The Aurora Sentinel reports from Colorado. "It's a buyer's market in Aurora as foreclosures in 2007 are outpacing the number of residents who lost their homes in 2006. local real estate experts say. At the end of March 2006, Adams County had 1,094 foreclosures. In the first three months of this year 1,456 homes went into foreclosure, a 33 percent increase. As of April 24, Arapahoe County had 2,015 foreclosures. At the end of last April, the county had seen 1,545, according to officials."

"'There's a lot of great deals out there for buyers but there's also a lot of doom and gloom,' real estate agent Sunny Banka told the city's Code Enforcement committee."

"Rather than walk away from a sale with a profit, home sellers are bringing their checkbooks to closings, said Banka, who has worked in the Aurora real estate market for 29 years."

"Homes sold this year in northwest Aurora had an average price tag of $111,250, down $19,000 from last year, according to Banka's data. Houses in southeast Aurora bucked the trend, selling for an average of $313,153 in 2006 and $396,443 this year, although well below the average asking price of $430,806, according to the same data."

"'New construction is in serious trouble,' Banka said, adding that she's recently seen large home building companies lay off staff and close up offices in the area."

"Councilman Bob Broom called the report 'gloomy' and despite her enthusiasm for the up tick in home sales, Banka agreed, saying: 'I think we're in for another tough year.'"

The Gazette from Colorado. "The pace of home construction continued to slide last month, forcing some builders to lower their sights on the number of houses they hope to sell and some subcontractors to look outside the area to find more work."

"In April, 257 singlefamily building permits were issued in El Paso County, a one-third drop when compared with the same month a year ago, according to the Pikes Peak Regional Building Department."

"Tom Adams, a VP for Colorado Springs-based Keller Homes, suggested many homeowners also took out second mortgages and used the money on vacations, cars or other personal items. The result is that some owners haven’t built up equity. When they go to sell, they have too much debt and don’t have a nest egg to use to move up into a newer, larger home, Adams said."

"That hurts Keller, which builds pricier homes in several upper-end subdivisions such as Flying Horse and Pine Creek on the Springs’ north side."

"Keller has lowered this year’s sales goals by 35 percent when compared with early 2006, Adams said. Keller also eliminated about 20 jobs through attrition and layoffs last year, he said."

"'We’re meeting our sales goals, but our sales goals have been greatly pared back from years past,' Adams said. 'We really had to adjust to this marketplace.'"

From Arizona State University. "From a high of 1,785 recorded sales in second quarter 2005, the Pinal County resale market has steadily declined to 840 transactions in the first quarter of 2007, compared to 1,110 sales for first quarter 2006 and 1,435 in 2005."

"Much like the sales activity, the median price has steadily eroded from $220,000 in fourth quarter 2005 to $204,600 in first quarter 2007."

"'In order to reduce inventories, new home builders have been aggressively pursuing buyers through incentives. The new home has become a strong competitive and attractive alternative to the resale home in Pinal County,' said ASU's Jay Butler. 'Thus, there are many reasons for the slowing market and issues that will have to be overcome for any future recovery.'"

The East Valley Tribune from Arizona. "A massive gated development in the works for Pinal County will bring a private golf course and nearly 2,400 homes to the Queen Creek area with sales beginning by the fall."

"Work on the more than one-square-mile project by Shea Homes, called Encanterra, is already under way at the southeast corner of Gantzel and Combs roads."

"The largest hurdles areas like Pinal County and the far West Valley are facing are traffic congestion and rising energy costs, said Jay Butler, who heads up the Realty Studies department at ASU."

"Builders will return to a more traditional way of selling, emphasizing locations, amenities and home designs, Butler said. 'How do they go back and differentiate themselves from their competition?' he said. 'The market may be smaller. The market may be more selective.'"

Bloomberg reports on Arizona. "Rachael Babinchak, a real estate agent, is trying to rent an investment property she bought for $224,000 last May in Phoenix, after home prices climbed 26 percent from a year earlier. Since then, demand has dropped because of a glut of for-sale properties and prices have 'softened,' she said."

"Babinchak is asking $1,100 a month for the two-bedroom house on the north side of the city, with a one-car garage, a pool and a hot tub. The average rent in Phoenix was $756 in the first quarter and the vacancy rate was 7 percent, exceeding the national average, according to Reis."

"'I didn't buy an investment property with the hopes of being a landlord, but I'm not going to get a good price right now,'' Babinchak said. As soon as the real estate market rebounds, she said she'll put the property back up for sale."