Ok, I do have an opinion regarding the bad press that Nevada continues to receive in regard to foreclosures and bank owned (REO) properties.  We have the highest percentage of foreclosure activity in the country for the 33 months in a row however I don't think that this tells the whole story.  It is the law of small numbers.  The numbers are correct in regard to the percentage of foreclosures per home owner however I find the following statistics interesting as well.  You will notice that the state of Nevada does not appear in any of these tables.  In Nevada, when Las Vegas sneezes, Reno real estate catches cold.  The following table ranks the top 5 states in regard to the number of active REO properties, the top 5 states by REO growth, and the top 5 states for the longest REO days on the market.  If you notice, Nevada is not listed in this table.

Top 5 States By Active Bank Owned Properties  
       
State Rank Volume Average Price
California 1 10,424 $193,147
Florida 2 4,286 $98,672
Michigan 3 2,984 $77,153
Arizona 4 2,310 $129,107
Illinois 5 1,959 $94,126
       
Top 5 States by Bank Owned Property Growth  
       
State   % Growth Average Price
New Hampshire 1 9.4% $128,534
Montana 2 8.7% $172,648
California 3 7.4% $193,147
North Carolina 4 6.1% $108,012
Hawaii 5 5.4% $232,548
       
Top 5 States by Days On Market  
       
State   Rank Average Price
New Jersey 1 1 $141,907
Hawaii 2 2 $230,585
Maryland 3 3 $177,651
Massachusetts 4 4 $147,312
Rhode Island 5 5 $88,659

Source: REOTrans