The Rocky Mountain News reports from Colorado. "Denver-area homes lost an average 4.7 percent of their value in the 12-month period that ended in April. Prospective home buyers are being cautious, said broker Diane P. Huttner. She said a large number of people are seeing negative reports in the media, and are reluctant to buy now, because they think prices are going to fall more."

"Huttner said she recently sold two homes in which the sellers cut their prices. Many homes 'just sitting around' are priced too high, she said."

The Denver Post from Colorado. "Independent real-estate analyst Gary Bauer said mortgage financing has remained tight, which has slowed closings. Boulder mortgage banker Lou Barnes said that tightness combined with a weakening economy made it premature to call a bottom."

"'Locally, we are closer to bottom than nationally, if only because our price peak passed in 2001,' Barnes said. 'Foreclosures here may soon stop rising, but the plague will be with us for another couple of years.'"

"Mortgage delinquencies rose again along the Front Range in the first three months of this year, a trend that could further delay a recovery in the housing market."

"Cecil and Roberta Nevins of unincorporated Adams County, struggling with health problems, were somehow qualified for an adjustable-rate mortgage that consumed nearly 60 percent of their fixed income."

"They managed to pay it, until the interest rate adjusted higher. 'We can't afford it with the payment on the mortgage going up every time you turn around,' said Roberta Nevins."

"Donald May, executive director of the Adams County Housing Authority, said rising mortgage payments combined with falling home values are leaving many borrowers desperate to find a way out. 'We have not seen a lot of creativity on the lender side to take into consideration that the value of the home has dropped and to re-evaluate,' May said."

The Summit Daily News in Colorado. "Collapsing housing prices and mortgage-lending problems across the United States have temporarily stalled the development of a planned 6,000-acre, 577-housing-unit development in Spring Valley."

James Lochhead, an attorney representing the company behind Spring Valley Ranch, attributed the delay to national housing and lending market."

"'The marketability of the project is dependent upon and affected by national market and financial conditions,' he wrote. 'The housing market at Spring Valley Ranch will be marketed nationally. As you are all aware, within the last year, the national housing and lending market has experienced extreme volatility, affecting the national economy.'"

The Aspen Times from Colorado. "Last week one of Aspen's most prolific real estate agents, Rich Wagar, had to cut loose his nine associates, partly because of a local property market that is increasingly mirroring the national condition."

"'I think it was a surprise to everybody,' Shael Johnson, one of the casualties of Wagar's restructuring, told The Aspen Times."

"Unsurprising, however, is that the local real estate market is underperforming when compared to the past few years. Call it a burst bubble, an industry recession, a slump, or simply a reflection of the national market, the real-estate landscape has proven that it is vulnerable, and businesses are having to adjust. Some real estate agents are being forced to take other jobs to make ends meet."

"'For someone who goes from $40 million in total sales volume to $10 million [in one year], that can be pretty traumatic,' said Craig Morris, a name partner with Aspen realty firm Morris & Fyrwald. 'It's the first time in 10 years I've seen a number of people in the business really looking elsewhere to supplement their income.'"

"'In the past, people could price their property at or above the market value, but they cannot now. There are many sellers that chose the price of their house on their own - and they typically have an inflated opinion of value - and their property sits on the market and doesn't sell,' he said."

"The answer, Morris said, is quite simple: Lower the price. Morris noted that he has one property listed for $7.995 million that he considers about 15 percent above its market value."

"'If that property were to come down $1 million it would be very sellable,' he said."

The Daily Sentinel from Colorado. "According to the Colorado Legislative Council, the number of building permits issued in Mesa County fell 31.2 percent during the first four months of 2008 compared to the same period last year. The number of permits issued in Montrose County fell 57.2 percent during the same period."

"The governor's Office of State Planning and Budget estimates the building slowdown will be exacerbated by a decline in second home sales to non-Coloradans. 'Fewer people will be able to travel to or buy second homes in Colorado,' the report said."

The East Valley Tribune from Arizona. "The Valley's swelling number of foreclosures spurred a first-ever double-digit drop in average home prices in the past year. Prices fell an average of 13 percent from March 2007 to the same period this year, according to an Arizona State University study. That's up from a 9.3 percent year-over-year decline registered in February."

"'What's going on now is unprecedented,' real estate professor Karl Guntermann said. In the last major housing downturn during the early 1990s, the most severe year-over-year decline on record was a 5 percent drop recorded in February 1990, the ASU report shows."

"Easy money doled out through risky loans amplified the dramatic upswing in prices during the latest boom, Guntermann said. Prices shot up 76 percent from January 2004 to July 2006, with the annual rate of appreciation peaking in September 2005 at 44 percent."

"'The faster and higher they went up, the faster and farther they'll fall,' he said."

"Every region of the Valley has been hit. The southeast Valley plummeted 13.8 percent from March 2007 to the same month this year. The southwest Valley experienced the harshest drop, at 22.9 percent."

"'In outlying areas, homes are getting crushed in terms of pricing,' said John Vatistas, co-owner of Russ Lyon Sotheby's International Realty."

The Arizona Republic. "The financial storm brewing around Mortgages Ltd. has touched two key downtown Phoenix projects, a blow to ongoing efforts to reinvigorate the city's heart. And it was unclear if other downtown projects could be next."

"It's unknown what developments are among the estimated 70 loans in the embattled Phoenix company's $925 million loan portfolio."

"Mortgages Ltd., the state's largest private lender, filed for Chapter 11 bankruptcy Monday. On Tuesday, Judge Randolph Haines granted Mortgages Ltd.'s motion to convert the case to voluntary Chapter 11, but tabled a request...to appoint an independent trustee to take over the lender's operations."

