Posts Tagged ‘phoenix’

Real Estate Outlook: Housing in Recovery

Tuesday, November 18th, 2008

With all the turbulence and losses in stocks and bad economic news in the headlines lately, you can easily lose perspective on what’s really going on in the real estate sector.

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Real Estate Outlook: Housing in Recovery

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Live/work loft in Jack London Square

Wednesday, October 29th, 2008

Live/work loft in Jack London Square in Oakland, CA - $649,000 - 2 Bedrooms 2 Bathrooms - PRICE REDUCED $100K!

The Phoenix Lofts, located at the western edge of the burgeoning Jack London District, is a live/work loft project converted in 200…

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Live/work loft in Jack London Square

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Mortgage Modification

Saturday, October 25th, 2008

Mortgage Loan Modification

There is a lot of questionable information floating around with regard to Mortgage Modification.A Most of this information is being provided by people and companies who hope to profit from the current mortgage …

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Mortgage Modification

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An Example of City Data from the Zillow API - Banks.com

Monday, October 13th, 2008

It’s well known that other Web sites can utilize Zestimates to provide content to their visitors — there are a number of sites (Yahoo! Real Estate, Redfin, ZIPRealty, Southern WInds Realty, Prudential California, etc) in the Zillow API Network that utilize that functionality. What’s less commonly known is that Zillow syndicates a wealth of neighborhood and city demographics, home value, and real estate data via the Zillow API. Banks.com is a great example of a site that has utilized our API to display compelling local content to their audience looking at local real estate information. Below is a screen shot of the Seattle, WA page on Banks.com.


Click on image for larger version

Depending on what region of the country you reside, take a look at some of their other local pages such as San Francisco, San Diego, Phoenix, New York, Orlando and Charleston.

Particularly for those who are in the camp that believes consumers want to research geographic areas prior to looking at specific listings, adding city and neighborhood home value trends and demographics, test scores, and local points of interest is a great way to built content relevant to your home buyers purchase path.

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An Example of City Data from the Zillow API - Banks.com

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Greater Phoenix Initiative to Promote Region as Solar and Sustainability Leader

Wednesday, October 8th, 2008

The Greater Phoenix Economic Council (GPEC) announced a new sustainability initiative to position Greater Phoenix as a location for solar and clean technology, green building, renewable energy and other “green industry” organizations. Greening Greater Phoenix Powered by SolarCity promotes the region as an emerging leader in solar technology and renewable energy industries. Over the next several months, GPEC will launch a national and international awareness campaign for Greening Greater Phoenix Powered by SolarCity, targeting companies seeking to expand or invest in a renewable energy market.

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Greater Phoenix Initiative to Promote Region as Solar and Sustainability Leader

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High Rise w/Parking Garage

Thursday, October 2nd, 2008

High Rise w/Parking Garage in Phoenix, AZ - $255,000 - 2 Bedrooms 2 Bathrooms - Panoramic Views, Business Center, Fitness Center & Pool

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High Rise w/Parking Garage

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Best Cities for Singles: “Hotlanta” and San Francisco

Monday, September 29th, 2008

If you’re young, fabulous, and looking for love in all the wrong places, consider relocating to Atlanta, GA (a.k.a. Hotlanta). According to Forbes’ recent Best Cities for Singles report for 2008, the southern town tops the list for best overall city for singles. Why? Two reasons: A strong job market and a happenin’ nightlife.

Hands down, this lists puts other “best of” lists to shame, outlining the real scoop on the single scene in 40 U.S. cities.  The results are broken down into seven different categories: number of singles, nightlife, culture, cost of living alone, job growth, online dating activity and “coolness.” Seriously, if you’re single, this list should be taped inside your little black book.

Happy home hottie hunting!

1. Atlanta, GA

2. San Francisco, CA

3. Dallas, TX

4. Minneapolis, MN

5. Washington, DC

6. Seattle, WA

7. Boston, MA

8. New York, NY

9. Orlando, FL

10. Phoenix, AZ

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9/11: “I remember … “

Thursday, September 11th, 2008

Today is the 7th anniversary of 911. Almost a decade later, after the tragic events and strengths that united our country and our nation’s friends, I still remember where I was, how I felt and what I did on that day in 2001.

