| April 2007 News Articles | ||||||||||
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04-02: 3 builders bet on Valley housing turnaround, from the Arizona Republic, reports that three new homebuilders are entering the Phoenix housing market, undeterred by the glut of unsold houses and high prices left over from the housing boom. Mattamy Homes of Canada, John Laing Homes of California and Orleans Homebuilders of Pennsylvania say that now is the right time to stake their claim in one of the most competitive housing markets in the country. All three builders will target move-up buyers, while Mattamy will also target first-time buyers. "This is a great opportunity for a builder to get into a market that has been tough to get into for the last five years," said Mark McHone, president of Mattamy's Arizona division. The market may be struggling now, but the newcomers expect it to rebound and be a profitable place to do business. The new builders are going after finished lots: land that already has streets, utilities, and other off-site infrastructure improvements so all the builder has to do is pull a building permit and start construction. 04-02: Report shines a light on future development trends, from the Business Journal of Phoenix, reports that Colliers International released a forecast on what the Valley will look like in the year 2020. Highlights of the 13-year forecast include: 04-02: WV to mirror north Scottsdale, from the Arizona Republic, also reports on Colliers International's report and has high expectations for the Southwest Valley. "The nine-mile corridor along the I-10 from Loop 101 to the Loop 303 will resemble the current image of North Scottsdale, with high-end retail, power centers, Class A office buildings and high-end demographic housing," the report said. A section of the report on retail growth focuses on Buckeye. It notes the huge area that Buckeye has annexed and says that 25 percent of all new homes in the Valley will be built in the town. 04-03: Housing market enters season of reckoning, from MSNBC.com, reports that springtime usually means good times in the housing market, but this year it could be a season of reckoning. Sings of a continued slowdown emerged throughout March, ranging from gloomy forecasts among homebuilders to the growing number of high-risk borrowers struggling with ARMS and sub-prime mortgages. "Things seem to be snowballing very quickly," said Steve Cochrane, an economist with Moody's Economy.com. "It's going to be a weak spring." Other veteran observers are more sanguine. "We don't think the market is in that bad of shape," said John Karevoll, an industry analyst with DataQuick Information Systems. "It's just not in as good shape as it was two years ago." Stricter mortgage lending standards are also expected to remove 100,000 to 250,000 potential buyers from the housing market during the next two years, according to David Lereah, chief economist for the NAR. He is counting on still-low mortgage rates to help soften the subprime blow. http://www.msnbc.msn.com/id/17878684/ 04-03: Subprime woes to drag housing in '07, from MSNBC.com, reports that the subprime mortgage implosion will take even more steam out of the already slow housing market this year, according to the latest quarterly Anderson Report, published by the University of California. "We suspect the problem in the subprime area is just the tip of the iceberg for the mortgage market as a whole," said chief economist David Shulman of the Anderson Report. "For all practical purposes, the subprime market is in the process of shutting down." "For a housing market that has already witnessed housing starts decline by 36 percent, this is not good news," he wrote. http://www.msnbc.msn.com/id/17903104/ 04-04: Cushman director believes in market, from the Arizona Republic, reports that Larry Downey, executive director for Cushman & Wakefiled, sees commercial real estate activity slowing down slightly in 2007 from the stellar performance of 2006. "It'll slow down a bit, not a lot, in 2007," he said. In 2006, a record 3.5 million square feet of office space was filled. Rents increased in the Camelback Corridor to $42 to $43 per s.f, with the overall Valley average for Class A office space at $27 per s.f. Downey predicts rents could climb 10 to 15 percent in some submarkets. Right now, about 4.5 million square feet of office space is under construction Valley-wide. Much of the new growth is from opening or expansion of regional operations and small businesses growing into midsize companies. 04-04: Douglas Ranch may expand, from the Arizona Republic, reports that developers of Douglas Ranch, the state's largest master-planned community, are looking to increase their residential units and commercial space. Located 25 miles northeast of downtown Buckeye, Douglas Ranch was originally approved for 83,000 homes and 25 million square feet of commercial, office and industrial space. Now the developers are looking for about 100,000 homes and 50 million square feet of commercial, office and industrial space. If approved, Douglas Ranch could have 250,000 to 300,000 residents and could generate 160,000 jobs. "We're trying to create a job-based community with about 1.6 jobs per household," said Douglas Ranch general manager Tom Hennessy. "We want to make sure we have enough office, commercial and industrial space to make a vibrant community. Usually residential comes first, but we are going to make a strong effort to capture businesses at a community and national level." El Dorado Holdings and JDMD Investments are the principal owners of Douglas Ranch. Construction is expected to start in 2009. 