How bad is the housing crash getting in Phoenix? Here's a home $220,000 below appraisal - yours to buy or maybe even commit mortgage fraud!

Hell, you find a home in housing-crash-central-Phoenix listed at $220,000 below appraisal, just go get yourself a loan for the appraised amount with no down and no doc (IndyMac might be able to help you there if you hurry), move in, then do the American thing and NEVER MAKE A PAYMENT.

Meanwhile, take the $220,000 and transfer it to your Swiss bank account, and just walk away.

Sweet!

Or if you really want to "own" it, go ahead and buy. And see how quick you can lose another $220,000. Or try to rent it out, and ask yourself why renters would only pay 30% of what your cost to "own" would be.

Welcome to HousingPANIC.

$900000 $220k below RECENT appraisal, builder desperate

Priced to move, this WEEK! Not in MLS. No agents please. This is a Pre-foreclosure.

This home is really just one of about 11 other high-end foreclosure or pre-foreclosure homes in the Desert Hills, Cave Creek, or Carefree areas. What is it you are exactly looking for? We can send you a detailed list of all “instant equity on the buy - value purchases” in the area.

Whiny realtor writes letter to editor complaining about media coverage. HP'er then puts her in her place. Gotta love it!

It's times like these when I couldn't be more proud to be an HP'er:

Here's the standard whiny real estate clerk letter in the Las Vegas Journal (which I thought for sure was meant as an ironic joke, but alas, it was not, it's the real estate clerk who is the joke):

LETTERS: Spare us bad news about housing market

To the editor:

OK, by now even the most casual observer is aware that the Las Vegas real estate market is not doing well. We have been bombarded by your newspaper, network news, and the Internet telling us over and over again how bad things are.

It seems as if almost every day you run an article predicting the percentage that the market will decline and quoting the same experts (over and over) with their personal opinions (which is all they are -- no one has a crystal ball).

Enough already. The sellers know the market is tough, and it is very depressing for them to see article after article about how bad things are and how much worse things may get. Prospective buyers who read your articles predicting a "possible 5 percent to 10 percent decline" in prices are smart enough to figure out that maybe they should wait to purchase.

You keep saying the average home price is around $300,000. If I were a prospective buyer and saw that a 10 percent decline was expected this year, I would wait a year to buy and save $30,000.

Perhaps all the negative news and press is partially responsible for prolonging this real estate decline. You are creating a surge of "fence sitters" when you predict to buyers that more money can be saved if they wait. If you could you just refrain from running an article every day about the dismal market, maybe things could turn around.

Las Vegas is a great place to live. Let's focus on the positive.

Karen Newkirk
LAS VEGAS - THE WRITER IS LOCAL REALTOR.


And Here's HP'er John's response which they then published:


LETTERS: Slow housing market not all bad

To the editor:

In response to Karen Newkirk's Tuesday letter, "Spare us bad news about housing market".

Ms. Newkirk, a Realtor, believes that accurate reporting by local and national newspapers is somehow causing the bursting of the housing bubble. Apparently, when one's commission checks are affected, it is time to find a scapegoat.

She should realize that inventory increased, home sales slowed down, and prices fell because of other factors, such as: too many speculators in the market, the lowering of lending standards, foreclosures, developer overbuilding and -- most importantly -- affordability. The average person no longer can afford the average house. Something has to give, and I doubt that wages will be greatly increased.

When Las Vegas house prices were appreciating by 10 percent to 20 percent each year, and this was reported by the newspaper, did Ms. Newkirk write to complain that the reporting of price increases was fueling even higher prices, and thus eliminating many potential buyers who only want affordable housing?

Reduced prices will give more people an opportunity to own a home, and for them that would make Las Vegas a great place to live.

John Hildahl