By taking into account 27 factors such as quality of life, affordability, and market attractiveness, WalletHub released a list of the best cities for first-time homebuyers. Las Vegas ranked at 59 out of 300 cities, and Henderson ranked 36 overall. When compared only with major cities, Las Vegas ranked ninth. When compared with mid-size cities, Henderson ranked 14th, and North Las Vegas ranked at at 41.

When considering the rankings, it’s important to note that all three cities stacked up as some of the most affordable cities. North Las Vegas is the 13th most affordable city in the nation. Henderson was in the top 25, and Las Vegas ranks at 32. But the question remains: why is the Las Vegas Valley a great city for first-time homebuyers when it was recently named the most overvalued home market in the nation?

Prime Location

Las Vegas

First of all, Las Vegas is a great city to live in because it’s possible to live near growing business centers without having a long commute. Although casino corporations like Caesars and MGM are the largest employers in town, other industries exist in Las Vegas, making it possible to have a career that’s outside of the hospitality industry. The Valley is also a great place for locals to take a staycation, and it has more than a few family-friendly activities despite its reputation. It’s also less expensive than nearby cities, for example, Downtown Los Angeles where the median sale price is in the mid $600s, and even some affordable homes hover in the $400,000 to $600,000 price range. 

Home Prices

Typical homes in Las Vegas neighborhood

While the starting salary in Las Vegas may be just under $48,000, which is lower than other cities on the West Coast, it’s feasible for an early career earner to buy a home in an affordable neighborhood in this city. This is a key indicator in WalletHub’s survey, which notes that median house price divided by median annual household income was a determining factor when considering Las Vegas’ affordability in contrast with other cities. 

Cost of living was also considered. According to Payscale, the cost of living in Las Vegas is three percent above the national average. This is quite good when you consider that New York City has a cost of living that is 129 percent higher than the national average. And, while sales tax in Las Vegas gets closer to nine percent every year, homeowners don’t pay property taxes. Also, a moderate winter where temperatures rarely hit freezing means stable weather and no natural disasters, making it far easier to get the insurance you need for your home.

Affordable Neighborhoods & New Developments

New home construction in Las Vegas

Several neighborhoods in Las Vegas, such as Historic Westside, Downtown, and Sunrise Manor have average home prices in the high $100s and the low $200s. Other affordable neighborhoods in the Valley include Whitney and Silverado Ranch, where home prices hover in the $200s. Plus, homebuilders have paid attention to trends: They’ve increased their less expensive offerings with asking prices below $300,000 to give more buyers a chance to get in on the market.

The Recession may have weighed Las Vegas down for several years, but it’s now a bustling site for new construction. These days, the city is seeing increased numbers of townhomes and condos all around the Valley. Among the newest master-planned communities are Cadence, Inspirada, and Tuscany in Henderson. Skye Canyon, in the northwest Valley is also a major development where three major homebuilders bought acreage to develop into future homes.

All in all, it’s quite possible to make an affordable, satisfying life in Las Vegas. First-time homebuyers should consider adding Sin City to their list when looking for prospective homes.