04-05: Lenders willing to help struggling homeowners, from MSNBC.com, reports that as home foreclosures mount, lenders are working with homeowners to modify their loans versus foreclosing on the home. EMC Mortgage Corp., which has a $78 billion loan portfolio that includes subprime loans, this week launched a 50-person team it calls "the Mod Squad" whose members will spend unlimited time on the phone with troubled borrowers to rework their loan payment. Whether the current wave of workouts will merely postpone foreclosures and delay bad loans hitting lenders books is an open question. But with home values falling in some parts of the country, no finance company wants to be stuck owning a house that has depreciated or is surrounded by other homes in foreclosure. EMC says it loses, on average, 40 percent of the value of a loan in foreclosure, in addition to paying taxes and expenses. New foreclosures hit their highest level in the fourth quarter of 2006, according to the Mortgage Bankers Association. http://www.msnbc.msn.com/id/17949352/ 04-05: Valley's population leaps by 24% in 6-year period, from the Arizona Republic, reports that the Valley grew by 787,306 people from April 2000 to July 2006, the fourth-largest gain for a metropolitan area in the U.S. during that time, according to new Census data released yesterday. That equals a 24% gain, and makes the Valley the 13th largest metropolitan area in the nation with more than 4 million residents, up from 14th in 2005. The Atlanta area led the U.S. in population growth from 2000 to 2006, followed by Dallas and Houston. The 50 metro areas with the largest percentage increases were all located in the West and South. http://www.azcentral.com/arizonarepublic/local/articles/0405b1-update0405.html 04-05: Fiesta Towers condo plan shrinks in Mesa, from the Arizona Republic, reports that Fiesta Towers project near the aging Fiesta Mall has scaled back its development plan to show fewer condos and shorter buildings, and is now being called Fiesta Lofts. The 10 to 19 story buildings originally planned are now at three, five and six stories, according to the latest proposal files Tuesday with the city of Mesa. The number of condo units drops from 850 to 438. But in the project narrative, the developer (Thomas Roszak) argues that the project still will improve the area by building on 4.9 vacant acres, "turning it into a high-quality project." The project now features two five-story buildings, a U-shaped, six story building, with shopping on the ground floor and recreational amenities on the roof above the penthouse. http://www.azcentral.com/arizonarepublic/business/articles/0405biz-mr-fiesta0405.html 04-06: Phoenix again claims top spot for job growth, from the Phoenix Business Journal, reports that according to Arizona state University's Blue Chip Job Growth Update, the metropolitan Phoenix area ranked first among the nation's largest metro markets for employment growth between February 2006 and February 2007. The area's 4.8% increase represents 89,200 new jobs. Among states, Utah holds the top position in job growth for February with a 4.4 percent increase. This positive news comes on the heels of yesterdays report that the metro Phoenix population grew by over 700,000 people between 2000 and 2006. 04-06: Big tax hike for roads argued, from the Arizona Republic, reports that another big transportation tax hike is in the works with discussions among key players in the business community, Legislature and the Governor's Office. "We've never had a comprehensive, statewide plan," said Martin Shutlz, an Arizona Public Service lobbyist and member of the transportation coalition leading the transportation push. "We've got to do this. We can't afford not to invest." The price tag could be $20 to $40 billion or more over 20 years, with a share of that possibly paid with an increase in the state's gas or sales tax. Advocates for the tax say that what is now an annoyance will worsen into outright gridlock in the Valley and other urban areas of Arizona if the state doesn't move in a big way to bring its transportation system up to speed. By 2030, more than 10 million people will call Arizona home, and MAG estimates that 1.5 million housing units are in the planning/development process in Maricopa and Pinal counties right now. 04-09: It's a buyers market-like never before, from the Arizona Republic, reports that according to the Arizona Regional Multiple Listing Service, more than 50,000 houses and condos were listed in March. A healthy market typically carries about half that number, analysts say. Listings have climbed steadily since the real estate boom faded, with the total exceeding 40,000 last year. Analysts have said that reducing inventory is necessary for recovery in both the new and resale markets, yet resales are at an all time high. Analysts say that Sellers are unrealistic, with many pricing their homes higher than what buyers are willing to