Las Vegas Sun

July 28, 2015

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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

A step-by-step guide to complaining to your landlord

Mon, Jul 27, 2015

By law, your apartment or rental home must be kept safe and in a condition that provides reasonable comfort for the average person, meaning it has running water, working toilets ...

Several federal agencies own, oversee large parts of Nevada

Mon, Jul 27, 2015

This month, President Barack Obama designated 700,000 acres in southeastern Nevada as the Basin and Range National Monument, fulfilling a longtime goal of ally Sen. Harry Reid. Basin and Range ...

With luxury complex, homebuilder making leap to Las Vegas’ apartment market

Fri, Jul 24, 2015

The partially built site at Tropicana Avenue and Grand Canyon Drive was supposed to have pricey condos years ago, but previous owners lost the project, dubbed the Mercer, to foreclosure ...

Home purchases by investors in Las Vegas now on par with national rate

Wed, Jul 22, 2015

Institutional investors — those who purchase at least 10 homes annually — bought 1.9 percent of homes sold in the Las Vegas area in the first half of the year. ...

Gordon Silver’s move leaves Hughes Center with swanky, 54,000-square-foot vacancy

Wed, Jul 22, 2015

With stone flooring, glass conference-room walls, a private stairwell and a lounge with ventilation that sucked the cigar fumes from the room, the high-rise headquarters of law firm Gordon Silver ...

Despite hurdles, 2015 has been kind to Southern Nevada homebuilders

Mon, Jul 20, 2015

Local builders sold 633 new homes last month, bringing the year’s total to 2,993, up 10.7 percent from the same period in 2014, according to Las Vegas-based Home Builders Research ...

Property owners displaced by Project Neon hold out for more compensation

Mon, Jul 20, 2015

An industrially zoned dirt lot next to the noisy I-15 may not seem like prime real estate, but in the context of Project Neon, a multibillion-dollar overhaul of 3.7 miles ...

Marketing campaign aims to boost lagging Dot Vegas registration

Mon, Jul 20, 2015

Of the 15,000 .vegas websites purchased, about 80 percent of registrants are in the Las Vegas area. Not all .vegas domain purchasers, though, have motives related to marketing or commerce. Danny ...

Firm buys out partner in The District at Green Valley Ranch

Thu, Jul 16, 2015

Almost four years after buying the District at Green Valley Ranch out of foreclosure, a Phoenix real estate firm has bought out its partner on the deal, paying far more ...

Signs point to healthier resale housing market in Las Vegas

Thu, Jul 16, 2015

Two types of buyers in particular are fueling the uptick in sales totals: those who went through a foreclosure or short sale years ago and for a long time couldn’t ...

Navigating the permitting process in Southern Nevada

Mon, Jul 13, 2015

The county recommends homeowners choose a licensed contractor to do the work and handle the permit. But for homeowners who have the expertise to handle the project themselves, here is ...

Henderson Hospital foundation pouring signals advance of Union Village

Fri, Jul 10, 2015

The facility is being built on 30 acres of the planned Union Village health care complex, which will anchor a 170-acre mixed-use development at ...

Q+A: Houses popping up at long-dormant Skye Canyon development on valley’s northwest edge

Fri, Jul 10, 2015

In the midst of the real estate bubble, developer John Ritter led a group that paid more than half a billion dollars for sprawling desert land in the upper northwest ...

Home sales and prices rise, but so does number of ignored listings

Wed, Jul 8, 2015

The median sales price of single-family homes in Southern Nevada in June was $220,000, up 4 percent from May and 10 percent from a year ago, according to the Greater ...

First luxury home being built in Henderson mountains

Mon, Jul 6, 2015

Ascaya, the long-delayed luxury-home community blasted out of the Henderson mountains, is getting its first house. A groundbreaking ceremony is scheduled Tuesday to celebrate construction of the first home at ...

Videos

Government Takeover
Government Takeover
The government takes over failing Freddie Mac and Fannie Mae. What does it mean for ...
Sales Up, Prices Down
Sales Up, Prices Down
Home sales reach their highest point in years, but there's still no end in sight ...
Foreclosure Forecast
Foreclosure Forecast
A foreclosure analyst paints a grim forecast for the valley's real estate industry. Plus, the ...
Lake Las Vegas Bankruptcy
Lake Las Vegas Bankruptcy
The struggling housing market is forcing a Henderson master-planned community into bankruptcy. Plus, the federal ...

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