03-01:  New-home sales take steep tumble, from the USA TODAY, reports that according to the U.S. Commerce Department, sales of new U.S. homes fell last month by 16.6%, the sharpest amount in 13 years. Housing inventory also rose to its highest level in three months. The number of homes completed and awaiting a buyer rose to a record 175,000 last month. Together, the figures suggest that residential construction could remain a drag on the economy and that lower home prices may be needed to stir buyer interest. The Commerce Department report comes one day after the NAR reported a stronger-than-expected month of existing home sales. New-home sales fell in all regions in January, led by a 37.4% drop in the West.

 http://www.usatoday.com/money/economy/housing/2007-02-28-new-home_x.htm

03-01:  New-home sales show slight uptick, from the East Valley Tribune, reports that Valley new-home sales continued to drag in January, but a slight uptick in new home permits in recent months indicates some life may be returning to the market. There were 3,746 new home sales in January, down 7.1 percent from January 2006, according to the latest data released by local housing expert RL Brown. Permits were also down year over year, with builders pulling 2,876 permits in January 2007, compared with 4,423 in January 2006. But, Brown said, the number of permits has been increasing slightly the past three months. "It's an encouraging sign," he said. "It appears that the real slide from euphoria has bottomed out." Builders have been cutting prices and readjusting their products, offering fewer extras like granite counter tops to make homes more affordable, Brown said. Builders are expected to pull about 40,000 new-home permits in 2007. Brown estimates that builders need to unload 12,000 to 14,000 houses built on speculation still on the market throughout the Valley. Brown expects the excess inventory to be corrected by mid-year or the third quarter. "The general mood is that things are improving in the new housing market," he said.

 http://www.eastvalleytribune.com/story/84929

03-02:  Cities afraid of death by congestion, from the USA TODAY, reports that political and business leaders in metro areas increasingly view traffic congestion as hurting their ability to compete with other regions for new business and young professionals. As a result, some major cities such as Phoenix are looking at speeding up major freeway projects, such as widening Interstate 10 between the US 60 and SR 143 from 14 to 24 lanes to ease the kind of gridlock that some planners say could stunt economic growth. "The Phoenix metro area is growing like crazy," said Eric Anderson, transportation director for the Maricopa Association of Governments, the regional agency that coordinates freeway construction projects. "We're adding about 125,000 people a year, and we have a population approaching 4 million." The Interstate 10 widening projects is one of several large highway projects across the nation in major cities. The article cites Atlanta, which competes with Phoenix for population and jobs, as having more concerns about traffic congestion than Phoenix.

http://www.usatoday.com/news/nation/2007-02-28-freeway-inside_x.htm <http://www.usatoday.com/news/nation/2007-02-28-freeway-inside_x.htm>
 

03-02:  30-year mortgage rates at 6.18%, lowest level since beginning of the year, from MSNBC.com, reports that rates on 30-year mortgages fell for the second straight week to the lowest level since the week of January 4th. The rate fell to 6.18%, down from 6.22% last week. The drop was spurred by this weeks 416-point drop in the stock market, which pushed investors to seek the safety of bonds. Rates on 15-year fixed-rate mortgages fell to 5.92 percent, down from 5.97 percent last week. One year ARMS were unchanged at 5.49 percent. A year ago, rates on 30-year fixed-rate mortgages stood at 6.24 percent. Great time for buyers to capitalize on these continuing low interest rates!

http://www.msnbc.msn.com/id/7148582/ <http://www.msnbc.msn.com/id/7148582/>

 <http://www.azcentral.com/php-bin/clicktrack/print.php?referer=http://www.azcentral.com/community/mesa/articles/0913mr-homesales0913Z11.html>

 <http://www.eastvalleytribune.com/index.php?sty=67821>

03-05:  Builders throw out welcome mat to real estate agents, from the East Valley Tribune, reports that with once massive waiting lists dried up and thousands of spec homes sitting empty in subdivisions, Valley builders are trying to jump start sales by offering hefty financial perks to real estate agents. That's a far cry from just two years ago when builders mind sets were "We don't need you," said Christa Burlakoff, owner of Principal Residential Group in Phoenix. "They started ignoring Realtors." Agents went from receiving 3 percent commissions to referral fees of $250, Burlakoff said. Then the market turned, and now builders are offering commissions of 6 and even up to 10 percent to help burn through the 12,000 to 14,000 spec homes on the market. For Scottsdale-based Hacienda Builders, roughly 60 percent of its business comes from agents. "We know Realtors are a vital partner," said Susan Paul, vice president of sales and marketing.

http://www.eastvalleytribune.com/story/85117

03-05:  Valley's housing market shows more of a pulse, from the Arizona Republic, reports that according to some housing experts, the Valley's housing market is showing signs of a rebound. Home building permits across metro Phoenix climbed to a five-month high in January, according to local housing analyst RL Brown. The chart on his Phoenix Housing Market Letter is still "code red", but he is considering changing it to "yellow", signaling caution. Brown still estimates 12,000 to 14,000 spec homes Valley-wide, but builders are dropping prices and drawing buyers back to the fringe areas. There were almost 16,000 new listings for Valley homes in January, down a couple of hundred from December 2006. From national housing analyst Tim Sullivan's newsletter sent out Feb 22: "Many of our home-builder clients in the Southwest report a notable uptick in sales in the last four weeks. None of our clients are going so far to say that the market has been corrected, but the general sense in that the last month or so has been better that in any in the last six to eight months. Now if builders can continue to pay attention to sales prices, the market might find some equilibrium."

 http://www.azcentral.com/arizonarepublic/business/articles/0304biz-catherine0304.html

03-05:  Home builders busy in Gilbert, from the Arizona Republic, reports that even with the slowing housing market, homes continue to go up in Gilbert. Homebuilders including Taylor Woodrow Homes, Lennar, and Cachet Homes are planning to bring about 3,600 houses to the southeastern sections of Gilbert. Gilbert is perceived as an infill community, which may be fueling popularity of new home projects in the area, said Jay Butler, director of Realty Studies at ASU. IN January, Gilbert was the third largest issuer of residential permits in Maricopa County. Some of the new developments include Layton Lakes, a 1,965-home Lennar project at Lindsey and Queen Creek Roads; Adora Trails, a 1,871 unit planned community at Riggs Road in between Val Vista Drive and Higley Road which will have numerous builders; Shamrock Estates near Higley and Chandler Heights Road will have 800 homes built by Taylor Woodrow Homes and Element Homes; and two additional Taylor Woodrow Homes developments-- Stratland Estates with 114 lots and Carrara Estates, containing 78 lots.