pay. Another reason cited for the increase in listings is that investors are unloading homes. "They are the amateur speculators of last year or the year before," said Valley housing analyst RL Brown. "Their 'wink-wink' loan of two or three years ago is about to change into a serious burden." Housing analyst Tim Sullivan of the Sullivan Group in San Diego thinks resale listings should stabilize and maybe begin to fall midsummer. Until that time, it is definitely a buyers market. http://www.azcentral.com/news/articles/0409listings0409.html 04-10: Special Report: The Mortgage Mess, from MSNBC.com, reports that the mortgage mess in the U.S. was caused by predatory lending and mortgage fraud by a small group of bad actors, causing a ripple effect through the wider mortgage market, deepening the ongoing housing slump and crushing the finances of many borrowers who were victims of the schemes. The Truth in Lending Act, passed in Congress in 1968 to protect consumers, requires clear disclosure of all terms and costs in lending transactions. This means that is is against the law for a mortgage broker to misrepresent or fail to fully explain all the risks of a new loan- even the risk that interest rates may go up, according to David Berg, a Texas trail lawyer. As a result of the lending mess, foreclosures in the U.S. are rising. In February alone, 131,000 foreclosure filings were recorded by RealtyTrac, a web site that compiles default notices, auction sales and bank repos. For all of 2006, the site logged more than 1.2 million foreclosure filings nationwide. The article goes further into the different ways that consumers were scammed by different fraudulent mortgage schemes. 04-10: Slowdown Spreads Beyond Housing, from Arizona's Economy, reports on Marshall Vest's latest take on the economy and housing market. Marshall Vest is the Forecasting Director for the Eller College of Management at the U of A. In his March quarterly newsletter, he states that the homebuilding industry is in recession, and its plunge is beginning to look a lot like the roller-coaster cycles of the 1970's and 1980's. Over the last 40 years, there have been four homebuilding recessions: the mid 1970's, the early 1980's, the mid 1980's and the late 1990's. During the first three recessionary periods, residential building permits declined between 69% and 78% from peak to through. The late 1990's downturn had only a modest 11.6% decline. Each of the earlier downturns was followed by a national recession. He is concerned with the loss of construction jobs, which comprise 9.5% of all non-farm jobs. Combined with Realtors, mortgage brokers, title companies, home inspection companies, engineers and others whose jobs depend on a growing housing market, close to 20% of all non-farm jobs are tied to the housing market. 04-11: Homes sales climb, but lag boom years, from the Business Journal of Phoenix, reports that according to Arizona State University's Realty Studies program, there were 5,385 resales in March 2007, compared with 4,520 in January and 4,280 in February. It was the strongest month since 5,685 were recorded in August 2006. There were 7,265 sales in March 2006 and 10,035 in March 2005. The March 2007 numbers were similar to 2002 levels. So far in 2007, there have been 14,185 resales, compared with 17,980 for the same period in 2006. "While the resale market is tracking near historical norms, the levels should be well below those of the last few years, because the current market lacks the market frenzy to own and/or invest at almost any price and reasoning," said Jay Butler, director of Realty Studies. "The general expectation is that the 2007 resale housing market should be a good year, but no where near the records, assuming that there are no negative geopolitical events and that the sub-prime problem remains fairly contained," he added. The median price in March was $265,470, compared to $260,000 for February. http://www.bizjournals.com/phoenix/stories/2007/04/09/daily9.html?f=et73&hbx=e_du 04-11: Market in Valley rebounds in March, from the Arizona Republic, also reports on the latest housing numbers from ASU. It quoted Jay Butler as saying "I think there's risk out there", adding that he is more realistic about the market than optimistic. Butler believes the resale market is running near historical norms. He said the market could still be knocked off track by a number of things, including the widening of the subprime lending scandal. http://www.azcentral.com/arizonarepublic/business/articles/0411biz-resale0411.html 04-11: Home sales up, prices down in Ahwatukee, from the Arizona Republic Ahwatukee, reports that the number of homes sold in the Southeast Valley increased an average of 28 percent from February to March, according to the latest housing numbers from ASU's Realty Studies. Mesa went from 460 sales in February to 620 in March, a 35 percent increase. Chandler went from 280 to 380; Gilbert went from 230 to 290, and Ahwatukee went from 85 to 120 sales. However, the median price fell throughout the Southeast Valley in March compared to a year earlier. Ahwatukee's median price fell 7 percent and Gilbert falling 8 percent. "People are lowering their prices, if they can, to sell," said Jay Butler, director of Realty Studies. The Southeast Valley has 16,700 homes