The Gazette reports from Colorado. "The local housing market remained mired in one of its worst slumps in years during September, as home construction plunged, prices sagged and foreclosures continued at a record clip. The number of single-family homebuilding permits issued last month in El Paso County fell to its lowest level in nearly 16 years, according to the Pikes Peak Regional Building Department."

"Also, the median price of homes — mostly resales — that sold in September fell when compared with the same month a year ago, the Pikes Peak Association of Realtors said. It was the second straight month prices have fallen."

"And with another batch of foreclosures in September, the number of loans in default for the first nine months of 2007 has surpassed the total for 2006, according to the El Paso County Public Trustee’s Office."

"George Hess, head of Vantage Homes and board president of the Housing and Building Association of Colorado Springs, said there are plenty of homebuyers. But many want to negotiate prices because they know it’s a buyers’ market."

"Some of his competition includes the homes he built five and six years ago that are now for sale. There’s nothing wrong with them, he said, but some buyers don’t want to pay more for a new home when they can get a better price on a Vantage Home that’s still like new."

"'You have too much supply and not enough demand,' Hess said. 'The impacts are obvious. It’s going to take a while for this credit crisis to be fixed.'"

The Rocky Mountain News from Colorado. "More than 19,000 foreclosures have been filed in the seven-county Denver area in the first nine months of the year, only about 300 shy of the record set for all of 2006."

"There were 19,120 foreclosures in the first three quarters of the year, marking a 37 percent jump from the 14,001 filed through September of last year, county public trustee offices said Monday. A record 19,425 foreclosures were filed in 2006."

"Denver showed the largest number of foreclosures at 5,375 in the first three quarters, and the biggest percentage increase from the same period last year, at 50.6 percent."

"One of the hardest hit areas in Denver has been the northeast neighborhoods of Montbello and Green Valley Ranch. It's estimated that 72 percent of the home sales in those neighborhoods are either foreclosures or short sales, where the lender accepts less than the mortgage payment."

"'I hope people understand these are just not statistics or numbers on a page,' added said Zachary Urban of Brothers Redevelopment, a nonprofit group that administers the Colorado Foreclosure Hotline. 'If you look at the neighborhood consequences, the 19,000 homes are directly impacting houses on each side, as well as across the street.'"

"About the only beneficiaries are first-time home buyers who can get deals, he said."

The Arizona Daily Star. "As the number of foreclosures continues to rise in Tucson, the local real estate community is becoming increasingly interested in a foreclosure alternative: the short sale."

"The downturn in the real estate market, coupled with increases in mortgage delinquencies, is making short-selling look like an attractive option for sellers in some cases, said Larry Pollman, a real estate broker who represents sellers in short-sale transactions. Pollman's company, HomeWay Realty, has seen a surge of short-sale listings within the past eight months, he said."

"'They're in vogue now,' he said. "When the market goes down, they become in vogue.'"

"'Lenders traditionally were hard-nosed, and they wouldn't want to talk to you if you can't pay,' said said Fred Brodsky, director of the Brodsky School of Real Estate. 'But now they're beginning to see the light. Banks don't want to be in the business of owning houses.'"

"Lenders also often require sellers to 'qualify' for a short sale by providing detailed financial information and documents to demonstrate hardship, Brodsky said."

"One seller who recently tried holding her own auction to combat a stubborn market ended up disappointed with the outcome. Alison Torba planned to auction off a duplex and a single-family home on Sept. 30. The starting prices were $149,500 for the duplex and $79,500 for the house. Previously, they had been listed at $265,000 and $138,000."

"A buyer ended up snapping up the single-family home before the auction at $132,000. The duplex was sold at the auction for $200,000. Torba said she ended up about breaking even. 'I'm disappointed, but I'm OK,' she said."

The Tucson Citizen from Arizona. "Pima County homeowners in the next few years could be stuck with property tax bills that reflect the inflated housing values of a runaway real estate market that no longer exists."