 http://www.azcentral.com/community/gilbert/articles/0303gr-newhomes0303Z12.html

03-06:  700-acre home project set near Camino a Lago, from the Arizona Republic Peoria, reports that developer Communities Southwest purchased 694-acres of state trust land last month that is part of the 1,500-acre Camino a Lago project in Peoria, and plans to build 1,508 homes on the site. The property, located at roughly 91st Ave. and Pinnacle Peak Road, was purchased at the February 15th State land auction. The winning bid, $61.1 million, comes to about $88,040 per-acre. Southwest Communities beat out 89 other bidders for the land. The land is surrounded by commercial development, and Peoria planners laid out infrastructure expectations for bidders when it drafted site plans for Camino a Lago almost ten years ago. That ready-to-order preparation made the parcel desirable to several developers. Southwest Communities is also developing Mirielle and Country Place housing developments in Buckeye.

 http://www.azcentral.com/community/peoria/articles/0303gl-nwvland03Z2.html

03-07:  Phoenix home prices drop, but freefall unlikely, from the Arizona Republic, reports that metropolitan Phoenix home prices have dropped in the past year, but economists say not to expect a freefall in Arizona's housing prices. According to the latest issue of the Arizona Blue Chip Economic Forecast, "worries about a bursting housing bubble have not become reality." It cites information from the Office of Federal Housing Enterprise Oversight that shows Arizona home prices were up 10 percent during the fourth quarter of 2006 compared with the fourth quarter of 2005. Helping Arizona home prices are cities like Yuma, Prescott and Flagstaff, which posted double-digit gains in 2006. The Valley's home prices climbed 3 percent during that same period. Nationally, home prices were up 6 percent. Metro Phoenix led the nation for home price gains in 2005 with an almost 50 percent jump, according to the federal housing agency. The Valley median resale home price fell about 5 percent last year.

  http://www.azcentral.com/arizonarepublic/business/articles/0307biz-housing0307.html 

03-07:  New fees will boost home cost, from the Arizona Republic Chandler, reports that Chandler's City Council approved a $6,000 increase in the city's impact fee, taking effect June 4th. That will raise Chandler's impact fee to $19,538, one of the highest in the Valley. The fees, which are assessed on a per structure basis, are the same whether it's a starter home or a mansion. Homebuilders are unhappy, saying Chandler is forcing newcomers to pay more than their fair share. Lauren Barnett of the Home Builders Association of Central Arizona said the increase will force about 15 percent of the city's population to pay nearly half the cost of new parks. Chandler is close to build out and city officials estimate there is space for fewer than 15,000 new homes.

http://www.azcentral.com/community/chandler/articles/0307cr-impactfees0307Z6.html

03-08:  West Valley home values end year on high note, from the Arizona Republic, reports that last year, most West Valley cities saw gains in median home prices. Litchfield Park had the highest median price in the West Valley at $397,500, while Youngtown ended 2006 with the lowest at $176,000. But even the "far" West Valley saw increases, as evidenced by Tonopah's median home price rising 46 percent, from $157,750 to $231,517. Denise Stern with Century 21 Metro Alliance in Avondale said "prices started out so low, they had no place to go but up. We had people lining up in our office to buy land in Tonopah, and the activity in general drove up the price." Even with the overall increases, the market caught up by August, and according to Information Market Data, more than three-fourths of West Valley zip codes experienced a drop in median price through the last half of 2006. In Glendale, median home prices jumped 12 percent in 2006 to $265,000. Peoria's median price stood at $339,000, Surprise was at $296,480 and Goodyear stood at $331,992.

http://www.azcentral.com/community/glendale/articles/0307onl-values08.html

03-08:  Weak housing market weighs on job growth, from MSNBC.com, reports that the downturn in the U.S. housing market has taken a toll on a wide group of people and companies, including homebuilders, lenders, borrowers and flippers. Now it is affecting other groups related to housing, such as real estate agents, home appliance companies and home furnishing companies. That's a sharp contrast to the height of the housing boom in 2005-06, when the industry was responsible for creating some 25,000 to 50,000 new jobs every month, according to Mark Zandi, chief economist for Moody's.com. "In recent months it's been laying off workers at a pace of 25,000 to 50,000 per month," he said. "And I think in the next couple of quarters, we'll start seeing job losses between 50,000 and 75,000 per month...I think the housing market is going down a whole other notch." The news on the front lines of the housing industry remains gloomy. Sales of new homes plunged 17 percent in January. On Wednesday, the nation's largest homebuilder, DR Horton, said it would take until January 2008 for the industry to work through the glut of unsold homes.

http://www.msnbc.msn.com/id/17503344/

03-09:  5 indicted in Arizona real estate fraud case, from the Arizona Republic, reports that a group of former housing counselors, loan officers and an escrow agent have been indicted on fraud and conspiracy charges in one of the biggest real estate fraud cases in Arizona since the housing crash of the late 1980's. The group is accused of defrauding the Department of Housing and Urban Development of $1.9 million through a pre-foreclosure scam that targeted dozens of first-time homeowners across the Valley from 2001 through 2003. The group is accused of submitting documents to HUD making it appear that houses that had defaulted mortgages were worth less than they were, then turning around and selling the homes for much more. Because HUD insures the mortgages, HUD was left to satisfy the debt with the lender. At least 65 homes throughout the Valley were purchased in the scam. For a list of the defendants and their companies, please refer to the article.

 http://www.azcentral.com/news/articles/0309indictment0309.html

03-09:  Home sales can't forecast trend, from the Arizona Republic Ahwatukee, reports that median prices for existing homes in the Southeast Valley continued to bounce around in February, showing little indication of any trend for the rest of the year. Ahwatukee Foothills had the highest median resale price at $373,000 in February. Jay Butler, director of Realty Studies at ASU, called it a "pitiful month" for forecasting events because it, along with January, is usually one of the slowest months for sales of existing homes. The sales recorded in February reflect purchase decisions made over the holidays, when people weren't in a mood to shop for real estate. In fact, throughout the metro Phoenix area, the number of sales of existing homes was the lowest for any February since 2003. Compared with February 2006, median prices last month rose in Ahwatukee Foothills and Chandler, and fell in Gilbert, Tempe and Mesa, according to Realty Studies numbers. "It's just one of those markets that has no trend," said Jay Butler.