"Mortgages Ltd. has made several changes to its business, prompted by the apparent suicide of Chairman and CEO Scott Coles on June 2. The company financed commercial real-estate projects for developers using money it raised through accredited investors to fund the loans."

"Since Coles' death, the company said it is no longer making loans or accepting new money from investors."

MSNBC on Arizona. "In hard-hit neighborhoods, the glut of foreclosed homes has not only sent prices crumbling - the houses themselves are also falling down, according to a number of readers from around the country."

"'My neighborhood is filled with renters who could care less about the parks or the appearance of the homes,' wrote Joe Brogdon, of Queen Creek, Ariz. 'There is a smaller home near mine that has no windows and it is barricaded with plywood to prevent any more vandalism to the house. Many of the lawns are not being taken care of, which does not help the situation for resale or pride of ownership.'"

"In some communities with high foreclosure rates, lenders are having a tough time selling the properties they've taken over. The problem is apparently most severe in large developments that were under construction when the housing bubble burst."

"'There are well over 500 houses for sale in an area with approximately 5,000 homes,' said Rick from New River, Ariz. 'Most are spec homes for sale with sale prices dropped from $100,000 to $200,000. Banks can't even find buyers at auctions.'"

"Some readers reported they were benefiting from foreclosure's fallout - including dozens who said they were now able to afford a home in a buyer's market."

"'I just moved here, and I picked up a nice house for half of what it sold for in 2005,' wrote Doug, from Phoenix, Ariz. 'Thanks, Arizona.'"

The Las Vegas Business Press from Nevada. "Southern Nevada's commercial real estate market has softened somewhat as a result of the housing downturn and the resulting tightened credit availability for land-secured loans. There were 987 home foreclosures last month or the equivalent of 32 per day."

"Another 5,117 homes were undergoing the foreclosure process in May, which is 20 percent more than 12 months ago. Meanwhile, Las Vegas building permit activity dipped 38 percent for the first five months of 2008 versus the same period last year. There was only $59 million in commercial construction through May, 80 percent less than in 2007.

"Southern Nevada's office market had a 13.4 percent first-quarter office vacancy rate, 2.5 percent more than a year ago, and higher than the 2001 recession peak vacancies, Colliers International Las Vegas reports."

"'There is no doubt that the Las Vegas office market is struggling through the current sluggish economy,' Colliers' managing partner Michael Mixer said. 'In 2007, office employment in the Las Vegas area decreased by 4,000 jobs.'"

The Review Journal from Nevada. "Henderson-based Slade Development filed for bankruptcy protection Friday on Vantage Lofts, a $160 million condominium complex at Gibson Road and Horizon Ridge Parkway."

"Construction was halted in February and the sales office was closed after more than $17 million in mechanics' liens were filed by subcontractors who hadn't been paid for their work on the project. Slade listed debts of about $72 million and assets of about $45 million."

"'I've been in this town for 50 years, and we've never had a responsibility to subs that we couldn't meet, so this is new,' Slade Development Chairman Stacy Slade said."

"More than 20 buyers remain under contract, he said. Prices for the urban-style lofts ranged from $450,000 to $1.6 million, or about $450 a square foot. 'The lack of sales in the market, because of the downturn, it's no surprise, especially in the condo market,' Slade said. 'It's been a real battle.'"

"U.S. home prices, led by sharp declines in Las Vegas and Miami, tumbled in April at the fastest rate since a widely followed index was begun in 2000, with all 20 metropolitan areas surveyed posting annual declines for the first time."

"Las Vegas and Miami both continue to post the largest declines, falling 26.8 percent and 26.7 percent, respectively."

"Las Vegas-based Home Builders Research reported a median price of $225,000 for 2,606 existing-home sales in May, a decline of $53,000, or 19.1 percent, from the same month a year ago. It's down $65,000, or 22.5 percent, from the peak median in October 2006."

"'In our opinion, the unknown factor that can affect the resale prices during the upcoming months is the short sales,' Home Builders Research President Dennis Smith said."

"About one-fourth of available home listings in Las Vegas are short sales, offered at less than the mortgage owed, which means they must be approved by the bank before closing escrow."

"'And by now, most have heard the stories about how long that can take,' Smith said."

The Reno Gazette Journal from Nevada. "The Washoe County housing market showed signs of life from April to May, spurred by sales of new single-family residences and condominiums. Despite the increase in sales of new single-family residences, home sales still were down 1.2 percent overall as sales of existing single-family homes dropped 4.2 percent from April to May."

"Sales of new and existing single-family residences remain significantly down from last year, reporting a 48.8 percent decrease. The median sales price for new and existing homes also was down 8.3 percent from last year's price of $327,000."

"The boost in new property sales is likely the result of ongoing efforts by builders to offer strong incentives to home buyers, said Wayne Capurro, president of the Reno/Sparks Association of Realtors. But although the sales of new properties are encouraging, sustaining those numbers will be difficult if the existing home market does not bounce back."

"'Prices have gotten too low, and I just don't see how they can build these new houses and sell them without losing money, especially with the higher cost of fuel and everything else,' Capurro said. 'The existing home market has to improve first.'"

"Short sales and bank-owned properties also remain an issue. Such properties account for 40 percent of inventory in the market but two-thirds of all sales, which should push down median sales prices for two to three more months as they go through the system, Capurro said."

"'I believe that we're kind of bouncing along the bottom,' Capurro said. 'Even with the uptick in unemployment and interest rates, it's still a relatively good environment for buyers. The affordability of homes hasn't been better than it is right now in approximately five years.'"