The National Association of REALTORS says over 50 percent of March’s home sales were tied to first-time buyers,many of whom snapped up foreclosed homes and other distressed properties. Experts believe getting first-time buyers off the sidelines to take advantage of historically low interest rates and federal tax credits will reduce the glut of homes on the market and spark a recovery,and some point out that first-time buyers are helping to revitalize communities in Florida,California,and other states hit hard by foreclosures. However,distressed properties often sell for 20 percent less than traditional dwellings,and the increase in lower-end sales is driving down the national median home price.
[SOURCES:USA Today;Information,Inc.]