I remember that my family was in Door County Wisconsin for a family wedding; my cousin had just gotten married the day before. I remember coming into the living room where my brother was fixated on the TV, and then I remember watching the TV as a plane hit the second tower. I remember my dad, a New Yorker, pacing back and forth and saying that it was the “end of the world as we know it.”Flag

I remember being relieved when I found out the day care in one of the Twin Towers had not been occupied that day. I remember worrying about what was next.

I remember the need to hug my children tight. I remember driving home how quiet the ride was, flags were at half mast, there were no planes in the sky. 911 - I remember.

What I learned today is that the events of that day are fresh in the minds of many.

I sent an email to my fellow co-workers at Connect2Agent, asking them to ” … answer the question what do you remember, starting each thought with “I remember … ”

Here are their memories of September 11th, 2001:

I remember that I was in my car and the confusion of trying to grasp the initial reports coming across the radio. I remember turning around and heading back to the day care provider with the need to hold my child. I remember the shock of watching the towers fall, it was a feeling that affected every cell of my body. I remember not knowing what to say. -Kristi

I remember the principal of the Christian school where I was teaching walking into my 4th grade classroom and encouraging me to turn on the TV, that “an attack” had taken place in New York. I remember that upon turning on the TV my students and I witnessed a plane flying into the 2nd tower. I remember turning off the TV and asking my students to join me in prayer for the victims of the crash, their families, and for the lost souls of the persons who planned and executed this tragedy.

I remember a new student to our school, in my classroom, wanting to find her mother, who was assisting the teacher in the 1st grade classroom. She explained that her uncle, her mother’s brother, was a New York City fireman. She was in tears. I walked her to the door and was met by her mother, also in tears. I remember finding time to call my oldest daughter, out of state at college, my son, who was home sleeping, and my youngest daughter, who was a freshman in high school.

I remember longing to hug each of them and assure them, and myself, that God was in control, and that I was there to help them in anyway I could. I remember calling my mother and sister, both out of state, later that day, and expressing my love to them. I remember feeling extremely small, powerless and humbled. I remember longing to feel a physical embrace from God. -Sharon

I remember it being such a scary and sad day. I was at work, 7 months pregnant with my son and wondering what kind of world I was bringing him into. I remember having contractions (probably from stress) and being so scared too, thinking - “What’s next?” I remember our office closed mid-day so everyone could go home and be with their families.

The rest of the day, my husband and I sat and watched in horror the devastation in NY. I remember crying as I watched those who could not find their family members and praying for each of them and our country. -Tricia

I remember being at work and the news coming through my desk radio. I remember how everyone stopped what they were doing, and the room fell silent with disbelief. I remember my mother crying with worry over family members who live in the areas where the destruction occurred.

I remember the days that followed, and the shock, dismay and grief that engulfed our country. I remember America rising as the phoenix from the dirt and debris, and forming a united front.

I remember a tragedy that did not break a nation, instead - it made us stronger and brought us together as never before. -Amber

I remember I was checking my email right before going into one of my classes at college, and a friend had sent me an email saying a plane just crashed into the Twin Towers. While I was concerned, the extreme seriousness of the situation did not completely register with me yet. I remember going on to class, where everyone was worried, trying to figure out what was going on, and no one could concentrate.

As I was walking out of the building after my class, I remember a TV in the hallway was on and a lot of students were gathered around, staring at the news. I stopped for a minute, then left and went straight home, where my roommate was glued to the TV.