for sale at the end of February, according to the MLS. Homes are taking an average of 98 days to sell in the Southeast Valley. http://www.azcentral.com/community/ahwatukee/articles/0410ev-resales-ahwatukee-ON.html 04-11: Home sales slump, prices rise, from the Arizona Republic Scottsdale, reports that Scottsdale sales fell 15 percent in March from a year earlier, but median prices were up 6.7 percent from a year earlier to $635,000. Scottsdale condominium and townhome sales also fell 26 percent in March, but prices were up a fraction at $265,950. The past two years "were freak years". "We're pretty much at a normal (sales) pace now and nobody likes that," said Karl Stauffer, Scottsdale Area Association of Realtors treasurer. There is about a seven month supply of Scottsdale resale homes selling for under $1 million, an inventory that is the lowest in the Valley, he said. In March, 465 homes sold in the Scottsdale market and 280 condos and townhomes sold. Paradise Valley's median home price of $1.6 million was up less than a half-percent over last March. http://www.azcentral.com/community/scottsdale/articles/0411sr-homesales0411Z8.html 04-11: Phoenix takes dive on Forbes' business/careers list, from the Business Journal of Phoenix, reports that Phoenix ranked 55th out of the top 200 metro areas of Forbe's list of the Best Places for Careers and Business. Tucson ranked 85th. Rising housing prices were cited as the reason for knocking Phoenix out of the top ten. Phoenix did crack the top ten for job growth, but fell to 89th for educational attainment, 121st for the cost of doing business and 158th for cost of living. The article states that "while most economies in the West have also outperformed their peers in the Northeast and Midwest over the past four years, living costs there have risen dramatically. Housing prices in Phoenix, spurred in part by easy lending, are up 57 percent in the past two years, knocking it off our top ten." http://www.bizjournals.com/phoenix/stories/2007/04/09/daily10.html?f=et73&hbx=e_du 04-12: Group predicts median home prices will drop, from MSNBC.com, reports that the National Association of Realtors (NAR) on Wednesday said it expects the national median price for an existing home to drop this year for the first time since the NAR began tracking records in the late 1960's. The NAR also lowered its 2007 sales forecast for new and existing homes. Tighter lending standards and the continued fallout from the subprime mortgage market are to blame, NAR spokesman Walter Molony said. NAR is forecasting a 0.7 percent dip in 2007 national median price for existing homes after a 1 percent gain last year. NAR is also forecasting a 14.2 percent decline in new home sales, and predicts that sales of existing homes will fall 2.2 percent this year. http://www.msnbc.msn.com/id/18058351/ 04-12: Rising interest rates expected to cool housing sales, from the Business Journal of Phoenix, also reports on the latest National Association of Realtors forecast. It ads that the national median resale price will slip to $220,300 in 2007, and that the price for a new home is projected to increase 0.4 percent to $246,200. NAR is predicting modest growth in 2008, with existing home prices increasing 1.6 percent and new home prices rising 2.0 percent. Freddie Mac also predicts that 30-year mortgage rates, currently at 6.17 percent, will rise slowly this year to 6.6 percent by the end of the year, so borrowers who need to refinance should act soon. On the local scene, the article quotes ASU Realty Studies director Jay Butler as saying " everyone expects this year to be slower and lower." As for 2007, Butler said those who have owned their homes for a number of years likely will see gains, but investors and others turning homes bought only a year ago may see a drop in prices. http://phoenix.bizjournals.com/phoenix/stories/2007/04/09/daily24.html?t=printable 04-13: Spike in foreclosures predicted, from MSNBC.com, reports that a Congressional panel Wednesday forecast a sharp rise in housing foreclosures and several Democratic lawmakers called for a federal bailout for borrowers who are at risk of losing their homes. The Congressional report details the impact of those foreclosures on local communities, some of which are getting hit harder than others. Areas expected to be the hardest hit include Atlanta, Denver, Dallas and Detroit. In Detroit, one of every 21 mortgages foreclosed last year, according to the report. Last year, more than 1.2 million foreclosure filings nationwide were recorded by RealtyTrac, a web site that tracks the foreclosure market. That's up 42 percent from 2005. RealtyTrac is forecasting a 33 percent rise in foreclosures this year. Concerns in the market are that the tightening of lending regulations will make it even more difficult for buyers to qualify, thereby worsening the housing slump. http://www.msnbc.msn.com/id/18059004/ 04-13: Road planners imagine growth past White Tanks, from the Arizona Republic, reports that a study that is being sponsored by the Maricopa Association of Governments is looking at growth west of the White Tank Mountains and is proposing new roads and freeways in the far West Valley. The roads would help accommodate the millions of drivers expected to travel through the White Tanks and