Spring may offer potential homebuyers excellent deals

Potential homebuyers interested in purchasing this spring may be eligible for the best deals in a long time, according to the Associated Press.

Home builders who usually wait until the Fall to offer low prices and other incentives may need to do so earlier. Many are struggling as a result of the suffering economy and may need to lower prices to remain competitive, the source says.

"In a normal year, I would tell you, you have a better shot buying off-season" to get a lower price, said Stephen East, a Ticonderoga Securities analyst. "This spring ... they're being aggressive early on."

Some tactics being used by home builders include upgrades on appliances and other home features, and the inclusion of energy-efficient additions. Some are also offering monetary incentives that can go towards mortgage payments, the source said.

Those who decide not to put these cash incentives towards mortgage payments could also use them to provide money for extra new appliances and upgrades, as well as moving expenses, according to the source.

The source emphasized the importance of Spring sales this year, as new home sales sank last year by 75 percent from their peak in 2005. 

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