http://www.azcentral.com/community/ahwatukee/articles/0309ar-homesales0309Z14.html

03-09:  30-year mortgage rates at 6.14%, from MSNBC.com, reports that rates on 30-year, fixed-rate mortgages fell to 6.14% this week, the lowest since mid-December. "Mortgage rates slid further in the past week to the lowest level this year as volatility in overseas stock markets led to questions about implications for the U.S. economy," said Frank Nothaft, chief economist at Freddie Mac. Nothaft said he believed the economy would strengthen as the year moves forward and this would leave 30-year mortgages moving in a narrow range of between 6.3 and 6.4 percent. The Freddie Mac survey showed that other types of mortgage rates hit their lowest points for the year as well.

http://www.msnbc.msn.com/id/7148582/

03-12:  The experts' predictions, looks at several real estate experts take on the housing market, including Vivki Johnson, V.P. at Desert Heritage Mortgage; Chris Mozilo, President of the Arizona Mortgage Lenders Association; Tim Sullivan, President of the Sullivan Group Real Estate Advisors; Drew Brown, President of DMB Associates; Marshall Vest, Director of the Economic and Business Research Center at U of A, Margaret Dixon, President and CEO of Prudential Arizona Properties; and Mark Upton, V.P. with Engle Homes. Most believe that our housing market has hit bottom or will shortly, and that this years housing market will be tough but show some improvement. Most expect a gradual improvement over time. All agree that the local economy is strong and that compared with the national market, we are in good shape due to continued job creation and population gains. It appears the resounding theme from the experts is to have patience. You need to read this article in its entirety.
 
http://www.azcentral.com/class/marketplace/homevaluesspring07/articles/0306vhv-predictions-ON.html
 
03-12:  Experts divided on whether market will improve, reports that some market observers believe that the local housing market has hit bottom, while others say several months of uncertain times lie ahead. Still others have split opinions about the health of the new and resale markets. "The prices have to pull back," said Debbie Nichols, a Realty Executives agent in the Northeast Valley. "There's so much supply and not near the demand." Single-family resale inventory stood at more than 43,000 in January, according to the MLS. Analysts say that 25,000 to 30,000 is the target level, and before the market can recover, the excess inventory must be sold off. The new home builder incentives are making the resales harder to sell since they are competing against so many new spec homes. Outlying areas, such as Queen Creek and parts of Buckeye, were the hardest hit by the big price increases, and have seen a softening in prices. Ben Sage at Metrostudy, believes the resale market is approaching the bottom and will improve slowly through the rest of the year. Local housing expert RL Brown says 2007 should be the low point and expects gradual recovery to start next year in the new home market as builders sell off the excess spec home inventory. "They're finally getting the message, and there's some serious repositioning and price changing going on," said Brown.
 
http://www.azcentral.com/class/marketplace/homevaluesspring07/articles/0302vhv-cover0311.html

03-12:  Existing home sales key game in Phoenix, reports that the city of Phoenix is a mature housing market, so existing home sales are the name of the game here. There were 23,884 combined new and existing home sales in the city of Phoenix in 2006. The highest median price of $550,000 was in zip code 85012. The lowest median price zip code was in 85009 at $168,000. Zip code 85040 saw a 39.3 percent increase in home value, the biggest gain in Phoenix. David Blank of West USA Realty says the market will be strong through May and houses priced right will sell. He adds that it's a good time to negotiate incentives such as closing costs.
 
http://www.azcentral.com/class/marketplace/homevaluesspring07/articles/0303vhv-phx0311.html
 
03-12:  Elite neighborhoods start strong in 2007, reports that the high-end luxury market, one of the bright spots in 2006, continues to look strong in 2007. Agents who work the big-money market say there are plenty of buyers, and that while they are negotiating hard on prices, the market is in good shape. "The high-end luxury market Valley-wide will have a strong year in 2007," said Sandra Baldwin of the Equitable Real Estate Co. Baldwin said any difficulty in the luxury market was at the lower end, with prices ranging from $1 million to $2.5 million. She said many of those sellers are overpricing their properties based on the 2005 speculative price spike. Bob Hassett of Russ Lyon said the new year started strong, with several of his clients looking to spend between $5 and $10 million. "The buyers are out there. The inventories are out there," he said. "It's just a matter of the buyers looking for a little more than the usual seller concession. They are looking for a little better opportunity. However, the sellers don't seem to be willing to concede as much as the buyers hoped they would." The prices in Paradise Valley zip code 85253 rose 33.3 percent last year. The article also gives details on the three priciest home sales in the Valley last year.
 
http://www.azcentral.com/class/marketplace/homevaluesspring07/articles/0303vhv-million0311.html

03-12:  Sales of pricey luxury units get headlines, reports on the high-end condo market. It states that there are questions about the staying power of the condo trend as many projects were announced during the last several years. The median price of condos and townhomes rose by double digits in all but two Valley cities last year, but the number of sales fell in 10 of those 15 cities, reflecting softness in the housing market. "The condo market is struggling now," said Ben Sage of Metrostudy. The condo craze, with both new condos and condo conversion of apartments, has raised worries of overbuilding and stalled projects. One city that is banking on the continued condo trend is Tempe, where some 5,000 units are expected to bring about 10,000 residents to the downtown area within the next five years. There are 15 condo developments on the books for Tempe and more coming. What those developments do to the health of the condo market remains to be seen. "There are a lot of unanswered issues," said Jay Butler, head of Realty Studies at ASU.
 
http://www.azcentral.com/class/marketplace/homevaluesspring07/articles/0302vhv-condo0311.html
 
03-12:  Scottsdale experienced erosion in prices, reports that median home prices fell as much as 4 percent in six of 14 northeast Valley zip codes from August 2006 to January 2007. However, a dwindling supply of buildable land is a stabilizing factor in the Scottsdale real estate market, despite a deep drop in sales last year and some price erosion at the end of 2006. Scottsdale's median price stood at $664,000, up 16 percent from 2005. "The market is giving back some of the gains it achieved" the past two years, said housing analyst RL Brown. Scottsdale and the northeast Valley are still in demand and a limited supply of new homes has helped keep prices relatively stable.
 
