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Phoenix foreclosure share hits 2010 high

Phoenix Business Journal – by Jan Buchholz

Foreclosures accounted for 46 percent of all existing single-family house transactions in the Phoenix area in September.

That’s the largest percentage in any month of 2010, according to a housing report released today by the W.P. Carey School of Business at Arizona State University.

The author of the report, associate professor of real estate Jay Butler, forecasts rough sailing ahead.

“The biggest issue is heightening uncertainty in the housing market throughout the country brought about by the evolving problems within the foreclosure process,” Butler said in a news release.

Currently some of the biggest lenders and some states have put a moratorium on the foreclosure process after allegations surfaced that the necessary due process has not been followed. The subject and what to do about it continues to be debated at both the local and national level.

Butler said the potential impact of a blanket moratorium could result in difficulties attaining title insurance and it could sour potential buyers on the whole home purchase process.

“In confronting potential uncertainty, the level of activity and prices could even be lower than generally expected as people await the review and resolution of the problems associated with the foreclosure process,” Butler said.

Here’s a look at some of the other numbers ASU released today:

There were 9,005 total resale transactions in the Valley in September. Of those, 4,100 were foreclosure sales.

The median home price for September was $135,000, the same as in August, but down from $140,000 in September 2009.

There were about 550 foreclosures in the townhouse/condominium category, down from 630 in August but up from 410 in Sept. 2009. The median price was $75,000, down from August when it was $80,000. It’s way down from Sept. 2009 when the median price was $100,000.

Click here for the full report.

Read more: Phoenix foreclosure share hits 2010 high – Phoenix Business Journal