in the developing Hassayampa Valley. The study area is bordered by the Loop 303 on the east, 459th Ave. on the West, Carefree Highway on the north and the Gila River on the south. "We're starting to take a look now at that next ring of growth", said Bob Hazlett, project manager for MAG. Buckeye and Surprise eventually are expected to become the third and fourth largest cities in the state. Hazlett said that Buckeye's Douglas Ranch, Arizona's largest master-planned community with 83,000 homes, will be the same size as Dayton, Ohio. At build-out, there are expected to be 2.7 million trips a day north and south of the White Tanks. http://www.azcentral.com/community/westvalley/articles/0413gl-nwvmag13Z20.html 04-16: Foreclosures rocket in Valley, from the Arizona Republic, reports that last month, 553 families lost their homes to foreclosure, a four-year high, according to Information Market, a property-record research firm. At the same time, 1,705 homeowners received notices from their lenders that they were at least three months behind on their mortgages. In March 2006, 782 homeowners were delinquent, but only 40 homes were taken back by lenders and sold at a foreclosure or trustee sale. The Valley's housing market could take a hit if lenders try to resell foreclosed homes quickly by cutting prices. Too many foreclosures in one neighborhood can pull the area's home values down. "Our economy isn't bad, but foreclosures will continue to rise," said Jay Butler, director of Realty Studies at ASU. "The fallout from the subprime market is just beginning," he added. In metro Phoenix, foreclosures are still low compared with other states, like Florida and Michigan, which lead the nation in foreclosures. 04-16: Zillow.com estimates draw fire, state ban, from the Arizona Republic, reports that the Arizona Board of Appraisal has issued two cease-and-desist letters to the popular real estate web site Zillow.com, claiming Zillow needs an appraiser license to offer its "zestimates" in Arizona. "It's the board's feeling that (Zillow) is providing an appraisal," said Deborah Pearson, Board of Appraisal executive director. Seattle-based Zillow.com has been popular since it launched in February 2006 and claims 4 million users a month. It has drawn criticism from real estate professionals and others about accuracy. "We strongly believe that providing 'zestimates' in Arizona is completely legal and in fact an important public service, given that (they) are the result of our 'automated valuation model' and are not a formal appraisal," said Zillow president Lloyd Frink. 04-17: 2nd Waterfront tower on way, from the Arizona Republic Scottsdale, reports that the second Waterfront tower at Scottsdale Road and Camelback will begin welcoming its first residents in June. Residents of the first Waterfront condo tower started moving in in February. The $240 million Waterfront condo project is the most prominent landmark in downtown Scottsdale. Buyers at the Waterfront paid an average of $1.2 million for their condos, with the last few condos starting at $1.7 million each. Scottsdale Waterfront has a mix of residents ranging from their late 20's to the 70's, and only one in five buyers was from out-of-state, according to Geoffrey Edmunds, a development partner with Opus West for the project. 04-18: Record $149 million paid for Desert Ridge site, from the Arizona Republic, reports that a 269-acre state land parcel near the Loop 101 and Tatum Blvd. sold yesterday at auction for $149.45 million. The sale not only is the highest price a developer has paid for a piece of Arizona land, it also is an indicator of where the Valley's housing market may be headed. The site drew no bidders last year. The buyer was Rightpath Limited Development Group. They plan on building 3,700 homes, condos and apartments over the next several years. "People obviously came to watch the auction today to try to get a sense where the (housing) market is headed," said Mark Winkleman, state land superintendent. "A record price for this piece of state land has to be a good sign," he added. 04-18: Mortgage giants may help borrowers, from the East Valley Tribune, reports that the heads of Fannie Mae and Freddie Mac said Tuesday the mortgage giants are developing new types of loans to help distressed borrowers with high-risk mortgages keep their homes at a time of rising foreclosures. A key federal regulator, Sheila Bair, also exhorted mortgage lenders to show flexibility toward borrowers to help with the wave of defaults among homeowners with subprime loans. Many of those borrowers "could avoid foreclosure if they were offered (loans) that allow for affordable mortgage payments," Bair testified. "Restructuring their loans into more affordable products, especially 30-year fixed-rate mortgages, would bring them back to good standing, allow them to repair their credit histories and dampen the impact that foreclosures may have on the broader housing market." Most importantly, Bair added, "people would be able to stay in their homes." Richard Syron, Freddie Mac's chairman and chief executive, said the company is "working on a major effort to develop more consumer-friendly subprime products that will provide stable financing alternatives going forward," which are expected to be available by midsummer. He said products would include 30-year and possibly 40-year fixed-rate mortgages as well as adjustable rate mortgages with longer fixed-rate periods. 