Financial Markets- Bonds (Mortgage Rates)
The 10 year US Treasury cracked 5% this week, the highest since 2007. At that time the spread between the average 30 year fixed rate mortgage and the 10 year US Treasury was around 1.5%, so the 30 year fixed rate mortgage was around 6.5%.
In the fall of 2023 the 10 year US Treasury reached 4.92% BUUUT the spread between the 10 year US Treasury and the average 30 year fixed rate mortgage was over 3%. The average 30 year fixed reached over 8% in December of 2023.
Today, the average 30 year fixed rate mortgage sits around 7.25%. The spread between the 10 year US Treasury and average 30 year fixed is about 2.25%....So, I guess it could be worse….
https://www.mortgagenewsdaily.com/mortgage-rates/30-year-fixed
https://www.cnbc.com/quotes/US10Y
Southern Nevada Real Estate
Home sales for Clark County Nevada for the month of August show another year over year decline in terms of number of transactions and pacing to have the least number of sales since 2007. This happened last year as well and on pace to make it 4 years in a row of 35,000 or less. For perspective prior to 2023, From 2015 to 2019 (prior to COVID) the average number of transactions per year was 49,000. Time will tell if the lock in affect has permanently altered the number of sales for Clark County.
August Home Sales
- Total: 2,547. Year to date is 22,662. Down from 23,092 in 2025, 24,454 in 2024 and 25,554 in 2023.
- Condos: 265
- Townhomes: 279
- Single Family Residences: 2,003
- Inventory = 9,750…when divided by resale SFR sales of 2,003 we come up with 4.86 months supply of homes)
- Median Priced Home holding at $475,000. *** The median priced home rose roughly 35% from 2020 to 2022. It has now been 4 years where the median priced home has hovered around $480,000. If this continues for another year prices will have fallen back in line with historical appreciation rates (4-5%). Flat home value appreciation is in my opinion the most positive component of the housing market.
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