Las Vegas Sun

January 19, 2017

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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

December condo sales shine in Las Vegas housing market

Fri, Jan 6, 2017

Condos were more popular with home buyers than houses in December last year, according to numbers released Thursday by the Greater Las Vegas Association of Realtors (GLVAR), which is not ...

Real estate salesman: ‘Las Vegas is having a last-call sale’ for condos

Mon, Jan 2, 2017

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Racial diversity in L.V. neighborhoods among best in the country

Wed, Dec 28, 2016

Racial diversity within Las Vegas neighborhoods ranks among the best in the country, according to a recent analysis of census data released by the Brookings Institution. ...

The Siegel Group acquires Boulder Highway property

Fri, Dec 23, 2016

The Siegel Group Nevada Inc. acquired a 126-unit extended-stay property on Boulder Highway for $4.55 million, the real estate investment and management company announced Thursday. ...

Realtors anticipate new Las Vegas headquarters

Thu, Dec 15, 2016

Realtors in Southern Nevada will have a new space to call home next year. ...

High off the hog: NLV housing development planned for former pig farm

Thu, Dec 8, 2016

A 150-acre housing development called Sedona Ranch will be built on the site of R.C. Farms, the departing North Las Vegas pig farm ...

On city tour, mayor hopes to sell real estate agents on North Las Vegas

Thu, Dec 8, 2016

Sell, sell, sell. Whether it’s Mayor John Lee pushing the virtues of North Las Vegas or the assembled audience of real estate professionals Wednesday morning at City Hall, that’s the ...

Home resale price gains heat up amid typically slow season

Wed, Dec 7, 2016

Christmas came early for the local real-estate community with news that housing resale prices edged upward in November, defying the usual trend for ...

Southern Nevada home rental prices continue to rise

Thu, Dec 1, 2016

Home rental prices continue to trend upward in Southern Nevada, even as home purchase prices experience a seasonal lull. Average apartment rents have shown ...

BLM land sale generates almost $25 million

Wed, Nov 30, 2016

The Bureau of Land Management (BLM) sold 135 acres in 12 parcels for $24.9 million during a competitive public land sale on Wednesday. ...

Binion’s Ranch in Pahrump sells for $1 million

Wed, Nov 23, 2016

After nearly three years on the market, Binion’s Ranch in Pahrump, purchased in the 1960s by Las Vegas casino pioneer Benny Binion, has been sold for $1 million — less ...

Treasury finds troubles with TARP in Nevada

Mon, Nov 14, 2016

Seeking to address the housing crisis in the states most affected by unemployment, the federal government created a fund in 2010 to help homeowners pay mortgages. Nevada stood to benefit ...

Las Vegas home prices continue modest dip

Tue, Nov 8, 2016

Las Vegas home listings last month reached their lowest level since December 2015, while the median sale price continued a modest four-month slide, according to statistics released Tuesday by the ...

2016 Contractor of the Year Awards

Mon, Oct 31, 2016

Construction forms the backbone of society. It builds the infrastructure that shapes our daily lives, including homes, offices, schools and roads. It’s also responsible ...

Tips and traps when showing a home

Fri, Oct 28, 2016

Through the front door of the empty house walked one of Scott Beaudry’s real estate agents, followed closely by a man whom she believed was a prospective home buyer.

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