Although prices rose from February to March, the national median existing-home price for all housing types was $175,200, down 12.4% from March 2008, the National Association of Realtors (NAR) reported Thursday.

Sales of distressed homes made up about half of all sales, and about two-thirds of those were foreclosures. Distressed homes also include short sales, in which properties are sold for less than the balance owed on the mortgage.

March sales fell 3% from February to a seasonally adjusted annual rate of 4.57 million properties. The February rate was revised downward to 4.71 million. Last month’s sales were 7% lower than in March 2008.

Sales are largely being driven by first-time home buyers, who now make up more than half of transactions. Meanwhile, sales of higher-priced homes have almost entirely stalled, in part because of the higher interest rates that accompany so-called jumbo mortgage loans.

Real Estate Investor Coach Response:

Get out there and buy, buy, buy!!!

To your Success,

Brian Evans