http://www.azcentral.com/class/marketplace/homevaluesspring07/articles/0303vhv-scottsdale0311.html

03-12:  List of East Valley's available homes is expected to grow this year, reports that Mesa, Tempe, Gilbert, Chandler and queen Creek saw sales down at least 25 percent last year, while prices increased anywhere from 10 to 33 percent. The regions inventory of available housing is expected to rise, according to Nelda McClaskey of Keller Williams Realty and Dave Sobeck with Century 21. Sellers who took their homes off the market may put them back on. In Chandler, some older areas probably will see some price reductions. The highest median price in the Southeast Valley was in Queen Creek at $381,000, while the lowest was in Mesa at $253,000. Queen Creek also saw the biggest price increase with a 33 percent gain over 2005 prices.
 
http://www.azcentral.com/class/marketplace/homevaluesspring07/articles/0303vhv-ev0311.html
 
03-12:  Pinal County prices spike as homes replace farms, reports that some Pinal County zip codes saw sharp increases in median home prices as new homes replaced farms. Florence, which is rapidly merging with metro Phoenix, saw a 32 percent increase in values, and Superior saw a 34 percent rise. Eloy, based on the development of Robson Ranch, saw the biggest increase in median home values, up nearly 90 percent to $232,006. Pinal County should continue to be more affordable than Maricopa County because the land is cheaper. But gas prices are a concern. Expect Casa Grande and Eloy to spread out toward Interstate 10, especially as Westcor's new Promenade Casa Grande mall begins to open this fall.
 
http://www.azcentral.com/class/marketplace/homevaluesspring07/articles/0303vhv-pinal0311.html
 
03-12:  Cheaper land continues to lure West Valley buyers, reports that median home prices in the West Valley rose 18 percent last year, with the communities on the edges showing the greatest increases. But many West Valley zip codes saw prices decrease during the last half of the year. "It's all about supply and demand," said Meredith Andrews, an agent with Windermere West Valley in Surprise. "Last year, sellers had to adjust their price points." Growth in the far West Valley will continue to push the Valley's fringe westward. With land prices still cheaper than in the Southeast Valley, buyers will help spur development in areas near Waddell, Whittmann and Tonopah, experts say. Experts also say that in the second half of 2007, watch for new-home prices in the west Valley to climb with incentives from builders fizzling out.
 
http://www.azcentral.com/class/marketplace/homevaluesspring07/articles/0303vhv-wv0311.html

03-12:  Real estate industry steps into mortgage fraud fight, reports that several real estate, escrow and mortgage firms are working not only to educate their own employees about mortgage fraud, but those at other firms about how to detect fraud and what deals to pass on. Barbara McDugald, the Phoenix general counsel for Security Title, made mortgage fraud the subject of the agency's newsletter in December. She defines "classic mortgage fraud" as a deal that involves an inflated appraisal, a borrower who has falsified data on the loan application, and a high loan-to-value ratio. Her tips to the real estate industry: * if the LTV ratio is 100 percent or more, beware. *If the buyer is getting money back, beware. * If the sales price seems too high or too low, beware. Recently, the Arizona Department of Financial Institutions brought in national mortgage and real estate fraud expert Richard Hagar to speak to Valley appraisers, escrow agents and mortgage brokers. More firms plan on having him speak with their group this Spring. This is on the heels of a wave of mortgage fraud scams reported in the Valley.
 
http://www.azcentral.com/business/columns/articles/0311biz-catherine0311.html
 

03-13:  Mortgage lender can't pay creditors, from the Arizona Republic, reports that New Century Financial Corp., one of the biggest subprime lenders in the country, said it doesn't have the cash to pay creditors who are demanding their money, increasing speculation that the company will go bankrupt. Subprime loans, a term applied to some of the riskiest home mortgages, are made to borrowers who are unable to qualify under traditional, more stringent criteria. New Century, based in Irvine, California, may be insolvent because too many of its customers are not repaying their loans. Bad U.S. subprime mortgages are at a seven year high, forcing more than two dozen lenders to close or sell their operations. Their woes may contribute to more than 1.5 million Americans losing their homes and 100,000 people losing their jobs, according to economists and analysts.
 
http://www.azcentral.com/arizonarepublic/business/articles/0313biz-newcentury0313.html
 
03-13:  Urban village planned near mall, from the Arizona Republic Chandler, reports that a $100 million, mixed-use project that includes 342 condo units plus retail, offices and restaurants is planned next to Chandler Fashion Center. It is being designed as a work, live and play type of development. The project, called the Metropolitan of Chandler, is located on 12-acres near Nordstrom on the west side of the mall. The developer, Lawrence & Geyser, a Tempe firm, wants to break ground this year and be completed in two to three years. "It's very urban," said developer Spike Lawrence. The project will have twelve buildings from one to six stories tall, a pool, clubhouse, spa and upscale fashion boutiques. It will also have 1,100 underground parking spaces. The condos will range from 800 to 2,500 square feet and be priced from $250,000 to $450,000.
 
http://www.azcentral.com/community/chandler/articles/0312biz-cr-metropolitan0312.html

03-14:  Record foreclosures reel lenders, from the USA TODAY, reports that the Mortgage Bankers Association (MBA) said more than 2.1 million Americans with a home loan missed at least one payment at the end of last year-- and the rate of new foreclosures hit a record. The main problem stems from adjustable rate mortgages borrowers, where more than 14 percent of those borrowers were behind on their payments. The MBA says the worst is yet to come and expect at least $300 billion in subprime ARM's will reset this year to higher interest rates, causing borrowers payments to go up. "There's been a stunning erosion of mortgage quality," said Mark Zandi, chief economist for Moody's Economy.com. "It's primarily in the subprime market, but the entire market is weakening...and that adds to problems in the housing market, and by extension the broader economy," he added. The good news is that Arizona is toward the bottom of the list of states with increasing foreclosure rates.
 
http://www.usatoday.com/money/economy/housing/2007-03-13-foreclosures_N.htm <http://www.usatoday.com/money/economy/housing/2007-03-13-foreclosures_N.htm>  
 
