Deals abound but buyers frustrated, columnist finds

By SHANNON BEHNKEN The Tampa Tribune
Published: May 15, 2009

Ray White thought now was the perfect time to help his daughter buy her first home.
Home prices are more affordable than they have been in years, interest rates are low, there are plenty of homes on the market, and the federal government is offering an $8,000 tax credit.

But because of one problem after another, every house they find seems out of her reach — even though she's approved for a loan and has a down payment.
"The other night, she just broke down and cried," White said, noting that they've looked at more than 100 homes. "I actually have this feeling right now that it's almost impossible for her to buy a house."

That's partly because the Whites are competing with investors who often pay cash and then flip the property for big profit. They typically won't sell to those getting an FHA loan, which are very popular among first-time homebuyers.

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