I remember both of us sitting there in shock, watching everything replay over and over. We had just started working at the same place and had to go to work that afternoon. I remember riding in the car and looking outside at the clear blue sky; it was a beautiful, calm day which was a total contrast to what had just happened. Everything looked peaceful, but felt the opposite. I remember looking up in the sky and wondering if I would see any planes. My sense of security was gone. -Erin

I remember sitting in my vehicle in a parking lot across from one of my classroom buildings at Central Michigan University, studying for an exam because the library was still being constructed. I remember looking up to see hundreds of students pouring out of the building - some heading back to their dorms, others heading to their vehicles. I remember being confused and asking the guy who parked next to me, “What’s going on? Have classes been canceled?” I remember his reply didn’t make sense and at first I thought he was being a smart-assed kid telling me a line of b.s. I remember his facial expression was serious and sad.

I remember starting my vehicle and hearing the radio announcer say, “The World Trade Center is no more.” I remember listening in disbelief as the horror and tragedy of the morning’s events were told. I remember wanting to be with my (then) husband, and headed toward home. I remember crying non-stop on the long hour commute home. I remember holding my husband tightly. I remember feeling helpless. I remember watching the images on TV and my heart aching for the people.

I remember realizing the world had changed forever.

I will never forget. -Abbie

I invite readers to share their experience on this post. In the comments section, answer the question “What do you remember about September 11, 2001?” starting each thought with “I remember … ”

Thank you for sharing.

Posted by Rebecca D. Levinson

Rebecca Levinson

 

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John McCain’s Houses Number 6 — No, 8… Maybe 11?

Wednesday, August 27th, 2008

Republican presidential nominee John McCain took a lot of ribbing a week ago when he botched the question, “How many houses do you and Mrs. McCain have?” His answer landed somewhere between “I don’t know” and “I’ll have my staff get that for you.”

In his defense, McCain couldn’t give a straight answer because it’s complicated. One main reason is because his wife, Cindy Hensley McCain, the multi-millionaire beer distributor heiress (she’s a Budweiser gal), is the one with all the money and the houses (they are under holding companies or trusts controlled by Cindy). Also, they have purchased a couple of condos in the same buildings and in one case, combined them into one uber property, which also leads to the confusion. Even media sites and blogs are at odds:

New York Times: 11
Politico: 8
Politifact: 7 8
The Swamp: 8
Washington Post: 6

So, their real estate empire is a bit difficult to sort out. But, here’s an attempt to break it down, state-by-state:

ARIZONA
(3 properties):

2211 Camelback Road, Phoenix, AZ

2211 Camelback Rd., Phoenix, AZ
Unit 1105 and 1106
See more Phoenix, AZ real estate

Overview: This is a 12-story luxury condo complex with 90 units in the Biltmore area of Phoenix known as “The Residences at 2211 Camelback.” Self-described as “a sanctuary within the heart of the city’s preferred cultural district, teeming with couture boutique shopping, exquisite dining, world-class resorts and spas, championship golf, and a liberal array of fine and performing arts venues - heralds Phoenix’s newest landmark of sophisticated urban living.”

The Scoop: This 7,000-sq-ft home is considered to be the McCain’s primary residence. They purchased a high-floor apartment for $4.67 million in October 2006 and then, another unit was purchased for $830,000 in Aug. 2007 and the two units (1105 and 1106) were combined. This combination could add to the confusion as to how many homes the McCains own.

4325 N 25th St., Phoenix, AZ

4326 N 25th St, Unit 102, Phoenix, AZ
See more Biltmore Lofts for sale

Overview: Known as the Biltmore Lofts, these are described as “ultra-modern architectural design.”

The Scoop: According to property records from Maricopa County, Arizona, the McCains purchased this loft (with cash) for $700,000 in June 2007 for their daughter, Meghan (who writes McCainBloggette.com) before they put it on the market for $730,000. It’s owned by Wild River LLC, and is listed as rental property on McCain’s 2008 Senate Financial Disclosure Report.

Sedona Ranch

11455 E Hidden Valley Ranch Rd., Sedona, AZ
See more Sedona, AZ real estate

Overview: Regarded as McCain’s answer to W’s Crawford ranch, this retreat is where McCain likes to barbecue, ride ATVs, and generally spend time wining and dining guests.