03-14:  More in state falling behind on mortgages, from the Arizona Republic, reports that the number of Arizonans behind on their mortgage payments is at a two year high and expected to keep climbing. Many homeowners staved off foreclosure a few years ago by refinancing to more risky ARMs with lower monthly payments. But now, many of these ARMs are resetting to a higher interest rate and borrowers are struggling to hold on as their payments begin to increase. Statewide, 3.51 percent of homeowners are at least one month behind on their home-loan payments, according to the Mortgage Bankers Association (MBA). The figures are for the last three months of 2006. The picture isn't as bleak here as in some parts of the country. Nationally, the percentage of late mortgage payments hit 4.95 percent, a 3 1/2 year high. Mississippi, Louisiana and Michigan led the nation in delinquencies. Arizona was 40th in the nation. The Valley's housing boom and rapid price gains bailed out a lot of struggling homeowners. But some who refinanced using risky ARM's could face problems in the future.
 
http://www.azcentral.com/news/articles/0314mortgage.html <http://www.azcentral.com/news/articles/0314mortgage.html>

03-14:  Phoenix condo tower planned, from the Arizona Republic, reports that a $100 million condo development called Omega is being planned for downtown Phoenix at Second Ave. and Adams Street, behind the Orpheum Lofts. The 32-story tower would be the third urban high-rise downtown. The developer, W Development (David Wallach), is already developing the Cooper Square condominium tower next to Chase Field, which is 85 percent sold out with the first residents planning to move in this summer. Wallach is bullish on the need for residential housing in the heart of the city despite lingering concerns about the health of the Valley's real estate market. "The premise that the housing market is soft in downtown is not the right place to start," said Wallach. "The right product, in the right neighborhood, has a really good chance of succeeding." Wallach hopes to break ground on the Omega project this year and said the tower could open in 2009. It would feature 1, 2 and 3 bedroom units starting at about $400 per square foot.
 
http://www.azcentral.com/business/articles/0314biz-condos0314.html <http://www.azcentral.com/business/articles/0314biz-condos0314.html> 

03-15:  Who gets hurt if meltdown worsens?, from MSNBC.com, reports that the turmoil in the subprime lending market has been limited to borrowers who foolishly got in over their heads and the lenders who recklessly sold them the loans. But what has investors so worried these days is that the subprime loan turmoil could add to the housing woes and bring on a recession. The collapse of the housing boom and the billions in bad loans is apparently not over. Still, with inflation low and job growth fairly strong, most economists think the wider economy can dodge a recession. But some are beginning to offer a darker forecast. New York University economist Nouriel Roubini thinks the housing market is headed for another drop this year, creating a downturn that will spill into other parts of the economy. He sees a recession coming by midyear. "It's not just housing," he said. "That is crucial. Now we have an auto recession, we have a manufacturing recession... we have two consecutive months of retail sales being flat. So even the consumer is on the ropes."
 
http://www.msnbc.msn.com/id/17609930/

03-16:  Land in Fountain Hills fetches $110 million bid, from the Arizona Republic, reports that two square miles of State Trust land in Fountain Hills sold at auction yesterday for $110.1 million, the second most expensive piece of state trust land ever auctioned by the State Land Department. The land was valued at $95 million by the State Land Department. The Ellman Cos. was the winning bidder. Ellman Cos. also own the 2,200-acre Goldfield Ranch parcel east of the Fort McDowell Reservation that will have some 1,000 homes. The purchase yesterday could produce an additional 1,750 homes. "There has been a lot of publicity about how bad the real estate market has become," said State Land Commissioner Mark Winkleman. "When you look at the last three auctions that we've had--starting with the one in Apache Junction, then one month ago in Peoria, and today-- we have a group that steps up and pays $110 million. What that shows is that the market has slowed, but it is not dead."
 
http://www.azcentral.com/arizonarepublic/local/articles/0316auction0316.html
 
03-16:  Mesa hires help to sell Pinal County land, from the Arizona Republic, reports that the city of Mesa has hired Scottsdale-based Nathan & Associates to sell over 11,000 acres of land the city owns in Pinal County. Mesa bought the 11,606 acres in scattered parcels between Coolidge and Eloy in 1985, spending about $29 million. Their idea was to claim the land's water rights. Since then, Mesa has secured water from several other sources. The city is hoping to raise at least $10 million a year over the next decade by selling some of the land. Coolidge and Eloy expect hypergrowth over the next few years, and Coolidge officials have said Mesa's land will comprise one of the city's major employment centers.
 
http://www.azcentral.com/arizonarepublic/business/articles/0316biz-mr-landsales0316.html

03-16:  Citro residential projects moving forward, from the Arizona Republic Scottsdale, reports that Urban Home Development Corp. is moving ahead with its plans for Citro Camelback, a 288 unit urban housing development that will go on 12.64-acre at 78th Street and Camelback Road. A second development, Citro Biltmore, will offer 68 units on 4.2 acres at Missouri Ave. and 18th Street. The homes will be urban styled, patterned after row houses, along tree-lined streets. "We've created two authentic urban neighborhoods, designed to be timeless," said Jeff Jones, Urban Home president. Urban Homes hopes to break ground in August on Citro Camelback and complete the first phase of 96 homes in the summer of 2008. Prices for both Citro projects range from $500,000 to $900,000. Urban Homes has opened a sales office, with model rooms, for the combined $220 million projects in the Galleria Corporate Center, 4343 N. Scottsdale Road, suite 115.
 
http://www.azcentral.com/community/scottsdale/articles/0316sr-biz0316realestateZ8.html

03-19:  Experts: Arizona's economy is stable, from the Arizona Republic, reports that according to local experts, the housing market shakiness is only cooling Arizona's economy a bit in 2007. "Is a recession a possibility? Sure. Is a recession a certainty? No," said Dennis Hoffman, an economics professor at Arizona State University. The article cites several areas that show cooling, including the fact that consumers are spending less money, retail jobs are slowing, residential construction jobs are stalling and income growth could taper slightly. Compared with what's happening in other parts of the country, those are not dire developments. Economist argue that Arizona's economy, while still heavily dependent on construction, has diversified recently. Business services, finance and insurance sectors have grown sharply, said Hoffman, adding that a continuing population boom should grow health care and other related services. Austin Litvak, an economist at Moody's Economy.com, said "I would still expect Arizona to remain one of the fastest-growing economies in the nation despite the housing slowdown."
 
