A Graphic Depiction of Distressed Real Estate Sales

This report from the Las Vegas Sun carries one of the better graphics that have crossed my computer screen lately depicting the extent to which distressed sales have impacted the local real estate market in and around "Sin City".

Of course, conditions are much worse in Nevada than in most other parts of the country, but large swaths of California, Florida, and Arizona probably have real estate sale figures that are not too different from these. The report by Chris Morris and Alex Richards contains just the following commentary.

When Nevadans started to realize they were at the epicenter of a full-blown foreclosure crisis in 2007, riding a rising wave of loan defaults that eventually turned into auctions and bank repossessions, they didn't really understand what was in store for the real estate market. In the valley today, foreclosure sales largely outpace regular sales, and they drive the median price of single-family homes down considerably — by roughly $25,000 in February.

The graphic really tells the story:

Nice work.

Comments

[Roscat:]

The good news is that, based on that graph, the foreclosure and trustee deed sales have peaked.

Mar 20 08:23 AM

[nobull:]

Thx for the info.
Tells you, for housing to pickup, prices have to find natural floors, not govt sponsored taxpayer money wasting fixed prices. At right prices, buyers are plenty.

Mar 20 08:58 AM

[Fabien Hug:]

Trustee deed sales may have peaked because even these buyers don't have money anymore. The quick buck mentality is still well and alive and it is tempting to grab these properties at what seems to be a bargain. I'm not confident in the fact that prices will rise soon, particularly in LV.

Mar 20 10:29 AM

[DuffBeer:]

Tim ,
Thanks for your update posts on the the real estate markets and how they may connect thr out the US.
This is not even close to over. Sure each area is different and will recover at different times but think what has happened and where are we with the effect of that and what is going to effect us forward.
To name a few loss of jobs,creditcards and car loans .These will also result in more future foreclosures . The biigie how ever is the supply of them that the lenders are holding back on. Think if you have 10 red dresses on the floor racks and you are fetching 100 bucks a dress and you get a shipment of 2000 in prices would collapse.
This is why the lenders or who ever is selling these are holding back what really needs to be on the market and clear this mess up.
Lenders are trying to maximize the prices for this homes so they are dibbled out.
What a mess, It drives me to drink !!!!
Cheers, DuffBeer

Mar 20 11:02 AM

[Steve Ward:]

Nevada, Arizona, California and Florida will experience another wave of foreclosures when ARM's come due over the next 2 years.
Therefore, I cannot discountt the wave of foreclosures being over.
I seriously doubt the Obama administration can save anyone's house if their job is gone.

Mar 20 03:29 PM

[scotty1560:]

Not done yet... however,
bigger move is probably in, at least in South Florida.

1.5 mil land is now 450k, might drop to 300k-350k over the
next year or so, that would be about 80% haircut. That said
it could go sideways for another 3-4 years.

One could hunt around now if they want a prime location with limited downside. Otherwise, wait until next summer and you will be getting in on the new base building levels. Very high end still has plenty of room to fall, they were the last to get to the party, much like NYC.

Mar 21 08:31 PM