Continued home prices fall worries sellers

Home price reductions have dropped to an all-time high level of 27 percent, reports Trulia.com. This is the fourth month in a row that home prices for current listings are falling to significant levels.

The dramatic decrease in prices, which began in June of this year, had already caused the market some $30.7 billion nationwide and many cities are still experiencing steep declines in their prices.

Sellers are getting anxious at the rate that home prices are falling, which, according to them, typically picks up after a seasonal decline, but the same may not be true for at least the coming months.

Expectedly, home buyers are massively emerging hoping to grab a bargain buy, before prices start to pick up again by the end of the year. Trulia.com notes that compared to last year, housing demand this year slackened as potential buyers are embroiled in unemployment issues and other considerations which significantly contributed to price reductions.

While interest rates cut and an abundance of great foreclosure deals could be enticing factors for one to buy a property these days, buyers should still be conscious about taking important steps in preparing for their purchase, lest they make unwise decisions.

One of the things that a buyer could do to prepare for a home purchase is to get a pre-qualification for a mortgage loan. This would allow the buyer to determine the right price range for his financial capability even before browsing through the market catalogue.

Home buyers should also be aware that the prolonged transactions brought about by the mortgage crisis should be taken as a challenge to prepare well for the purchase rather than be discouraged from buying a house.

Also, it must be kept in mind that the market is continuously moving and that competition over certain properties can be high, thus, one must be able to seize the right opportunity at the right time. Although, it is tempting to wait and shop for the best bargain deals, this might not be the best idea in every case since by waiting, one risks losing a good property that is available only for a limited time.

If you are shopping for a new home and at the same time, trying to sell your current home, you also have to remember that you need to keep your listed home in its top shape in order to avoid any signs of neglect or deterioration that could turn off your potential buyers.