http://www.azcentral.com/arizonarepublic/business/articles/0318biz-economy0318.html
 
03-19:  Arizona ranks No. 2 in high-interest mortgages, from the Arizona Republic, reports that Arizona ranks No. 2, behind Nevada, for the highest percentage of subprime loans. Almost 17 percent of Arizona's homeowners have subprime loans. Nevada has 19 percent. Florida ranks third at 16 percent. All three states saw huge home price run-ups a few years ago, and subprime loans made it possible for many people with bad credit to buy those homes. But now interest rates are rising on subprime mortgages and some can no longer afford the payments. Nationally, late payments on subprime mortgages rose to 13.3 percent at the end of 2006, the highest level since mid 2003. However, Arizona's delinquency rate is still a relatively low 9.26 percent.
 
http://www.azcentral.com/arizonarepublic/news/articles/0318subprime0318.html

03-19:  Kierland condo sells for $3.16 M, from the Arizona Republic, reports that the Valley's elite condo market continues to stay hot as evidenced by the recent sale of a super-luxury condo at Kierland for $3.16 million, the biggest in state history according to the developer. The condo was on the sixth floor of Tower II of the Landmark at Kierland. This sale follows another recent condo sale of $3 million at the nearby Plaza Lofts at Kierlands Commons. "People are wanting to free up their lives," said Connie Greve, the Centennial Homes agent who listed the condo. "They want a condominium here and where their grandkids live, or where it's cooler. They don't want to be tied down to maintaining a single-family home," she added. The most expensive condo units in the Valley have been selling well despite the housing downturn. "I expect to see the market go up," said local condo developer Keith Mishkin. "It's going to be more and more common to see the best luxury condos in the $2 million plus range. We've seen a lot of closings of late and current escrows in the $2 million to $4 million range," he added.
 
http://www.azcentral.com/community/scottsdale/articles/0316ON-recordcondo.html

03-20:  Arizona among top 10 states for mortgage fraud, from the Arizona Republic, reports that Arizona has shot up to number 7 in a ranking of states with the greatest amount of mortgage fraud. It was 23rd last year. It was the highest Arizona has placed on the Mortgage Asset Research Institute's annual fraud survey. The survey is based on the number of mortgage fraud cases per total of state home loans. Utah is number 1. Arizona saw the biggest jump in mortgage fraud from 2005 to 2006 largely due to cash-back-deals, deals involving getting a loan for more than the home was worth and pocketing the extra cash. Arizona has two pending bills that deal with mortgage fraud, but they will die if they are not heard this week.
 
http://www.azcentral.com/news/articles/0320fraudstats0320.html
 
03-20:  Rising rates seen triggering foreclosures, from MSNBC.com, reports that about 1.1 million additional home foreclosures are expected over the next six years as adjustable-rate-mortgages reset to higher payments, according to a study by research firm First American CoreLogic. The expected $112 billion in losses won't break the mortgage industry but will cause them a lot of pain. Many borrowers are facing the double whammy of a reset in house payments while at the same time, their property values are stagnant or falling. That will leave some borrowers with little or no equity, and may hasten the defaults and foreclosures. The study forecasts that the defaults won't severely hurt the national economy. The 1.1 million foreclosures represent about 13 percent of the adjustable-rate-mortgages originated through purchase or refinance from 2004 through 2006, equaling about $326 billion in debt. Some lenders are already working with homeowners to modify the terms or refinance existing loans to avoid default.
 
http://www.msnbc.msn.com/id/17686807/

03-21:  Permit plunge worries analysts, from the Arizona Republic, reports that new-home construction rebounded in February following a steep January slide, but analysts are concerned about the new home market as building permits fell by 2.5%. Permits are an indicator of future building. It was the 12th decline in building permits in the last 13 months. Patrick Newport, an economist with Global Insight, forecast that housing construction would decline by 19 percent this year. Last year, housing construction fell by 12.9 percent. David Seiders, chief economist for the National Association of Home Builders, said that many builders are expressing concerns that tighter loan requirements, prompted by rising mortgage delinquencies, would hurt sales.
 
http://www.azcentral.com/arizonarepublic/business/articles/0321biz-economy0321.html
 
03-21:  February home starts climb 9%, from the USA TODAY, also reports on the latest housing data on construction and permits nationwide. "We aren't getting any worse, but we aren't getting much better either," said Brian Jones, an economist with Citigroup Global Markets. Speculation that the housing market recession will deepen has mounted due to the subprime lending situation. Some economists are more optimistic. "We're seeing the dynamics in play that will set the stage for a recovery in housing," says Richard DeKaser, chief economist at National City. "The drag from residential construction will be diminishing through the year." Check out the link in the article that will take you to Economist Dave Seiders audio: No real upturn in home building yet.
 
http://www.usatoday.com/money/economy/housing/2007-03-20-housing-starts_N.htm

03-21:  Policing Pinal County's perilous Hunt Highway, from the East Valley Tribune, reports that Pinal County's Hunt Highway corridor has seen more than a 660 percent increase in traffic since 2003, adding to the gridlock for commuters living in the area. Hunt Highway, once a rural back road from Phoenix to Florence, has morphed into a congested arterial road because of growth in the area, leading to heightened attention by the sheriffs office. "Everybody's on one road," said sheriff's Chief Deputy Jerald Monahan. "It funnels an enormous amount of traffic onto two lane roads." Cherly Davidson has lived in the area for ten years and says "it is bad, it is horrible, and the streets aren't designed for this amount of traffic. Five out of the seven days a week we can hear sirens going off during evening rush hour." Pinal County public works director Greg Stanley said the county is in the process of hiring an engineering firm to design improvements for Hunt Highway. He said it would be a multi-phased project that would be built as money is available.
 
http://www.eastvalleytribune.com/story/86254

03-22:  Population booms in Maricopa, Pinal counties, from the East Valley Tribune, reports that this week, the U.S. Census Bureau released new population estimates revealing that Maricopa County has gained more residents in the last six years than any other county nationwide, making it the fourth largest county in the U.S. Pinal County also had explosive growth during that six year period and is now ranked as the sixth fastest growing county in the nation. Maricopa County has gained nearly 700,000 new residents since the 2000 Census. "That's such an impressive number," said Robert Bernstein of the U.S. Census Bureau. "When you think about the number of residents Maricopa County has added in six years, that's more than the population of almost every city in the country." Good weather, strong job opportunities and cheaper housing were the primary factors attracting residents and leading to our explosive growth.
 
