As a native Las Vegan whose family has been in the real estate business for decades and as president of the Greater Las Vegas Association of Realtors (GLVAR), I’m used to answering questions from clients, co-workers and others.

Lately, I’ve been answering more questions than ever before about our local housing market, which has stabilized during the past year or two after setting national records for housing appreciation between 2003 and 2004, when prices skyrocketed by more than 50 percent over one 12-month period.

For 2007, I think we’ll see more balance in the local housing market. As the year goes on, the demand for housing should begin to catch up to the supply of homes listed for sale. I also think housing prices will remain fairly flat while our housing inventory gradually declines. 

In this column, which will be published every other Saturday, I will answer questions from the public concerning Las Vegas real estate. Here is the first one: 

Q:  I can’t afford a new house. I want to buy a fixer-upper in the downtown area. What kind of things should I look for in purchasing an older home as far as its physical condition? How do I find out what is a good price for some of these areas? Where should I look? – Nick H.

A: The first thing you should look for is a good Realtor who knows downtown. One way to go about doing that is to ask friends who may have purchased in that area and get a referral. Another place to start is Realtor.com, which lists Las Vegas Realtors and the areas in which they work. You also can check with the Nevada Real Estate Division and GLVAR to find how long a Realtor has worked in the market and to confirm that he or she is properly licensed. You should interview at least three Realtors. Ask how long they have worked in the downtown area; how many homes they have sold in that area; and what kind of services can they provide. The Realtor should be able to give you a market analysis of the neighborhood, which includes comparable sales and how many homes have sold there in the past year.

There are some things a Realtor, because of Fair Housing laws, cannot answer. They cannot tell you if the neighborhood is “good” or “safe.” They will refer you to the local police department to ask for recent crime statistics. In the end, nobody can tell you if a downtown area will go up or down in value. With proposed projects such as the Union Park development and several high-rise and mid-rise developments going up (and some canceling plans), downtown Las Vegas seems to be on the rise. But there is no crystal ball here.

Interview three lenders, as well. Ask them if there are any city programs for those looking to refurbish homes in the area. Also, see if there are other programs available for fixer-uppers to help you offset the cost of home repairs. Always get a good faith estimate on the pricing structure, so there are no surprises at closing.

Choose an inspector who knows the area. To get more information on this subject, I went to Chay McWillam, owner and president of Boulder City-based Criterium Engineers, which has been inspecting homes in the Las Vegas Valley for 14 years. His crew includes professional engineers and the firm charges about $300 to check out a house.

“The biggest thing in that area is the concrete slab that the homes sit on,” he said. “There is usually a lot of deterioration and you can tell by walking the floors. You feel the ‘heaving,’ that’s when the soil actually lifts up the concrete and you can feel it.”

McWillam said homes more than 40 years old may have iron pipes that become rusted and can cause raw sewage to leak under the house, exacerbating the concrete slab deterioration. In these homes, clay pipes were used in front and backyard areas near the trees and are much more fragile than the ABS plastic pipe, which has been used since 1970.

In addition, some of the older homes have galvanized steel plumbing lines that corrode, causing low water pressure. Another very important thing to consider is the roof. Homes built before 1970 had composition shingle roofs and were not designed to support ceramic tiles.

“They will fall in,” he said. “I could tell you a few horror stories, but I’m sure you don’t have that much time.”

Like most inspectors, McWilliam can give you a ballpark figure of what it might cost to fix these problems.