52% of 2006 Home Buyers Underwater; Countrywide Freezes The House in Vegas
8% housing price drop in Q1... According to the NAR, median home prices dropped 7.7% in the last year.
According to Zillow.com; U.S. home values dropped 7.7% in Q1 alone, to the lowest in almost three years.
The decline is the biggest in 12 years worth of data compiled by the Web site.
Nationwide, 52% of homeowners who bought in 2006 when prices peaked, are already underwater.
No Drought in Vegas... In Las Vegas, where the median downpayment was 2% and prices fell 25%;
90% of the homes bought since 2006 are underwater or worth less than what is owed on them.
Zillow VP of Data and Analytics Stan Humphries:
"It's clear evidence that the fundamentals of those housing prices were not sustainable. That's definitely aggravated nationwide by the liquidity crisis."
Of the 10 metropolitan areas with biggest drops, five were in California:
Riverside-San Bernardino, Sacramento, San Diego, Los Angeles and San Francisco areas.
Prices in those regions declined from 13% to 26%.
Zillow Chief Financial Officer Spencer Rascoff:
"It's very difficult to call a market bottom. I can tell you we are not at it yet. Nationwide we continue to see increasing rates of declines."'
Vegas Underwater Causes Credit Drought & Spillover... Since January...
Countrywide, B of A, WaMu and IndyMac have frozen about 600,000 equity credit lines nationwide.
Yesterday, Countrywide suspended the home equity credit lines of almost all its Las Vegas customers.
In February, taxable sales in Clark County, Nevada, which includes Las Vegas...
fell 3.1% from a year earlier, dropping 13% at furniture stores and 6% for durable-goods wholesalers.
According to Zillow.com; U.S. home values dropped 7.7% in Q1 alone, to the lowest in almost three years.
The decline is the biggest in 12 years worth of data compiled by the Web site.
Nationwide, 52% of homeowners who bought in 2006 when prices peaked, are already underwater.
No Drought in Vegas... In Las Vegas, where the median downpayment was 2% and prices fell 25%;
90% of the homes bought since 2006 are underwater or worth less than what is owed on them.
Zillow VP of Data and Analytics Stan Humphries:
"It's clear evidence that the fundamentals of those housing prices were not sustainable. That's definitely aggravated nationwide by the liquidity crisis."
Of the 10 metropolitan areas with biggest drops, five were in California:
Riverside-San Bernardino, Sacramento, San Diego, Los Angeles and San Francisco areas.
Prices in those regions declined from 13% to 26%.
Zillow Chief Financial Officer Spencer Rascoff:
"It's very difficult to call a market bottom. I can tell you we are not at it yet. Nationwide we continue to see increasing rates of declines."'
Vegas Underwater Causes Credit Drought & Spillover... Since January...
Countrywide, B of A, WaMu and IndyMac have frozen about 600,000 equity credit lines nationwide.
Yesterday, Countrywide suspended the home equity credit lines of almost all its Las Vegas customers.
In February, taxable sales in Clark County, Nevada, which includes Las Vegas...
fell 3.1% from a year earlier, dropping 13% at furniture stores and 6% for durable-goods wholesalers.
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