LOW HOME PRICES

Although there is widespread agreement in the industry that the housing market has reached the bottom, home prices aren't expected to spike upward.  Instead, they're likely to skip along the bottom in 2011.  They will continue to decline in some markets and creep up in others.  As long as buyers remain diligent in the home search over the coming months, possible pricing fluctuations won't have a dramatic effect on their property options.

LOW INTEREST RATES

Interest rates on 30-year fixed-rate mortgages hit a five-month low of 4.93% in May, and as of early June the rates were holding steady below 5%.  Financial concerns over the growing debt crisis in Europe have stemmed discussions in the U.S. of raising rates.  Their historically low rates will save home buyers thousands and thousands of dollars over the life of a loan, which arguable is reason enough to enter the market.

OTHER TAX BENEFITS

The U.S. Home Buyer Tax Credit was temporary, but there are other tax benefits that buyers can continue to count on for the foreseeable future.  Property taxes, mortgage interest payments and mortgage insurance premiums are qualified deductions that can help reduce many homeowners' tax liability.  For eco-conscious homeowners, purchasing energy-efficient appliance and making other green upgrades can mean a tax credit up to $1,500.  For more information, be sure to visit www.irs.gov or consult a tax professional. 

Tax credit or no tax credit, home ownership is part of the America dream-and it's alive and well. 

Margaret Kelly, chief executive officer of RE/MAX LLC.