The riskiest U.S. housing markets 2008

Detroit Cited as Riskiest Market
The riskiest housing markets are those where foreclosure rates are high, homes are selling slowly, local economies are struggling, and lenders are reluctant to make money available.

Forbes magazine examined the nation’s 40 largest metros and identified the 10 housing markets that are in the worst shape. These are the markets Forbes cited:

* Detroit – Prices are so low it’s hard to imagine them falling further. Foreclosures are five times the national average.
* Orlando, Fla. – The vacancy rate is 7.4 percent
* Cleveland – There’s been no job growth here since August 2006.
* St. Louis – Year over year, prices dropped 20 percent.
* Miami – The inventory of unsold homes has climbed steadily.
* Las Vegas – Job growth has been flat since the housing construction bubble burst.
* Sacramento, Calif. – The city has the nation’s highest rate of seller price reductions.
* Denver – The state has ninth highest rate of foreclosures in the country.
* Tampa, Fla. – Weak job market and high inventory of premium properties
* Phoenix – Housing inventory is five times higher than it was in 2005

Source: Forbes, Matt Woolsey (03/31/08)