Lighting a fire? Local Realtors hope credit downgrade could start buying frenzy

Fannie and Freddie own or guarantee about half of all U. Their downgrade could mean higher mortgage rates for buyers. He doesn't think the S&P downgrade will have much impact on local buyers. For the first five days in August, Dowing-Frye Realty had 61 pending house sales, compared to 37 during the same time last year. Wood Realtors in Naples, hasn't seen a sudden burst of buyers. In a knee jerk reaction on Monday, many investors sold off their stocks. If investors lose too much, they won't have money to buy real estate. But if they take their money out of stocks they will look to put it elsewhere, including real estate. But if this continues it will suppress the values, which are starting to rise," Grimes said. That pounding has included the discovery of Chinese drywall in homes, robo-signing scandals involving foreclosure documents and BP's massive Gulf Oil spill. It's going to put a damper on the fire of recovery we are trying to build. The median is the price at which half the homes sell for more and half for less. Treasury yields over time as a result of the downgrade, which will eventually lead to higher mortgage rates. But many prospective buyers are still hesitant to make their move because they are jobless, underemployed or lack confidence in the Real Estate market and the economy. This material may not be published, broadcast, rewritten or redistributed. You agree not to post comments that are off topic, defamatory, obscene, abusive, threatening or an invasion of privacy. Go ShotsPhotos of Southwest Florida residents hanging out at local hot spots around town. Biggest CatchSee photos from local anglers with their biggest catch of the day. At the MoviesFind movie showtimes, trailers, box office results and read the latest reviews. Editorial CartoonsCheck out our galleries of editorial cartoons about current events or personalities. Photo GalleriesCheck out the latest photo galleries from our staff photographers. E-EditionSign up to read an electronic replica of the Marco Eagle newspaper. Realtors