Sedona BBQ

The Scoop: The McCain ranch poses a dilemma to document since public records for Yavapai County, Arizona, show three adjacent parcels that belong to the “Cindy Hensley McCain Family Trust” including parcel 407-24-004P and 407-24-004H and 407-24-004L. While it is referred to as his ranch in Sedona, many dispute it by saying it’s actually located in Cornville, AZ, or Page Springs, AZ.

See more Cornville, AZ, real estate
See more Sedona, AZ real estate

CALIFORNIA
(3 properties):

8263 Camino del Oro, La Jolla, CA

8263 Camino Del Oro (Unit 379), La Jolla, CA 92037
See more La Jolla, CA real estate

Overview: This property is held in the Hensley Survivors Trust, according to public records.

The Scoop: This is the property where the McCains ran into tax trouble by failing to pay their tax bill for four years. Our Zestimate values it at $963,000 (as of Aug. 26). According to the San Diego Union-Tribune, the 1,429-square-foot condo has two bedrooms, two bathrooms, and a two-car garage, and was built in 1972. County tax records indicate Cindy McCain’s parents, the Hensleys, bought it new. Also, the condo has an annual tax obligation of $1,574 because it is assessed at $140,855, a value kept low by tax-limiting Proposition 13.

1710 Avenida del Mundo

1710 Avenida Del Mundo, Coronado, CA 92118
(Units #802 and #204 — for sale!)
See more Coronado, CA real estate

Overview: This monstrous complex, called the Coronado Shores Condominium Association, sits right on the beach and consists of 10 buildings, each 15 stories high with as many as 140 units in each structure.

The Scoop: According to PolitiFact.com and McCainvMinnesota.com, the McCains own two condominums in the complex under the name Dream Catcher Family LLC. One unit (#802) was purchased in 2004 for $2.6 million and the second unit (#204) was purchased in March 2008 for $2.1 million. What’s interesting is that unit 204 appears to be for sale, with the sale including unit 205, which is owned by the Stephen F. Kasbeer Trust, the same folks who sold unit 204 to the McCains. Here’s a Prudential, CA, video tour of the property. (Looks like Kasbeer and his wife donated some money to McCain in 2000).

VIRGINIA
(1 property):

1300 Crystal Drive, Arlington, VA

1300 Crystal Dr (#1702S), Arlington, VA 22202
See condos for sale at 1300 Crystal Dr, Arlington, VA
See more Arlington, VA real estate

Overview: Yes — yet another condo and one would imagine, the place where John McCain holes up when he’s in town doing his work on Capitol Hill as a U.S. Senator.

The Scoop: According to public records, this 2,089-sq-ft, three-bed, three-bath condo was purchased by the Cindy Hensley McCain Trust back in 1993 for $375,000. Our Zestimate is $883,000.

CINDY McCAIN’s CHILDHOOD HOME

7110 N Central Ave, Phoenix, AZ

7110 N Central Ave, Phoenix, AZ 85020

While the McCains no longer own this home, it is worth noting due to its celebrated history. According to an AZcentral.com article by Wall Street Journal’s Christina S.N. Lewis, this was Cindy McCain’s childhood home and the home the McCain family shared for 20 years. The McCains sold it in 2006 for $3.2 million to real estate investor Jane Popple. It is now listed for sale for $12 million. Yowza! Architectural Digest did a big photo spread of this McCain residence back in 2005. In the master bedroom, the initials “MC,” for “McCain,” were hand-carved into a mantelpiece, which was made in Guadalajara.

So, there you have it, 7 homes owned by the McCains — that we know of — with two for sale.

Fun stuff:

Comments, corrections, additions, and submissions are welcome. Please send to celebtips@zillow.com

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John McCain Losing Track of Homes he Owns

Thursday, August 21st, 2008

When asked by The Politico yesterday about how many homes he owns, Republican presidential candidate John McCain was unable to answer decisively. It was like Monty Python’s Bridge of Death scene from the movie “Monty Python & the Holy Grail — answer incorrectly and you will be cast into the “gorge of eternal peril.”

