Las Vegas Sun

May 22, 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

Report: House flipping in Las Vegas has scaled back but remains lucrative

Thu, Feb 26, 2015

House flippers are slowing down in Las Vegas and making less money than investors nationally, but they’re still doing plenty of deals here and ...

A tale of two ‘bargains’: One Las Vegas home sold for $8M, the other for $10K

Wed, Feb 25, 2015

At the base of Las Vegas’ western mountain range, a mansion in the Ridges, one of the wealthiest and most exclusive areas of town, has a movie theater with a ...

Analysis: Is construction-defect law stunting Nevada’s housing market?

Fri, Feb 20, 2015

Las Vegas’ once-battered housing market has improved the past few years but remains riddled with problems such as foreclosures, underwater borrowers, flat wages and ...

Las Vegas toasts goodbye to the Gramercy

Sun, Feb 15, 2015

It was almost 7:30 in the morning, on a Sunday no less, but in Las Vegas, when a building is about to be imploded, it’s never too early for a ...

Lenders are back to putting squeeze on delinquent Nevada homeowners

Wed, Feb 11, 2015

After backing off for a while, banks ramped up the pressure on delinquent Nevada homeowners last month, seizing more homes and starting the foreclosure process on ...

Las Vegas home market endures sluggish month

Tue, Feb 10, 2015

Las Vegas’ housing market started the year with mixed results, as prices were up from a year ago but sales totals dropped.

Economist brings national perspective to the Las Vegas housing market

Fri, Feb 6, 2015

Las Vegas, like much of the country, had a wild real estate boom last decade and a big bust with the recession. But things were more extreme here ...

Las Vegas ranks high for ‘zombie’ foreclosures

Thu, Feb 5, 2015

Las Vegas homeowners on the path to foreclosure pack up and leave more often than most struggling borrowers around the country. The Las Vegas area has a “zombie” foreclosure rate ...

‘Vegas Modern’: Builder adding twist to re-energized luxury-home market

Thu, Feb 5, 2015

Blue Heron is developing three communities of high-end, desert-themed luxury homes in Henderson and building custom homes around the valley. Co-owner, lead designer and Las Vegas native Tyler Jones tries ...

2014 not a robust year for Las Vegas homebuilders

Tue, Jan 27, 2015

Las Vegas homebuilders, after bouncing back strong from the recession, had a lackluster 2014. Sales volume dropped hard, prices were volatile, and after ramping up construction plans in the first ...

Crumbling, off-Strip tower in Las Vegas scheduled for daytime implosion

Fri, Jan 23, 2015

Stardust. Desert Inn. New Frontier. Dunes. All famed Las Vegas casinos, all imploded in spectacular fashion. Add a property to this list of dynamite and destruction: the Gramercy ...

Investor: L.V. office building buy ‘an opportunity we couldn’t pass up’

Wed, Jan 21, 2015

Real estate investor Chris Dornin, who buys financially troubled buildings in states slammed by the recession, has inked another deal in Las Vegas. Dornin recently bought City Centre Place, a ...

For $140 million, another portion of mall on Las Vegas Strip changes hands

Thu, Jan 15, 2015

Less than a year after buying most of Showcase Mall, a group of New Yorkers has apparently bought another chunk of the Strip retail hub for big dollars. Jordache jeans ...

Kamran Zand's high-powered, high-pressure life selling luxury real estate

Thu, Jan 15, 2015

Real estate broker Kamran Zand is in the business of selling an image. And business is good.

Nevada sees foreclosure rate slide in 2014

Wed, Jan 14, 2015

Foreclosures slowed drastically in Nevada last year, but the state remained one of the hardest hit in the country as banks eased off ...

Videos

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