Homes in the bottom third of the market, aren’t experiencing the same post-recession recovery in value as homes in the more expensive tier. For instance, less than 1 percent of Las Vegas homes are worth their pre-recession peaks. While factors such as location and the number of foreclosures in an area could continue to depress prices, there has been a 17 percent, year-over-year drop in the supply of starter homes, which will likely lead to higher prices if demand continues at current levels.