Q. How many houses do you and Mrs. McCain have?

A. “I think — I’ll have my staff get to you. It’s condominiums where — I’ll have them get to you.”

According to Luxist, the McCains were purchasing two condo units at 2211 Camelback, Phoenix, AZ, while downsizing from their larger, North Central Phoenix property, which was on the market. Not sure if it’s still on the market or was sold — anyone know?

This isn’t the first time a real estate issue has flared up for this presidential race. Barack Obama is fielding his own set of questions.

By the way, this got me to wondering how Christie Brinkley keeps track of her 18 homes. I mean, 18 homes? How does she keep track?

John McCain Losing Track of Homes he Owns

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Home Remodeling: Hot Colors for Fall

Thursday, August 21st, 2008

Are you remodeling or redecorating? Then you’re probably looking for some inspiration in the color department. One tip: Look no further than fall’s fashion runways. Fashion trends often dictate what’s hot in home decor. So, if you’re looking to get a jump-start on next season’s trends, check out Pantone’s hot colors for fall 2008. Saturated tones of both warm and cool colors dominate the list. But how do they look in actual rooms? I was inspired by this great post on the Material Girls blog to find rooms from Dueling Digs that put these bold colors to use:

This office is from 11754 Treadwell Dr, Poway, CA
See more living space remodeling ideas
See more Poway, CA real estate

This bedroom is from 1955 King Arthur Cir, Maitland, FL
See more bedroom remodeling ideas
See more Maitland, FL real estate

This kitchen is from 5383 E Rockridge Rd, Phoenix, AZ
See more kitchen remodeling ideas
See more Phoenix real estate

This bathroom is from 3667 Gleneagles Dr, Tarzana, CA
See more bathroom remodeling ideas
See more Tarzana, CA real estate

This kitchen is from 4144 Flintlock Rd NW, Atlanta, GA
See more Atlanta real estate

This living room is from 2242 81st Ave SE, Mercer Island, WA
See more living room remodeling ideas
See more Mercer Island, WA real estate

This bathroom is from 814 Sheridan Rd, Wilmette, IL
See more Wilmette, IL real estate

This bedroom is from 16593 Catena Dr, Chino Hills, CA
See more Chino Hills, CA real estate

This bedroom is from 3338 SW Fairmount Ln, Portland, OR
See more Portland, OR real estate

This living room is from 2049 NE 6th Ter, Wilton Manors, FL
See more Wilton Manors, FL real estate

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Home Remodeling: Hot Colors for Fall

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How to hit the bullseye in real estate

Thursday, August 21st, 2008

The choices can be overwhelming in a real estate market saturated with inventoryREO properties and short sales - added to new construction and regular resale properties - make an interesting potluck for real estate buyers. If you are diligent, there are many great real estate buys across the United States today.

Most importantly, if you are realistic, you can hit a bullseye in real estate.

I spoke with Connect2Agent member and real estate agent in Scottsdale Arizona, Jan Green, about the multiple housing options buyers have to choose from. Similar to a multiple choice test, there is usually one right answer. Unlike that popular testing method, the right answer changes for each real estate buyer.

While a buyer’s final answer results in a big financial commitment, the reasons for the commitment are personal.

In the Phoenix area, variety is the spice of the real estate market. Buyers are able to choose from a mix of resale, REO (real estate owned) and short sale properties. The majority of the houses on the market right now are ones that are nearing or already in foreclosure.

Four hundred foreclosure properties typically come on the market in a day in Phoenix. Green says it is her job to pick the best ones for her clients - not an easy task. She shared with me that some foreclosures have pools that have not been maintained. These become cesspools for mosquitoes and their larvae.

Other foreclosure properties have been left in varying stages of disrepair, from unsightly yards and dirty interiors to more pressing problems, like water damage due to a burst pipe that’s been leaking and left neglected. Vandalism can also be a common occurrence for REO properties. Green has seen houses where built-in speakers have been ripped out of the walls and the interiors have been gutted of valuables and spray painted.

Green tours many REOs in order to find the ones left unscathed by neglect and abuse. The ones that remain are true diamonds in the rough.

