Top foreclosure markets in the country
February 14, 2008
A new report analyzing markets that were most affected by foreclosure in 2007 finds that the Detroit metro area is at the top of the list. The top 100 markets saw a 78% increase in foreclosures in a year. While Detroit is up 68% by comparison, Motor City has a whopping 5% of homes in foreclosure right now.
At No. 2, we have Stockton, CA, with just under 5% of homes in foreclosure. Rounding out the top 10 is Las Vegas; Riverside, CA; Sacramento, CA; Cleveland, Ohio; Bakersfield, CA; Miami; Denver and Ft. Lauderdale, FL. Rounding out the top 20 we have Atlanta; Akron, Ohio; Memphis, TN; Fresno, CA; Dayton, Ohio; Oakland, CA; Warren, MI; Indianapolis, IN; Toledo, Ohio; and Orlando, FL.
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CLARK'S TIP TOPICS
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Many of these markets like Detroit, Akron, Dayton and Toledo were never part of the housing bubble. But now they're a part of the bust -- thanks to poor job markets. Atlanta didn't bubble either, but it was front and center in the sub-prime mortgage mess. Most of the other cities listed above were bubble markets. It could be 10 years before equilibrium comes and housing stabilizes. Those who bought in a bubble market during the last 36 months will really feel the crunch the most.
You have to look back to the dot.bomb era to get some perspective on the housing slump. The tech craze pushed the NASDAQ over $5K some 8 years ago. Right now it's $2.3K -- still worth less than it was at its peak all these years later. That's because the peak was artificial, but the decline was real.
The housing crunch will not be this dire because the run-ups were not as steep as with the tech stocks. Think about it: The tech loss was $7 trillion, while the housing decline could be $2 trillion -- less than 1/3 of the tech bust. So the overall housing picture is not as bad as it was with the tech bubble.
Meanwhile, The Wall Street Journal reports that the banks are working the White House to get a federal bailout for themselves, at the expense of taxpayers. It is not our job to bail out banks and brokerage houses that made idiotic sub-prime loans. Clark vows to be all over this story to help protect your wallet.
Monitor crime stats in a neighborhood online
February 12, 2008
A few years ago, Clark told you about a website that lists trash facilities and toxic waste sites in a given area. Potential homebuyers could use the service to vet a neighborhood before a purchase.
Then he recently read about a website called CrimeReports.com that allows you to do the same thing for crime statistics. CrimeReports.com is still a fledgling effort so there's not too much info in the database yet; so far Dallas and Chicago are the only big cities listed.
One of the main impediments to growing the website will be from politicians and police departments. Unfortunately, a lot of politicians don't want their local police departments to be honest about crime rates. Spikes in crime reflect poorly on a politician's leadership. So we'll see how this site progresses in the future.
CrimeReports.com was the brainchild of a man in Virginia who had been the victim of a crime. The site could prove to be a real boon to community-based policing of the sort that was favored by former New York mayor Rudy Giuliani.
The real motive behind foreclosure relief
February 12, 2008
There's been so much buzz about 6 of the largest banks offering foreclosure relief to millions of homeowners. The relief will be temporary, but it could lead to changes in loan terms and payments. Participating lenders include Bank of America, Citigroup, Countrywide, JP Morgan Chase, Washington Mutual and Wells Fargo. ... More
New homes may be a better deal than used ones
January 29, 2008
Several just-released home market stats highlight how stinky the real estate market has become. In the latest session of Clarkonomics, Clark explains how the current market situation is turning some of his long-standing advice on its head. ... More
Lower interest rates open refinancing window
January 28, 2008
The slowing economy presents many challenges along with many opportunities. In the latest edition of Clarkonomics, Clark focused on some of the latter. ... More
More recent Home Tips from Clark:- Monitor crime stats in a neighborhood online
- Top foreclosure markets in the country
- The real motive behind foreclosure relief
- Occupancy fraud stalls housing market recovery
- Playing the foreclosure-buying game
- Florida real estate may be a deal in 2009
- Lower interest rates open refinancing window
- Lower interest rates open refinancing window
- Forbes names most affordable places to live well
- Hints for appealing your property tax reappraisal
