JUNE 24, 2011
Over the past few years, the loss in home values has affected lower-priced homes more than higher-priced homes, according to Zillow.com. It reports that since 2007, top-tier homes have lost 38% of their value, while bottom-tier homes have lost 63% of their value. This difference in lost value is consistent from one city to the next, but reasons for the drop vary. In some areas the problem is due to exaggerated price increases for typically lower-priced homes during the pre-bust era — meaning they had further to fall. In other areas the problem was due mostly to issues with income.
SOURCE: USA Today, 6/6/11