04-19: March home foreclosures rise 7%, Nevada is worst, from the USA TODAY, reports that home foreclosures nationwide rose 7% in March from February to 149,150, reflecting the struggle of borrowers with subprime mortgages to keep their homes, according to the latest numbers released by RealtyTrac. The number of foreclosures was 47% higher than a year ago. However, it might not be as bad as we think. "While foreclosures are causing a major disruption in the subprime sector of the lending industry and saturating pockets of some local markets, it's important to note that U.S. foreclosure activity overall is not far above historical norms," said James Saccacio, Realty Trac's chief executive officer. Nevada posted the highest foreclosure rate of any state with 4,738 filings, more than triple the number in March 2006. http://www.usatoday.com/money/economy/housing/2007-04-18-foreclosures-march_N.htm 04-19: Door-to-door effort aims to fend off foreclosures in Arizona, from the Arizona Republic, reports that members of the Association of Community Organizations for Reform Now (ACORN) plan to go door-to-door in Phoenix and Tucson offering help to subprime borrowers with bad loans facing foreclosure. "We want homeowners facing foreclosure to know they have options," said Sophia Tesch, a Mesa ACORN member. "There are many Valley victims of mortgage fraud and predatory lending." ACORN's national Stop Foreclosures Campaign kicks off in Arizona at 10 am on the state capital lawn. Similar campaigns are being launched in other cities with foreclosure problems. http://www.azcentral.com/news/articles/0419predatory-loans0419.html 04-20: Valley builder Horton takes hit, says slump will continue, from the Arizona Republic, reports that D.R. Horton, the leading homebuilder in the Valley and one of the nation's largest homebuilders, said Thursday that profits dropped 85 percent in the first quarter of 2007, and its chief executive said the weak housing market will continue into 2008. D.R. Horton built 5,600 homes in the Valley in 2006. The company was hurt most by a slowdown in pricey California, where the number of people who can afford a home has been shrinking. Horton has been responding to the housing slump by cutting 2,700 jobs and abandoning deposits on options to buy land, mostly in California. http://www.azcentral.com/arizonarepublic/business/articles/0420biz-drhorton0420.html 04-20: Mortgage rates decline, from MSNBC.com, reports that rates on 30-year, fixed-rate mortgages fell for the first time in six weeks as investors saw evidence that inflation is not getting out of hand. In its weekly survey, Freddie Mac reported that rates on 30-year fixed-rate mortgages averaged 6.17 percent this week, down from 6.22 percent last week. Frank Nothaft, chief economist at Freddie Mac, said that the low mortgage rates that have prevailed so far in 2007 may be helping to stabilize the housing market. The government reported earlier this week that construction of new homes and apartments rose for the second straight month in March. http://www.msnbc.msn.com/id/7148582/ 04-23: Scam takes owners' home, equity, from the Arizona Republic, reports that scammers are taking advantage of homeowners facing foreclosure, in some cases taking control of a struggling homeowners house and stripping any equity left in it. "Foreclosure rescue sounds like something good, but it isn't. There are some sharks out there. They are taking advantage of desperate homeowners and need to be stopped," said Arizona Attorney General Terry Goddard. Foreclosures had climbed tenfold in the Valley during the last year. The typical Valley homeowner facing foreclosure gets at least 300 pieces of mail from groups offering some type of help, real estate attorneys say. Homeowners are typically offered some money and told they can refinance and clean up their credit. The homeowners are so relieved, believing they will be able to keep their homes, that they sign blank documents they don't understand, and some of them are actually deeding the house to the foreclosure group. http://www.azcentral.com/arizonarepublic/news/articles/0422foreclosure-rescue0422.html 04-23: Realtors side with Zillow.com, from the Arizona Republic, reports that Senate Bill 1291, a bill sponsored by the Arizona Board of Appraisal that is trying to stop web-based Zillow.com offering its home values reports, is drawing some criticism from some Realtors who believe regulators are overstepping their authority. Phoenix real estate broker Greg Swann of BloodhoundRealty.com, said the legislation is narrowly written and could also affect other on-line services from offering property value estimates using automated valuation models. He added that the bill is so tightly written that two neighbors talking about a neighbors property technically would be in violation of the law. http://www.azcentral.com/arizonarepublic/business/articles/0422biz-zillow0422.html 04-23: ADOT's 5-year spending plan includes $3.6 billion for Valley, from the Arizona Republic, reports that ADOT's five-year transportation plan was given to the State Transportation Board Friday for approval and has $3.6 billion targeted