http://www.eastvalleytribune.com/story/86300

03-22:  Maricopa County tops national growth charts, from the Business Journal of Phoenix , also reports on the latest U.S. Census numbers. It states that Maricopa County now has 3.8 million residents, making it the fourth largest county in the nation. It also states that Maricopa County has added nearly 3 million residents since the 1970 census. WOW.
 
http://phoenix.bizjournals.com/phoenix/stories/2007/03/19/daily36.html?t=printable
 
03-22:  Builders, homeowners square off over prices, from the East Valley Tribune, reports that in many parts of the Valley, homeowners are competing with builders for home sales, and the builder is winning. Some homeowners who bought at the peak of the market and who need to sell their existing home are facing competition from builders who have slashed prices and offered huge incentives. "You can't really compete," said Gilbert homeowner Raul Harris, who is the unfortunate bearer of two mortgages and is trying to sell his existing home in the East Valley Seville development, where builders are still active. Builders say homeowners aren't asking realistic prices, but many homeowners can't afford to drop prices to below what they bought the home for. Some are still hoping to get the prices their neighborhood got when they sold at the market's peak, said Shawn Stagg, an agent with HomeSmart. "They're just being crushed by home builders," he said.
 
http://www.eastvalleytribune.com/story/86263

03-23:  Maricopa County population booming, from the Arizona Republic, reports that Maricopa County holds the nation's top spot for population growth, adding 696,000 residents between 2000 and 2006, according to the U.S. Census Bureau. Maricopa County is now the fourth largest county in the nation with 3.8 million residents. The increase in population can also be tracked through he number of car registrations originating from other states. The state will soon have seven-digit license plates due to the growth. The rapid growth in Maricopa County can be attributed to rapid economic growth in the Valley, continued immigration from Mexico, domestic immigration from other states, and housing affordability, according to Patricia Gober, a geography professor at ASU. Pinal County was also cited as the sixth fastest growing county in the nation from 2000 to 2006.

http://www.azcentral.com/news/articles/0323census0323.html

03-23:  Census shows Katrina's effects on populations, from the USA TODAY, also reports on the latest U.S. Census numbers and reports that in addition to the costal counties that lost population after hurricane Katrina, people are moving from the Northeast and Midwest to the Sunbelt states, which saw the most growth in the last six years. It notes our metro area, stating "Maricopa County, Ariz., which includes Phoenix, added 130,000 residents from 2005 to 2006, the most of any county." The article also has a great graphic that shows the U.S. and color coded to show where populations have dropped, stayed stable, or grew. The link is shown below.

http://www.usatoday.com/news/nation/census/2007-03-22-new-orleans-census_N.htm?csp=34

http://www.usatoday.com/news/graphics/census_0307/flash.htm 

<http://www.azcentral.com/php-bin/clicktrack/print.php?referer=http://www.azcentral.com/community/mesa/articles/0913mr-homesales0913Z11.html>

03-26:  Buyers bid on Valley homes at auction, from the Arizona Republic, reports that more than 50 percent of the 88 Valley homes up for auction Saturday in downtown Phoenix got bids that met or exceeded the sellers minimum price. Lyn Hall, a broker with AZhomeplace.com, said she was pleased with the results he got on the 10 properties entered into the auction. "Only one property didn't receive a bid," he said. "It's just a matter of whether the actual bid moves through." Hall said he would consider listing additional properties from more of his "motivated" sellers in the company's next auction. "I think it's a good tool in the buyer's market we have right now," he said. "It gave them an additional marketing tool and alternative to get some interest in their property."

http://www.azcentral.com/arizonarepublic/local/articles/0325homeauction0325.html

03-26:  Chateaux project is revived, from the Arizona Republic, reports that the Chateaux on Central condo project got new financing last week, so construction of the partially built condo project should resume this week. The developers were able to obtain financing from Mortgages Ltd. and averted a potential foreclosure on the site. The developer, Central PHX Partners, filed for Chapter 11 bankruptcy on January 30th. Scott Coles of Mortgages Ltd. said that the Chateaux would bring "buyers back into the city." But those buyers will need deep pockets as the prices for the Chateaux project will run from $2 million to $4 million.

http://www.azcentral.com/arizonarepublic/business/articles/0325biz-catherine0325.html

03-27:  New-home sales fall 3.9% in February to lowest rate in 7 years, from the USA TODAY, reports that sales of new homes nationwide fell 3.9% in February while the number of new homes on the market grew, according to a report released by the U.S. Commerce Department. The monthly decline was the second straight and the sales volume fell to the lowest level since June 2000. In February, the median price of a new home rose $6,800 to $250,000, from $243,200 in January. The supply of new homes rose to 8.1 months at the current sales pace, up from 7.3 months in January. The West saw the only increase in new home sales with a 24.5% gain. However, on the positive side, the sales pace of previously owned homes rose 3.9% in February, the biggest gain since March 2004, according to the National Association of Realtors.

http://www.usatoday.com/money/economy/2007-03-26-new-home-sales_N.htm

03-27:  Subprime loan effects hit Valley, from the East Valley Tribune, reports that the subprime mortgage problem has effected the real estate market in the Valley as lenders tighten standards and would-be-buyers watch in dismay as deals collapse without warning. Buyer's suddenly aren't qualifying for loans when they were already approved for because lenders are cutting programs, said Gilbert real estate agent Tra Bell. He felt the effect when his office had five deals unexpectedly fall apart. "The lenders are saying, 'We can't do it anymore in this type of market,'", he said. "It's not going to work. We're losing our shirts." Nationwide, mortgage firms are eliminating the use of 100 percent financing and stated income loans. Meanwhile, investors are forcing mortgage companies to buy back hundreds of millions of dollars worth of loans. Lenders are also selling at deep discounts and taking huge losses, said Chris Mozilo, president of the Arizona Mortgage Lenders Association. "Some of them are on the verge of bankruptcy", he said.  

