Mortgage Rate News

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After months of improvement, existing home sales have taken a bit of a break. August saw an unexpected dip in existing home sales, showing that the housing market is taking a bit of a breather. However, even with the dip, existing home sales are still up over the same time last year. CNN Money reports on the good news surrounding existing home sales:

“Home sales retrenched from a very strong improvement in July but continue to be much higher than before the stimulus. The first-time buyer tax credit is having the intended impact of bringing buyers into the market, allowing them to take advantage of very favorable affordability conditions,” said NAR chief economist Lawrence Yun.

Getting in on the market while the deals are still good

There are still plenty of good deals to be had. Some sellers are trying to compete with foreclosures and short sales, and this could mean better deals. And, of course, there area those distressed homes still on the market that are providing interesting possibilities for some home buyers.

However, it is important to be careful when bargain hunting. Sometimes there is a reason for the rock-bottom prices. The home might needs some substantial repairs, or there might be some other problem. It is a good idea to do some thorough research before agreeing to purchase a distressed home, or closing on a really good bargain. Make sure you know exactly how good the bargain is before signing anything.

In the end, there are still some good deals to be had. Additionally, foreclosures are expected to remain relatively high through the end of the year, and that should mean that there will be plenty of motivated sellers to choose from. However, if you want to take advantage of the first time home buyer tax credit, you are running out of time.