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Old 10-18-2006, 09:21 PM
Ty Yu Ty Yu is offline
 
Join Date: May 2005
Location: Believe on the Lord Jesus Christ and thou shalt be saved.
State: California
Professional Status: General Public
Posts: 26
Default Housing Bubble Ends In 2006: Foreclosures Surge

Housing Bubble Evaluation: Heber, California

Looking at some obscure place like Heber (92249) located in California.
Before the Housing Bubble started in 2001, the comparable sales data shows many of the houses in the town of less then 3,000 people to sell for around $45,000. More then 22% of the population in Heber lives below the poverty line. Imperial County ranks among the highest in the United States for *unemployment* and is frequently #1 for *unemployment* in the State of California.

Today there are a couple of national builders selling houses in Heber for more then $300,000.

Question: What *method* did the real estate appraisers use in Imperial County California to go from around $45,000 to well over $300,000 for "comps" in a place where the median income is below $30,000 in a county that ranks number# 1 for unemployment in the state and has more then 20% of its population living below the poverty line?

The following links were used for information:

California Foreclosure Activity Highest Since 2001 / October 18, 2006
http://abclocal.go.com/kabc/story?se...cal&id=4672943

Demographics for Heber, California
http://www.answers.com/heber%2C%20CA

Houses in Heber, CA: Over 300,000 U.S. Dollars in 2006
Loreto at Heberwood Estates in Heber California
http://www.centexhomes.com/San-Diego/N45928.asp
Hacienda at Sevilla in Heber California
http://www.drhorton.com/corp/GetComm...dv=Z2&pr=41981

Imperial County Ranks number one in unemployment again / Sept. 16, 2006
http://www.recordnet.com/apps/pbcs.d...609160314/1003

Poverty-Stricken in Imperial County: The Worst Median Income in the State of California / May 31, 2006
http://dwb.sacbee.com/content/busine...15075611c.html

Imperial County ranks number 3 in the United States of America for Unemployment: U.S. Census
http://www.census.gov/statab/ccdb/tst07040.txt

Imperial County, California - Demographics
http://www.knowledgerush.com/kr/ency...y,_California/

Here are links to a couple of articles of interest relating to the topic of residential appraisals and *Artificial Equity*.

Appraiser sentenced in real-estate fraud
http://seattletimes.nwsource.com/htm...estate29m.html

House Buyers: We Were Tricked Into Paying Too Much
http://www.theindychannel.com/call6/5430753/detail.html
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