BluefoxToday blog : Las Vegas foreclosures take a breather in October

Las Vegas foreclosures take a breather in October

Overall, it has been a tough year for Clark County, Nevada, home of Las Vegas, when it comes to residential real estate. One of the bright spots has been the availability of mortgage money at affordable rates that has kept matters on some sort of a path toward a distant normalcy. Wherever that might be. The solution to that largely rests on how soon the marketplace can first arrest and then reverse the persistently high foreclosures here.

The statistics just released by Foreclosures.com for October appear to offer a ray of hope for Southern Nevada. Real estate owned, or REO, in Clark County fell to 2,653 from 3,563 in September, a nice well over 20% drop. Lenders are clearly in an aggressive mood to move unwanted property off their portfolios. What's more, preforeclosure filings also decreased, although more subtly, to 6,420 from 6,565 in September. Stats like these are eye candy to keen housing observers.

These are month to month figures and can be a touch ambiguous. As it has been for the last ten months, preforeclosures have gone up one month and then slumped the next month, in a true roller-coaster fashion. And the general pattern has been gradually upward until July of 2008 when an unofficial ceiling, hopefully, at around 6,500 was reached on the curve. If it won't go any higher and actually starts drifting lower in the coming months would make everybody a few degrees more optimistic.

The numbers year over year, however, in Las Vegas are still very scary. Preforeclosures shot up some 69% and REOs an altogether unwholesome 157.6%. In other words, there is a bunch of work to be done yet but perhaps the beginning of a new trend is emerging.

 

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Provided by: 

Esko Kiuru
Mortgage, real estate and apartment industry analyst 

www.BluefoxToday.com - syndicated mortgage, housing and property management blog

eskokiuru@gmail.com
My cell: 702-499-1006

Comment balloon 12 commentsEsko Kiuru • November 15 2008 08:29PM

Comments

I have noticed a decline in pre-foreclosure BPOs.  Was wondering what the numbers were - thanks Esko!  Short sale increases in listings have slowed their pace just slightly.  Light?  Tunnel?

Posted by Renée Donohue~Home Photography, Western Michigan Real Estate Photographer (Savvy Home Pix) about 10 years ago

It is about time we get some breathing room somewhere in the US.

Posted by Steven Wright, CRS - Home Real Estate - 720-989-5283 (Home Real Estate) about 10 years ago

Esko that is almost a 1,000 unit drop, hope next month follows the same path.

Posted by George Souto, Your Connecticut Mortgage Expert (George Souto NMLS #65149 FHA, CHFA, VA Mortgages) about 10 years ago

I think this spring will be a very good indication where we are at in the Las Vegas Real Estate Market!  If I was a betting man, which I am not, I would bet that we have seen the bottom in Las Vegas!

Posted by Tony Sena, Broker/Property Manager (Shelter Realty, Inc) about 10 years ago

Renee,

Looks like there is a glimmer of light way back in the darkness.

Posted by Esko Kiuru about 10 years ago

Steven,

We are cautiously optimistic in Vegas.

Posted by Esko Kiuru about 10 years ago

George,

Once the downward trend, however small, is continuous we are in good shape.

Posted by Esko Kiuru about 10 years ago

Tony,

I'll approve your message.

Posted by Esko Kiuru about 10 years ago

Esko: That's good news. I know Las Vegas has been hit hard for some time. Eventually there will be nothing left to foreclose and the boom cycle can begin again.

Posted by Paul McFadden, Pest Control, Seattle, WA. (Paratex) about 10 years ago

I believe fannie and freddie should be given the money to lend out of long term treasury sales.

4% morgages to quailified buyers will get rid of some homes. Also tax incentives to purchasers.

Incentives is the best solution.

Richard

Posted by Richard Stabile, Bergen County New Homes Builder Realtor (Re/Max Real Estate Limited) about 10 years ago

Paul,

Everybody is ready for more good news, that's for certain.

Posted by Esko Kiuru about 10 years ago

Richard,

Those are good ideas. The rescue package seems to be heading in a different direction now.

Posted by Esko Kiuru about 10 years ago

Participate