Las Vegas Sun

September 15, 2014

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Real Estate in Crisis

Foreclosed and for sale homes line the 9800 block of Fast Elk Street in northwest  Las Vegas.

Photo by Richard Brian / Las Vegas Sun

Foreclosed and for sale homes line the 9800 block of Fast Elk Street in northwest Las Vegas.

The subprime mortgage crisis is hitting the Las Vegas metro area particularly hard. In fact, Nevada has the highest foreclosure rate in the country and the metro area is consistently one of the top five worse in the nation. The crisis jeopardizes further growth by creating an overflow of available homes, which in turn slows the construction of new homes and invariably effects property values. But at the same time it creates opportunities of more affordable housing for those who have been priced out of the market in recent years.

The crisis entails homeowners losing their houses after they are unable to afford their mortgage payment. It was brought about by lenders and banks giving risky loans, or subprime mortgages, to people with poor credit scores or finances. Low interest rates first attracted such homebuyers. However, as many loans were adjustable rate mortgages (ARMs), higher interest rates down the road made payments nearly impossible, ultimately leading to foreclosure. Furthermore, predatory lenders have been accused of perpetuating the situation by unfairly taking advantage of uninformed or new buyers. There were a large number of investors who bought homes at the height of the market and expected to flip them for a profit, only to see values decline.

All stories

More parking, more stores coming to Premium Outlets-North

Wed, Sep 10, 2014

Las Vegas Premium Outlets-North is expanding again. Management of the mall, which is on Grand Central Parkway near the Spaghetti Bowl, has expanded a parking garage with 780 more spots ...

‘Only a matter of time’: Las Vegas home prices flatten out

Tue, Sep 9, 2014

Las Vegas housing prices were flat last month as the market slows down from its meteoric recovery from the recession. The median sales price of single-family homes in August was ...

Half-price sale: Vacant land on north Strip — $16M an acre

Fri, Sep 5, 2014

At the peak of the bubble, development firm Triple Five plunked down $180 million for property on the north Strip with plans to build a resort with an observation wheel. ...

LVCVA’s sights set on $19M land buy for planned business district

Thu, Sep 4, 2014

Las Vegas’ tourism bureau is continuing its real estate buying spree for its planned multibillion-dollar business district. The Las Vegas Convention and Visitors Authority’s ...

Foreclosure scam leads to 35-year prison sentence

Wed, Sep 3, 2014

One of two brothers convicted of leading a nationwide foreclosure scam was sentenced Wednesday to 35 years in federal prison for stealing titles to more than ...

Developer fashions plan for Las Vegas expo center off I-15 near Strip

Tue, Sep 2, 2014

Developer Jack Kashani, who helped launch the World Market Center furniture-expo hall, has his sights on another massive showcase center for Las Vegas, even though his first one was marred ...

Las Vegas new home sales down

Fri, Aug 22, 2014

Local developers sold 499 new homes last month, down 23 percent from July 2013, according to a report out today from Las Vegas-based Home Builders Research. The median sales price ...

Sales of Henderson mountainside mansion lots underway at Ascaya

Thu, Aug 21, 2014

If you want to live on a Henderson mountainside, hundreds of feet above the valley floor, get ready to pay big and build big. Ascaya is ...

Preferring Southern Nevada’s workforce over Arizona’s, tent maker plants stakes in Henderson

Tue, Aug 19, 2014

They’ve backed off from building a tent-covered tent manufacturing plant, but owners of Creative Tent International are up and running in Henderson after ditching Arizona. The company — which sells ...

Henderson mountain-mansion development Ascaya back in business

Fri, Aug 15, 2014

Hong Kong billionaire Henry Cheng blasted away a Henderson mountaintop during the real estate bubble, with plans for mansions overlooking the valley from street names such as Heavens Edge, Stonecutter ...

Long-abandoned corner of Las Vegas Boulevard and Sahara getting Walgreens

Wed, Aug 13, 2014

It's paving over some colorful history, but a retail plaza with Walgreens is under construction on the north Strip and poised to bring more business to the struggling area. Sorenson ...

Latest purchase of Frontier land is a sober deal

Sun, Aug 10, 2014

On Wynn mocking the 2007 purchase of the Frontier land, how Beauty Bar's new owners fit in (or don't) downtown, and a street name change on the Strip. ...

Rising Las Vegas home prices hit ‘nice milestone’

Fri, Aug 8, 2014

Las Vegas housing prices inched up last month to the highest level in almost six years. The median sales price of previously owned single-family homes in Southern Nevada in July ...

Apartment complex rising at the District in Henderson

Tue, Aug 5, 2014

Years after buying the project site, developers are bringing pricey new housing options to the District at Green Valley Ranch in Henderson. Rents in the Calida Group's 360-unit apartment complex ...

Home owned by Trump holdout auctioned for $530,000

Wed, Jul 30, 2014

She once called Donald Trump "a maggot, a cockroach and a crumb." This week, he remembered her as "an impossible person." The woman who became a folk hero for resisting ...

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