http://www.eastvalleytribune.com/story/86652

03-28:  Housing permits up 26% in Feb., from the Arizona Republic, reports that permits for new-homes in Maricopa and Pinal counties jumped 26% in February compared with the previous month, the third monthly increase. Builders pulled 3,630 permits in February, according to the latest report from RL Brown's Phoenix Housing Market Letter. Brown stated that 18 percent of the February permit total was for condos. The increase in permits indicates that builders are starting to make a dent in their excess inventory and are looking to start new construction. Brown said that clearing out the excess inventory in both the new-home and resale market is key to any correction. Brown said that the spec inventory is falling as more builders buckle down. Brown's report also noted that the number of closed sales was the lowest since May 2003. (Hey-- wasn't 2003 a pretty good year?)

http://www.azcentral.com/business/articles/0328biz-housing28.html

03-28:  Arizonas' pay growth lags U.S. rate, from the Arizona Republic, reports that new income figures released by the U.S. Bureau of Economic Analysis shows that Arizona's per capita income rose 4.8 percent last year to $31,458, ranking it 39th in the country. The typical American earned $36,276 last year, an increase of 5.2 percent over the prior year. Arizona's income figures are kept in check in part because of the state's rapid growth. "It's kind of a double-edged sword," said Tracy Clark, an economist with ASU. "Rapid population growth tends to hold wages down because there is always somebody moving in to take a job. What typically drives wages up is some shortage in labor."

 http://www.azcentral.com/arizonarepublic/business/articles/0328biz-income0328.html

03-28:  Peoria upscale homes fill niche, from the Arizona Republic, reports that a new, upscale gated community is opening in Vistancia which will give buyers looking for luxury homes in the Northwest Valley more options. Blackstone will be a gated country-club style development with homes in the $600,000 to almost $1 million. Cachet Homes and TW Lewis just opened their models last weekend. Blackstone will have 350 builder homes and 150 custom homes to go along with the Blackstone golf course and a 30,000 square foot clubhouse. Curt Smith, chief operating officer for Sunbelt Holdings, which is co-developing Vistancia with Shea Homes, said "we felt a country club lifestyle was something that was missing in the market here."

http://www.azcentral.com/arizonarepublic/business/articles/0328biz-model0328.html

03-29:  Fed doesn't see a recession looming, from MSNBC.com, reports that Fed Chairman Ben Bernanke told Congress on Wednesday that he doesn't see the economy slipping into a recession. "I would make a point, there seems to be a sense that expansions die of old age...I don't think the evidence supports that," said Bernanke. On the growing troubles in the mortgage market, Bernanke said the problem doesn't appear to be spreading to the overall economy. "At this juncture... the impact on the broader economy and financial markets of the problems in the subprime markets seems likely to be contained," he said. He is still not comfortable with where inflation is at, but repeated the Fed's belief that inflation will ease in the months ahead.

http://www.msnbc.msn.com/id/17831069/

03-29:  Beazer Homes shares drop after FBI confirms investigation for possible fraud, from the USA TODAY, reports that Atlanta-based homebuilder Beazer Homes is subject to an investigation by the FBI, the IRS, the U.S. Department of Housing and Urban Development and the U.S. Attorney over possible fraud in Beazer's mortgage-lending practices and other financial transactions. The inquiry began last week and involves "fraud in general" and more specifically is related to corporate, mortgage and investment issues, according to a spokesman for the FBI's Charlotte office. The Charlotte Observer reported last week that Beazer had an unusually high rate of foreclosures in developments around Charlotte, over four times the national average. Beazer lost $59 million in its quarter ending December 31. Last week, Beazer said CFO James O'Leary was stepping down after four years with the homebuilder.

http://www.usatoday.com/money/economy/housing/2007-03-28-beazer-probe_N.htm

03-29:  This attachment is from Maricopa Association of Government's website (www.mag.maricopa.gov: <http://www.mag.maricopa.gov> ) and shows housing values, affordability and appreciation for the fourth quarter of 2006 for the MAG Region (Metro Phoenix) and compares that with other cities that compete with metro Phoenix, such as Albuquerque, Dallas and Atlanta. Check it out at the attached link:  http://www.mag.maricopa.gov/pdf/cms.resource/POPTAC_2007_03-27_Housing-Change-Analysis-Mar0659516.pdf

03-30:  $15.4 mil lakeshore hits $93.6 mil, from the Arizona Republic Tempe, reports that land values around Tempe Town Lake are soaring. Private property within the 743-acre district that surrounds the lake went from being worth $15.4 million to $93.6 million in the past nine years. ASU and the Scott family are watching the values closely. The Scotts are the only family to own land on the lakeshore. They own the Papago Riding Stables on the north side of the lake. The Scott family gets nearly constant offers to buy their five acres of prime land. "Business is good, so there is no incentive to sell," said Clay Scott. "But the offers keep coming and they keep adding zeros onto them checks." The lake is the third-most popular tourist attraction in the state, according to the Arizona Office of Tourism.

http://www.azcentral.com/community/tempe/articles/0330tr-lakevalue0330Z10.html

03-30:  Economic confidence on the rise among business leaders, from the Business Journal of Phoenix, reports that Arizona business leaders are gaining confidence about the state's economy as the second quarter approaches. The latest Compass Bank Arizona Business Leaders Confidence Index rose 1.1 points to a reading of 53. "Arizona's economy continues to grow at a nation-leading rate." said Marshall Vest, director of economic and business research at Eller College of Management at the U of A. "At this level, the index is consistent with an economy growing near its potential," he added. This is good news for our real estate market as businesses that are confident about the economy will continue to expand and create jobs, which will continue to attract new residents!

http://phoenix.bizjournals.com/phoenix/stories/2007/03/26/daily31.html?t=printable

03-30:  Buying homes in foreclosure can be risky, from the USA TODAY, reports that buying a home in foreclosure isn't easy, and it's hardly without risk. You need to do your research before you dive in. "There are some good buying opportunities," said David Lereah, the NAR's chief economist. "But don't repeat the mistakes of the foreclosed borrower," he added. Before you try to buy a home in foreclosure, be sure you have a good credit score and enough cash for a sizable down payment. There are several sources to find foreclosed homes, including the auction, bank REO (real estate owned), and working with owners in the pre-foreclosure stage of the process. There are good opportunities in foreclosure homes, but you have to have vision and patience to live in a little chaos.

http://www.usatoday.com/money/perfi/housing/2007-03-29-mym-foreclosure-options_N.htm