Are More Homes coming up for Sale ?

Today's News said 40% of all homes sold last year were Second Homes (28% Investment & 12% Vacation Homes). Now in many places these Investment Homes are starting to flood the market as Investors try to bail out. Many of them were speculators which from Webster's means: "to assume a business risk in hope of gain." The magic word is HOPE. As the listings grow, the prices are starting to drop in some areas. If you are a Borrower looking for a home, this could be a good time to buy. We do not know where or how low prices will come down, but we are seeing this occur in many overbuilt areas of the country. Building costs continue to climb but as the current wave of homes get completed, labor costs should come down due to competition. This will help offset some material costs. If you are patient and saving for the down payment, you may get the home you are looking for at a much more reasonable price than just a few months before. Mortgage rates are going up but the higher rate could easily be offset by the lower cost of the home. The next few months could see some much more reasonable housing prices, so start looking and do not be afraid to make a lower offer. Most homes for sale still have "last year's pricing". www.Rateinformer.com