Next are the short sales. These houses are still with the original owner, but are nearing foreclosure. Because the sellers of these houses have fallen behind in their payments and owe more than what they can list the house for, the banks have to agree to the final sales price negotiated between the owner and a real estate buyer.

The short sale process is not for the faint of heart. It can be long and problematic. Green does not recommend short sales to many real estate buyers for this reason. They take longer to close and the deal can go from desk to desk in the loss mitigation department. It is difficult to keep the communication efficient and consistent. The time from contract to closing can be months and in between that time, the deal can fall apart.

Finally, you have the resale and new construction houses. They may not be the cheapest houses for sale in the Phoenix real estate market, but some are aggressively priced to keep up with the abundance of REO properties and short sales. Sellers and builders alike might offer incentives, like free upgrades and closing cost assistance, to tempt home buyers.

The resale and new construction properties are the best-maintained properties in the market today.

Each type of housing has its own flavor. At the end of the day, how do you know where to find the bullseye? I asked Green - who has recently assisted four first-time home buyers in a row - this question. One of the first-time home buyers purchased new construction and the other three purchased REO properties. She broke it down to three questions home buyers need to ask themselves:

  • What am I looking for?
  • What location do I want to be in?
  • What am I willing to sacrifice?

Answer these questions and share your hopes and dreams with your real estate agent. This is where the impartial party can step in and give you the guidance you need. Then step back, adjust your stance, aim and throw … you can hit the bullseye in real estate.

Posted by Rebecca D. Levinson

Rebecca Levinson
 

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How to hit the bullseye in real estate

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Look Around: One in Seven is Underwater

Monday, August 18th, 2008

Last week, we released our Q2 2008 Real Estate Market Reports, in which we reported that, nationwide, 29.1% of homeowners who purchased in the past five years are currently underwater on their mortgages (i.e., owe more on the mortgage than the house is worth). We also reported that almost half (45%) of those that bought at the national market peak of 2006 currently have negative equity. The first chart below shows the number of homes with negative equity as a percentage of homes sold in each of the last five years (broken out by region). As you can see, homeowners buying in the West at the 2006 peak have been hit the hardest with almost 60% of purchasers in that year upside down currently on their mortgage.

After doing a bit more number-crunching, we’re able now to report these numbers as a percentage of all homes, not just homes sold in a given period. The numbers are even more startling than we expected with almost 14% of all single-family homes in the U.S., regardless of when they were bought, currently in negative equity. That’s one in seven single-family homes in the country underwater right now. The second chart below breaks these numbers out by region as well. Here, the impact of significant market declines in California, Las Vegas and Phoenix are evident in negative equity rates in the West which top 18 percent (almost one in five homes underwater). The lowest rates of negative equity are found in the Northeast with only about 6 percent of homes underwater.

In an earlier analysis at the beginning of this year, Moody’s Economy.com reported rates of negative equity at the time of about 10 percent with a projection for rates to near 14 percent by the end of Q2. Indeed, it does appear that we’ve hit those levels as indicated by our own numbers. With negative equity being a factor in foreclosure rates, these numbers are just one more reminder of the severe strain being felt by many homeowners right now.

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Look Around: One in Seven is Underwater

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Second Quarter Housing Performance…Ouch

Tuesday, August 12th, 2008

With Zillow’s Real Estate Market Reports for the second quarter of 2008, the U.S. housing market turned in another dismal quarter of performance with a year-over-year decline in the Zillow Home Value Index of 9.9 percent. This marks the sixth consecutive quarter of year-over-year home value declines and, as in the previous five quarters, represents another record-breaking decline, the magnitude of which has not been seen in the previous twelve years of Zillow data stretching back to 1996.

The extent of the current housing woes is revealed not just in the magnitude of the annual depreciation but also in the widespread scope of the poor performance with 140 of the 165 markets (85%) covered this quarter experiencing year-over-year declines in the Home Value Index as of the second quarter. Since the peak of the national housing market in the second quarter of 2006, home values have fallen more than 13 percent, taking values back in time to levels last seen in the fourth quarter of 2004 (see chart below).

