Las Vegas Sun

July 29, 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

Banks moving more aggressively against delinquent Las Vegas homeowners, report says

Fri, Jul 25, 2014

After a brief lull, lenders are again ramping up pressure on delinquent Las Vegas homeowners. The number of default notices filed in Clark County has climbed ...

Pardee Homes gives up land in long-stalled Coyote Springs project

Wed, Jul 23, 2014

Pardee Homes, the former lead residential builder at the Coyote Springs master-planned community, relinquished about 2,500 acres of land at the site an hour from ...

Las Vegas developer buys Reno’s blighted Kings Inn

Tue, Jul 15, 2014

The Kings Inn, the long-abandoned hotel-casino that has come to symbolize downtown Reno blight, has been sold to a Las Vegas developer. The sale isn't final until …

Southwest Gas buys its headquarters, bids farewell to rent payments

Thu, Jul 10, 2014

Southwest Gas has been renting the majority of its corporate headquarters in Las Vegas for more than three decades. But with a $16.5 million cash purchase, the utility ...

Investor impact wanes as Las Vegas home prices climb again

Tue, Jul 8, 2014

Las Vegas home prices continue to rise as investors, lured here by the recession’s bargains, keep backing out. The median sales price of previously owned single-family homes ...

Sale of Showcase Mall a rarity among Las Vegas Strip properties

Wed, Jul 2, 2014

Showcase Mall, the Strip retail center known for its giant Coke bottle and M&M’s out front, has a new landlord. The sale, one of the more lucrative in Las Vegas ...

Want the Palms Place rooftop penthouse? You can snag it for $38 million

Fri, Jun 27, 2014

Phil Maloof is ready to part ways with his flashy rooftop party pad at the Palms. Among the lavish amenities offered in the residence are ...

Nevadans headed for foreclosure not as quick to abandon home, report says

Wed, Jun 25, 2014

Nevadans who are on track to lose their homes to foreclosure aren’t moving out nearly as often as they used to. But the Silver State still has ...

North Las Vegas announces two tenants for its City Hall

Wed, Jun 25, 2014

Tenants are coming to the underutilized North Las Vegas City Hall. Mayor John Lee today announced the Nevada Affordable Housing Assistance Corporation and Home Means Nevada, two state-affiliated nonprofits agencies ...

How to do a short sale

Mon, Jun 16, 2014

Selling a house through a short sale is about as fast and easy as swimming through a swamp.The sales process can involve stacks of paperwork, back-and-forth calls and emails with ...

Jane Fonda puts New Mexico ranch on market for $19.5 million

Fri, Jun 13, 2014

Jane Fonda is putting her northern New Mexico ranch up for sale. The Swan Land Company of Bozeman, Montana, announced Friday that the actress has listed her Forked Lightning Ranch ...

Las Vegas home prices climbing again; short sales tapering off

Tue, Jun 10, 2014

The median sales price of previously owned single-family homes last month in Southern Nevada was $195,000, up 1.6 percent from April and 14.7 percent from a year ago ...

Las Vegas housing market going big — as in master-planned — again

Wed, Jun 4, 2014

Developers around the valley are gearing up to build mini-cities that, during the recession, either went bankrupt, were seized through foreclosure or were left on the drawing board. Dirt is ...

Warehouse construction about to make a comeback in Las Vegas

Thu, May 29, 2014

Speculative construction of industrial projects turned out to be a bad bet in the Great Recession. But with the economy turning the corner in the Las Vegas Valley, developers are ...

County Family Services building up for sale

Wed, May 28, 2014

Owners of a Clark County child-protection agency’s headquarters want to sell the building for $18 million, a big premium over both its purchase price and the going rate for office ...

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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