for Valley freeway expansion. Specifically, the main projects that will be scheduled through 2012 include: * The widening of I-10 from Interstate 8 to the Picacho Peak interchange * Start of widening I-10 from the boundary of the Gila River Reservation to the I-8 junction * Widening of Interstate 17 from the Loop 101 to Carefree Highway, and then up to Anthem Way * Preliminary work on project to widen Interstate 17 from Black Canyon City to Cordes Junction * Widening of Interstate 10 west of Loop 101 in the West Valley * Widening & improvements for U.S. 60 in the West Valley's Grand Avenue portion * I-10 widening and improvements from Arizona 51 to Baseline Road * Preliminary work to widen and improve Carefree Highway west of Interstate 17 * Construction of the South Mountain segment of the Loop 202 from I-10 south in the West Valley to 51st Ave.,and design of the leg from 51st Ave. to Interstate 10 Santan interchange http://www.azcentral.com/arizonarepublic/local/articles/0421roadplan0421.html 04-24: Feds may join panel's freeway clash, from the Arizona Republic, reports that the Ahwatukee Foothills Village Planning Committee tonight will discuss sending letters to federal, state and local leaders seeking answers about the effects of building the proposed 22 mile South Mountain Freeway. Committee Chairman Doug Cole said the group will "launch the letters" if its members agree tonight. The letters cover more than 100 public comments ranging from questions about emergency-evacuation plans for residents who rely on Pecos Road to bulldozing about 250 homes. Pecos Road is the only alignment being studies for the 10-lane freeway. MAG still wants to see the freeway on the Gila River Indian Community land, but Gov. Janet Napolitano has not responded about her position on the alignment even after MAG sent her a letter stating "we believe it would be helpful for your office to enter into negotiations" with the tribe to "determine if a portion of the freeway can be located on GRIC land." http://www.azcentral.com/community/ahwatukee/articles/0423freeway0423.html 04-24: Average Valley apartment rent rises over $800, from the Arizona Republic, reports that the rent for an average Valley apartment rose over $800 for the first time, standing at $805, according to a report released by RealFacts. They reported that rents rose 4.4 percent during the past year. Renters may get some relief this year as 3,500 apartment units are going up, according to apartment brokerage firm Hendrick & Partners. In addition, many of the condo conversion projects are reverting back to apartments. Despite rents topping $800, the Valley is still considered an affordable apartment market compared to other parts of the west, like San Diego, Los Angeles and San Jose. Tucson apartment rents seem cheap at $655, while Flagstaffs stood at $816. http://www.azcentral.com/community/phoenix/articles/0422biz-catherine0422.html 04-25: U.S. Housing market worsens as Valley improves, from the Arizona Republic, reports that newly released data show that U.S. home prices fell at the steepest rate in almost 15 years in February and existing home sales fell in March by the largest amount in nearly two decades. However, the news in the Valley is better, with the housing market beginning to show signs of life in March. March resales increased over the January and February totals, and the median house price stood at $265,470. Any improvement in the market is welcome as there are still more than 50,000 houses for the market according to the Arizona Regional MLS. http://www.azcentral.com/business/articles/0425biz-housing0425.html 04-25: Desert Ridge development barely starting, from the Arizona Republic, reports that while more than 90 percent of available land in the Desert Ridge area has been sold to developers, less than 20 percent of the total housing units planned have been built. Some of the parcels purchased earlier by builders such as Pulte, Meritage and Toll Brothers are still planning their property and have not started any infrastructure construction. The ongoing housing slump and lack of infrastructure are two reasons cited for the delays. But planners believe development will accelerate. "It all should be solid from Phoenix to Scottsdale sooner than you think," said David Richert, senior executive assistant to the city manager. He said that a large water line being built from Cave Creek Road east into Desert Ridge will play a big part in the timing of the residential housing developments. It could take four years to finish, he added. http://www.azcentral.com/arizonarepublic/business/articles/0425biz-desertridge0425.html 04-26: Yuma, Prescott top list of good places to start a business, from the Arizona Republic, reports that Inc. Magazine has released its list of top cities in which to start a business, and Yuma and Prescott are ranked second and third respectively, behind number one St. George, Utah. Inc's list, which includes 393 metropolitan areas, also ranked the Phoenix metro area at number 14, Tucson at 52 and Flagstaff at 73. The Phoenix metro area ranked second on the large cities list, which include metro areas with an employment base of 450,000 or more. More good news for Arizona! http://www.azcentral.com/news/articles/0425biz-citybiz25-ON.html 04-26: Nation's March