Comments on: Op-Ed Friday: Arizonans Losing Home Equity At Fastest Rate Ever

By: Arizzzona

Arizzzona — Sat, 24 May 2008 21:39:34 +0000

“…the value of an average home in the state slid 5.5 percent in the first quarter of this year compared to the same period a year earlier. So a home that was worth $200,000 a year ago is now valued at just $189,000.”

This seems way, way, waaaay off to me. Home prices in greater PHX have dropped by much more than 5.5% in the past year.

Between Butler’s funny numbers (and wondering the ebst way to tease out the Trustee sales to arrive at meaningful figures) and so many other conflicting statistics (sometimes due to sloppy reporting) we are faced with a great deal of misinformation.

By: Bluestreak

Bluestreak — Sat, 24 May 2008 07:43:24 +0000

Three years ago approx, Arizonans were gaining home equity at the fastest rate ever. It is all perception.

By: Russ

Russ — Fri, 23 May 2008 17:54:36 +0000

I think that some areas lack any value. Am I really saying zero? Maybe. In the furthest fringes of QueenCreek-Pinal in the era of peak oil, what possible reason would there be to buy one of these things?

If you are retired, there are nicer options. If you work outside of the fields of prison guarding or Wal-Mart, what is there? Driving roundtrip on two-lane roads just for the joy of (eventually) joining the freeway crowd. That’s right, you have to struggle to even get to the crowded freeways further in.

And this is coming from someone who lives in a fringe area. But having explored QC-Pinal, my exurban burg of Surprise is a commuter’s paradise in comparison. By timing things correctly, I usually arrive around Central and Jefferson from near the 303 and Greenway in 40 minutes. I commute fewer days than most do, but there is even an express bus option for M-F 8-5ers.

So, my point is, while fringe obviously means using more costly gas, extreme fringe in areas that are light on infrastructure is really undesirable. And in era of recession and shrinking government revenue, the chances of that infrastructure improving anytime soon are remote.

By: inqydesu

inqydesu — Fri, 23 May 2008 16:51:06 +0000

Azsaluki
I agree – if you are trying to move up, it is a good thing. Except if you are trying to buy a house with a mortgage.

Markets don’t like uncertainty. That is a very bad thing (both going up and coming down).

As such – the lenders, who depend on appraisals for their risk, don’t know what to do. They have tightened restrictions on both time and distance for comps, and sales have droppped, doubly compounding things.

Roller coaster markets (up and down) are not good (except for a few in the short term).

By: AZSALUKI

AZSALUKI — Fri, 23 May 2008 15:23:59 +0000

i say keep diving!! i’d like a nicer, larger house and would rather loose 10% more on the cheaper home i am in now to save 10% on the next one i buy. i know so many people that have been freakin out about all of this and i try to explain that it is a good thing if they are lookin to “step up” into their next house….but they just don’t seem to understand.

By: foreclosure_expert

foreclosure_expert — Fri, 23 May 2008 14:04:13 +0000

Both Queen Creek and Maricopa, AZ have surpassed the depreciation mentioned in this article (by a long shot):
http://www.foreclosureexpert.info/2008/05/a-tale-of-two-c.html

By: foreclosure_expert

foreclosure_expert — Fri, 23 May 2008 13:59:55 +0000

This info is for anyone unaware of the situation in Maricopa and Queen Creek, AZ. These two cities have far surpassed the depreciation mentioned in this article:

Queen Creek: http://www.foreclosureexpert.info/2008/05/a-tale-of-two-c.html

Maricopa:
http://www.foreclosureexpert.info/2008/05/a-tale-of-2-cit.html