Over the past year, with faltering economic influences and consistent changes in real estate, the housing supply in Las Vegas inevitably shrunk.  This is largely due directly to cash investors who have taken advantage of the changing economic climate by purchasing homes "in bulk", and renting them out to tenants for monthly cash profit. 

According to a report from Zillow.com, list houses that are for sale in Vegas took a 35 percent drop over 2012 (ending in late September).  Lower-end priced houses have had an inventory recession of close to 38 percent this past year.  Houses that are considered to be "middle tier" (as far as pricing goes), have seen an inventory decline of 39 percent, while upper tiered houses have decreased inventory availability by just over 30 percent. 

Nationally, housing inventory has taken a hit by falling close to 19 percent, overall.  A lot of this decrease in housing availability can be accounted for by cash investors from neighboring areas such as Southern California and Phoenix, Arizona who travel to Vegas, purchase homes at a reduced rate, and then rent them out to tenants.  These investors tend to buy in large quantity, homes that have decreased in value recently, in order to turn over the highest possible profit.