"Residential valuations by county assessors in Arizona lag a year to 18 months behind what homeowners see on tax bills mailed every September."

"'Our budget is built on a house of cards,' Supervisor Ann Day said recently. 'Our growth was based on an inflated housing market that no longer exists.'"

"The scenario for homeowners is property tax bills in the coming two years reflecting values the market no longer supports, said Bill Staples, Pima County assessor."

"For example, a home that might sell for $240,000 this year that has an assessed value of $200,000 might sell for only $210,000 next year. But the homeowner's property tax next year would be based on the $200,000 assessment from this year."

The Las Vegas Business Press from Nevada. "The Nevada Supreme Court recently ruled that owners of condo-conversions, or apartments transformed into condominiums and sold as residential units, can sue builders for faulty construction on renovated parts of the homes."

"Many of the valley's older apartment buildings were quickly outfitted with new furnishings and upgraded features, making them appealing as condos to home buyers or to investors looking to cash in quickly during the now-busted housing boom."

"But many condos were rushed onto the market, resulting in massive amounts of defective renovation work, according to allegations in Westpark Owners' Association v. Westpark Associates LLC and Oxbow Construction LLC, the case that led to the recent ruling."

"Nancy Quon, an attorney who has represented homeowners in defect lawsuits, was blunt about the conditions of some valley condo-conversions. 'They can be horrible. If you buy them when they are 10 years old, right about the time you buy them, they are falling apart,' she said."

The Review Journal from Las Vegas. "Nevada's economy slumped again in July, with the value of taxable goods and services purchased by consumers down 2.6 percent over the same month a year ago." Several major taxable sales categories reported lower taxable sales than in July 2006, according to a report released Monday by the Department of Taxation. The July report continues a trend of declines that began in April."

"'Nevada continues to feel the effects of the slow housing market and decline in automobile sales, a trend exhibited over the past several months,' Gov. Jim Gibbons said in comments accompanying the report."

"Eleven of 17 Nevada counties showed a decrease in taxable sales for July 2007 compared to July 2006: Carson City, Churchill, Clark, Douglas, Esmeralda, Humboldt, Lander, Lincoln, Nye, Pershing and Washoe."

The Reno Gazette Journal from Nevada. "Observers pointed to the downturn in the housing market as a key weight dragging down taxable sales, the construction sector, continued to fall in the greater Reno-Sparks area."

"'It's a drag, clearly. It's pretty much the same story,' state economist Jim Shabi said. 'If housing's not moving and prices are down, people are not refinancing and not getting additional money to spend. People either don't have the money to spend or are being more cautious.'"

The Sierra Sun. "Got big plans to sell your home? Now might not be the best time to put it on the market." "The slide in real estate sales and price levels continues through most of Lake Tahoe and Truckee, marked particularly by the drop in sales volume and median home prices in Tahoe City."

"According to a report from Chase International comparing the first six months of this year to the same period in 2006, the median home price in Truckee dropped 13 percent to $645,000. Meanwhile, volume and units sold rose modestly by 4 and 14 percent respectively."

"Generally, real estate prices peaked in the first part of 2006 and then have declined over the past year. Throughout the Tahoe Basin, sales volume declined by 8 percent compared to this time last year."

"Tahoe City took the biggest hit in the first half of this year. Amplifying the national trend, single-family home sales dropped by nearly 40 percent."

"The median sales price in Tahoe City was down this year to $679,000 from $885,000, according to mid-year reports from Chase International, a 23 percent drop."

"Agents say the current market looks good for buyers."

"'Of course I’m a real estate agent, I’m always optimistic,' Curtis said. 'I think it’s a great time to buy...I think any buyer can rest assured they’re getting very good value if they’re buying a home right now. It’s not an investment that’s looked at to flip very quickly, but a solid, long-term investment. I’m telling everyone this is the new normal.'"