<!–[if !vml]–><!–[endif]–>

Market performance varied widely with parts of California’s Inland Empire again topping the list of weakest markets as seen in Merced and Stockton where year-over-year declines were 40 percent and 38 percent respectively. Other large metropolitan areas hit hard with market declines included Las Vegas (-27% year-over-year decline), Los Angeles (-21%), Miami (-21%), Orlando (-20%) and Phoenix (-19%). Those few bright spots out there still experiencing positive appreciation included several metro areas in the Midwest and Southeast such as Oklahoma City (1.1%), Austin (1.2%), Chattanooga (2.9%), Mobile (3.3%), Tulsa (3.9%) and, always in the list of top performers, Grand Junction, CO (4.9%) [Can somebody in Grand Junction tell us what the magic is out there?]. See the map below for home value changes across the country.

<!–[if !vml]–><!–[endif]–>

All of this real estate depreciation was translated predictably into high rates of negative equity across the nation with more than 29 percent of homeowners who purchased in the past five years currently owing more on their mortgage than their home is currently worth (leaving them “upside down” or “underwater” on their mortgages). Among those homeowners who purchased at the height of the market in 2006, almost half (45%) are currently underwater on their mortgages.

To get more insight into the difficulties in these various markets, we began reporting this quarter on a variety of Distress Signals such as percentage of homes with declining values, percentage of homes selling for a loss, and rates of foreclosures. Nationwide, 77 percent of homes declined in value over the past year (although only 38 percent of homeowners in a recent Zillow/Harris Interactive survey believed their homes had declined in value which is a whole other story). In Q2, about a third of homes (32.7%) actually sold for less than the value for which they were purchased. In Los Angeles, more than half the homes sold in the second quarter were sold for a loss (51.1%) and in Las Vegas the percentage of homes selling for a loss reached almost 70 percent. For the nation at large, more than 18 percent of sales transactions in the second quarter were foreclosures, up markedly from just 7 percent in the second quarter of 2007. Commensurate with the large home value declines and high rates of negative equity, the metro areas of Stockton and Merced both saw foreclosure rates in excess of 50 percent for the second quarter (and percentages of homes selling for a loss of greater than 70 percent).

While predicting the bottom of the market is difficult, it’s clear that with year-over-year depreciation currently in the near double-digit range, we’re going to remain in negative territory in most of the hardest hit markets for the next several quarters (even were the market to bottom out now). And stabilization of home values must be preceded by a substantial clearing of the glut of unsold homes that is clogging a lot of these metro areas, an event which is made all the harder given the large numbers of foreclosures flooding into these same markets right now. And while negative equity is a contributing factor to foreclosure rates even in normal times, there’s anecdotal evidence that the high rates of negative equity currently seen in the market are having an independent effect on foreclosure rates by inducing homeowners who haven’t experienced an acute financial hardship that typically leads to foreclosure (e.g., job loss, death, mortgage resets making payments untenable) to walk away from their homes –  frustrated with making payments on an asset than is now worth substantially less than it was originally. All in all, not a cheery picture in this quarter’s numbers.

We offer up this data in all 165 metro markets (the most comprehensive set of real estate data you’ll find anywhere) with the hope that knowledge will set you free. Even in bad times (especially in bad times), knowledge of the local real estate market is a consumer’s best friend and it’s Zillow’s mission to provide consumers with the most detailed and up-to-date information on what’s happening in the real estate market around them.

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Commercial Investing Tips & Market Observations from the Future Leaders of the CCIM Institute: The 2008 Class of the Jay W. Levine Academy

Thursday, July 31st, 2008

[Note: To follow is an excerpt of an interview with the 2008 class of the Jay W. Levine Leadership Academy of the CCIM Institute. To listen to, or download the show archive MP3, go to www.IncomePropertyInvestmentTalk.com.]

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Commercial Investing Tips & Market Observations from the Future Leaders of the CCIM Institute: The 2008 Class of the Jay W. Levine Academy

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