Phoenix Foreclosures in Upper Price Ranges

It's Thanksgiving morning and I'm in a hotel in Phoenix, AZ. The Arizona Republic newspaper was in front of my door, so I took it to breakfast.

A front page story on Phoenix foreclosures caught my eye. More than 10,000 foreclosures are expected in Phoenix this year. And, the majority are not in the price range you might expect. The highest percentage of foreclosures in Phoenix is in the $400,000 to $450,000 range. The rate is almost 50% higher than in the $200,000 to $250,000 range.

The reasons for these higher end foreclosures seem to be buyers who overextended themselves for choice areas, and investors who did the same. There are also fewer lender programs to help in the higher price ranges. Though it is difficult to be thankful in times of economic distress, I hope these homeowners are able to enjoy this Thanksgiving holiday.