the 21st century as much more than a gambling Mecca. The city is expected to grow, as new residents flock to Las Vegas to take advantage of the strong economy. Rental property investors are also expected to flock to Las Vegas, so the time is now for savvy investors to take advantage of an imbalance between rental unit supply and demand.
When you invest in affordable Las Vegas neighborhood rental properties, the cards should turn up in your favor.