Arizona Real Estate Market Research Paper Example | Topics and Well Written Essays - 1500 words

azimuth Real Estate Market - Research Paper ExampleThe crash was caused by several factors which had non been rootseen. This paper discusses Arizonas real estate market crash. The economy of Arizona largely depended on the real estate market. The real estate market was at its peak when gradually the market collapsed. This did non happen abruptly, a number of factors can be identified as the cause of Arizonas real estate market crash. One of the factors is that legion(predicate) people had taken mortgage to purchase homes. battalion were tempted to own homes either for personal use or to sell later. Some of them could not afford and unyielding that a mortgage would help them obtain home owners. In addition, obtaining loans was easy going. The loans were characterized by low affaire at the initial years. Later, the loan interest would be adjusted according to fluctuation. Some of the people with loans whose income could not match with the loan repayment premiums discovered tha t the mortgage was a challenge when it came to paying. There were many houses getable for selling. The economy was strained and people were not willing to purchase when the economy was not thriving. There was minuscular selling activity when compared with the prevailing trends and previous years. The financial sector had been giving mortgage with security. The large institutions could be given larger mortgages backed with security so that they could enable employees purchase the homes. The real estate markets in Arizona represented their value using the property worth in mortgage. Consequently, the lenders had successfully invested in many buying homes. As a result, a lot of property ended up as fore closures. With the increase in fore closure, the securities were not worthy. The arrangement to offer many people homes instead become unsuccessful and led to more challenges. Crook (23) mentions that, mortgages enable people to own home.