Building Permits and Housing Starts take a blow. That means that builders are not building any more new homes right now and they are trying to sell what they have built. They don't want to compete with the distressed sales on the market (ie. Short Sales, Bank Owned Foreclosures) . The existing housing inventory is low and mostly a mix of distressed sales and non-distressed homes (regular home owners trying to sell).

Distressed sales have driven down prices to their current lows. Traditional turn key sellers are motivated to sell their homes, whether it is to take advantage of the buyer’s market and move up or simply to get out from under their mortgage.

Property owners have seen an influx of new renters in the market due to foreclosures, short sales and transplants relocating here from out of state and this has caused some property owners to raise their rents.

Interest rates have been down this year and they continue to cruise to new lows. Most of you have heard for some time now that interest rates can't remain this low forever and you should buy before they go back up. While it is obvious that interest rates will not remain this low forever, no one can predict when they will go back up. However, all the reasons mentioned above have created a "perfect storm" for home buyers.

That is why now is a very good time to meet with your professional Realtor or Lender to find out how you can position yourself to take advantage of this "perfect storm". There are many reasons why you may be "on the fence" about buying a home in this market. Maybe you think prices will continue to drop or you just don’t think you will qualify for a loan. You might’ve even been burned by the housing market in another state. Whatever your reason for hesitation, an honest and competent professional can give you a realistic assessment of your options.

It’s never a bad idea to attain a Pre-Approval letter and know your options.