Las Vegas Sun

September 3, 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

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 ...

Bought out of foreclosure, Searchlight airpark could become a draw for RC enthusiasts

Wed, Jul 1, 2015

Bill and Joan Turnbull of Seattle bought the roughly 40-acre property — off U.S. 95 at the southern edge of Searchlight, about 60 miles south of Las Vegas — out ...

Homes with character: See some of Las Vegas’ most famous — and infamous — houses

Tue, Jun 30, 2015

Las Vegas is notorious for not honoring its history — a reputation that has become cemented in videos of casino implosions — but the city's past can still be ...

As ‘green pools’ decrease, officials urge vigilance against mosquito breeding grounds

Mon, Jun 29, 2015

In an unlikely indicator of the valley's continued economic rebound, the number of stagnant, mosquito-infested green pools around Clark County has dropped significantly for the second year in a row, ...

Commercial real estate is slowly making a comeback, but banks are being more cautious

Mon, Jun 29, 2015

Southern Nevada’s banks have drastically cut back on construction and development lending since the market tanked. They’ve boosted profits and overall lending, but when it comes to real estate development, ...

Guest column: What you should know about CRE law

Sun, Jun 28, 2015

Compared with other states such as California, Nevada doesn’t have many laws regulating commercial real estate. But if you are involved in commercial real estate in Nevada, you need to ...

Guest column: Commercial real estate is rebounding

Sun, Jun 28, 2015

Companies no longer are struggling just to survive but again are invested in nurturing and growing the commercial real estate and development community in Southern Nevada. For the first time ...

Salon’s business model: Empower professionals to work for themselves

Sun, Jun 28, 2015

As a new concept in salon ownership, it took some time and creative marketing to help salon professionals understand how Sola is different from a traditional salon. Elegantly furnished, individually-sized ...

Vision for Alon Las Vegas, resort on former New Frontier site, is filed with county

Fri, Jun 26, 2015

Plans filed with Clark County late last month show a two-tower, 1,100-room project called Alon Las Vegas to be built on the 34.6-acre site just north of Fashion Show mall ...

New-home prices, sales and permits up this year in Southern Nevada

Fri, Jun 26, 2015

Las Vegas homebuilders are gaining speed with rising sales, prices and construction plans, a new report shows. Builders sold 527 new homes in Southern Nevada last month, bringing the year’s ...

Home repossessions are rising as banks start to clear out foreclosure backlog

Fri, Jun 26, 2015

Lenders are ramping up foreclosures in Southern Nevada, seizing homes that in many cases likely have been in default — and possibly empty and in disrepair — for a considerable ...

Luxury-home construction may not be booming, but it is bouncing back

Fri, Jun 12, 2015

Azure, a luxury, gated community within a luxury, guard-gated community, is walking distance from a golf course and nestled outside Red Rock Canyon, with hills and mountains practically in its ...

‘Zombie’ foreclosures in the Las Vegas Valley are up 16 percent this year

Wed, Jun 10, 2015

About 34 percent of valley homes in the foreclosure process but not yet bank-owned have been vacated by their owners. That means there is more property-ditching in ...

Pre-owned home prices up 8.3 percent in May from 2014

Tue, Jun 9, 2015

Las Vegas pre-owned home prices dipped in May from the previous month but were higher than the same time a year ago, a new report shows. The median sales price ...

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
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Foreclosure Forecast
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A foreclosure analyst paints a grim forecast for the valley's real estate industry. Plus, the ...
Lake Las Vegas Bankruptcy
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The struggling housing market is forcing a Henderson master-planned community into bankruptcy. Plus, the federal ...

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