Las Vegas Sun

April 17, 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

Photos: Flipping out on the set of A&E’s ‘Flipping Vegas’ with Scott and Amie Yancey

Thu, Dec 5, 2013

On A&E’s “Flipping Vegas,” abandoned homes across the Las Vegas Valley get a second chance in the hands of real estate investor Scott Yancey and his interior designer wife, Amie.

Competing with the big boys: How a local homebuilder beat the recession

Wed, Nov 27, 2013

Homebuilder Robb Beville is a rare breed in Las Vegas: He works for a local company. The valley’s home construction market is dominated by out-of-state, publicly traded builders that are ...

Henderson couple face 30 years in prison, $1 million fine for short-sale scheme

Tue, Nov 26, 2013

A husband and wife real estate agent team pleaded guilty today to bank fraud in connection with a series of short-sale fraud schemes and face up to 30 years in ...

David Atwell, a man with a zeal for business and life, dies at 63

Tue, Nov 26, 2013

David Atwell worked some major deals on the Strip, including the Forum Shops at Caesars Palace and New Frontier transactions.

For Las Vegas homebuilders, 2013 called ‘year of recovery’

Mon, Nov 25, 2013

Las Vegas’ home construction business slowed again last month as buyers faced rising prices and higher borrowing costs.

Joe Downtown: The next Tony Hsieh? Developer snatches up dozens of properties downtown

Mon, Nov 25, 2013

Kamran Fouladbakhsh started buying properties downtown more than 10 years before Hsieh and his Downtown Project started snagging most of the available parcels around East Fremont Street two years ago. ...

On tap for approval: Symphony Park's newest tenant, liquor licenses, center for blind children

Tue, Nov 19, 2013

A new tenant could be headed to downtown’s Symphony Park if the Las Vegas City Council approves a $5 million land sale Wednesday to a developer planning to build a ...

The days of living for free in a house awaiting foreclosure may be numbered

Fri, Nov 15, 2013

Countless Las Vegans fell behind on their mortgages when the housing market collapsed, but many stayed put in their homes, living for free as banks struggled to seize the properties. ...

In a game of crazy 8s, Silicon Valley group claims the Stirling Club

Thu, Nov 14, 2013

The bid that won the storied Stirling Club at Turnberry Place was made in an act of high-stakes gamesmanship.

Atlanta firm snatches six apartment complexes for $66 million

Thu, Nov 14, 2013

Prowling for discounts, an Atlanta real estate firm has been on a Las Vegas buying binge. Trimont Real Estate Advisors acquired at least four distressed apartment complexes last month and ...

Fewer U.S. homes repossessed by lenders in October

Wed, Nov 13, 2013

Fewer U.S. homes are completing the foreclosure process and ending up repossessed by banks because investors are increasingly buying up properties when they go on sale at public auction.

Foreclosure-plagued Nevada welcomes drop in rate

Wed, Nov 13, 2013

Nevada’s foreclosure rate improved last month but remains one of the highest in the country. One in every 407 housing units statewide received a foreclosure-related filing in October, down 39 ...

Two distant worlds meet in Wyoming’s smallest town

Sat, Nov 9, 2013

Don Sammons and Nguyen Dinh Pham have something unique in common: a tiny patch of real estate on the windswept plains of southern Wyoming. In an auction that was also ...

Sales of homes, land continue to soar in Summerlin

Thu, Nov 7, 2013

Land and home sales keep climbing in Summerlin, whose developer said it sold 76.5 acres of land to homebuilders for $29.7 million in the last quarter.

Only one Nevadan has taken foreclosure prevention lifeline

Thu, Nov 7, 2013

Few Nevadans are taking advantage of a new foreclosure prevention lifeline thrown to them by the state Legislature.

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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