home-sale figures disappointing, from the Arizona Republic, reports that U.S. sales of new homes posted a 2.6 percent increase over February, a gain that was less than expected and was 23.5 percent lower than a year earlier as the housing industry continues a painful adjustment after a boom period in which sales of new and existing homes set records for five straight years. Analysts see home sales trouble continue as rising foreclosures dump more homes on the market and cause lenders to tighten standards, making it harder for prospective borrowers to qualify for loans. The median new home price for the nation stood at $254,000, a 6.4 percent increase over a year earlier. David Seiders, chief economist at the National Association of Home Builders said the latest housing data was a disappointment after hopes had been raised last year that the housing slump might be ending. http://www.azcentral.com/business/articles/0426biz-economy0426.html 04-27: Surprise, Yuma dubbed 'Cities of the Future', from the Business Journal of Phoenix, reports that Surprise and Yuma were ranked number 7 and 4 respectively in Foreign Direct Investment (FDI) magazine's North American Cities of the Future. FDI researchers spent six months compiling lists for its City of the Future package published in its April /May issue. Criteria included economic potential, cost effectiveness, human resources, quality of life, infrastructure, business friendly environment and development and investment promotion. Cities were ranked on population in major, large, small and micro categories. Surprise claimed the seventh spot in the micro city list and scored first in best development and investment potential; second for best infrastructure and third for business friendly environment and quality of life. Phoenix didn't make the top 10 for large cities, but did make a couple of the sublists. Phoenix ranked first for economic development and investment promotion and fourth for best infrastructure. http://phoenix.bizjournals.com/phoenix/stories/2007/04/23/daily34.html?t=printable 04-27: Arizona endless opportunities, from Foreign Direct Investment Magazine, has a glowing report on the business environment in Arizona. It notes that Entrepreneur Magazine ranked Arizona number 1 for starting or growing a business, and that Chief Executive Magazine ranked the state the fourth most desirable state for corporations. It notes that Arizona is an ideal base for companies that need to reach out to the world, and that more than 100 foreign-owned companies have operations in Arizona. The article breaks the state into three areas and speaks about each areas growth. For the metro Phoenix area, the article states that Phoenix is one of the fastest growing regions of the nation, with Greater Phoenix growing from its current 3.7 million population to 5.9 million by 2030. This tremendous growth drives the creation of quality jobs and additional investment, attracting companies in key industries including aerospace/defense, next-generation electronics, sustainable industries, life sciences and information and communication technology. It mentions Williams Gateway Airport as a developing business center. This is a very positive article that shows that we have all the elements in place to continue to grow and be one of the best market areas in the country. http://www.fdimagazine.com/news/fullstory.php/aid/1933/Arizona_endless_opportunities.html 04-30: Las Vegas house 'flipping boom' goes bust, from MSNBC.com, reports that Nevada leads the nation in foreclosure rate primarily as a result of all the investors who went into Las Vegas during the boom, purchasing homes in hopes of reaping large profits, only to be caught on the tail end of the boom and now having an asset that is worth less than what they purchased it for. The result is a glut of homes on the market, communities spotted with empty houses and for sale signs, and a statewide foreclosure rate of one in every 183 households. In Clark County, which encompasses Las Vegas, one of every 30 homes began the process toward foreclosure last year. When the market slowed, many buyers of new homes and condosforfeited their deposits. Speculators dried up and inventories went up, depressing prices. In March, the number of resale listings in Las Vegas grew 30 percent from a year ago to 27,282, and sales and values of homes sold were both down 38 percent from a year ago. http://www.msnbc.msn.com/id/18335054/ 04-30: Cities prime for new firms, from the Arizona Republic, reports that a new Inc. Magazine ranking show Yuma and Prescott as the number 2 and 3 best cities in the country to start a business. Business owners in Yuma and Prescott said the ranking reaffirm their initial reasons for locating to the cities. Last year, Yuma had the top spot and Prescott ranked 16th. Metro Phoenix jumped from 36th last year to 14th this year. Tucson went from 52, up from 60 last year. Flagstaff fell from 56 to 73 this year. The Valley's big jump in the ranking was a result of the metro area's non-farm employment base rising from 1.74 million jobs to 1.88 million jobs between 2005 and 2006, according to the magazine. http://www.azcentral.com/arizonarepublic/business/articles/0429biz-incrankings0429.html | ||||||||||
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