Some housing industry professionals say they are seeing signs of recovery following the housing bubble burst of 2007.

"It's very market-specific, depending on what city and part of the country you're in, but in Austin, it's been on fire," said Josh Bushner a Realtor with Keller Williams Realty in Austin, Texas. "We're in a situation where a lot of the properties are getting multiple offers on the first day, and people are having to go over the list price. It's certainly a seller's market overall."

As consumers dip their toes back into the market waters, there are factors they should consider whether they choose to build a new home or buy an existing home on the market. Whichever road they choose, the first steps are to check their credit, figure out their budget and secure a loan based on that information.

"Always speak to a qualified lender first," Bushner said. "It's important that your finances are in order, that you know how much you can afford and qualify for, and that there aren't any hidden issues on your credit that you don't know about. Plus, anytime you submit an offer, a seller will want to see that you've already spoken to a lender and are good to go on that end."

Mortgage interest rates are at historically low levels, with most banks offering qualified buyers rates in the low 3-percent range.

For home buyers looking at prospective agents, it's important to look at their credentials, explains Arlene Trunzo, broker/owner of A.T. Real Estate Specialists, LLC in Staten Island, N.Y. Certain designations mean that agent is more skilled at working in a specialized area. In addition to being board certified, Trunzo, for example, has certifications for Internet marketing, working with seniors and working with foreclosure properties.

Trunzo advises that, after securing financing, prospective buyers present their agent with a list of their wants and needs, from the type of floor plan they're considering to specific neighborhoods where they have interest.

"I ask them to write down a list of what their needs are. If they have children, do they need special schools? What exactly their needs are as far as space?" Trunzo said. "Once I find out how much they can spend, I can kind of give them an idea of what their money would buy versus what they need."

Though the demand now for existing homes is high, real estate pros say they're also seeing renewed interest in new construction.

"The fear has subsided a little bit," said Gary Rumbaugh, a custom-home builder and owner of Gary Rumbaugh Construction in Omaha, Neb. "We're in a much better place at this point in time than we have been at any time over the last seven years."

Buyers interested in building new should interview multiple construction companies and ask to see recently completed and older projects to get a feel for how the properties look and how well they've held up. Always thoroughly read a contract before you sign it, and be sure it includes a termination clause, in the event the builder doesn't meet certain guidelines. Those building a new home should be prepared to pay more for closing costs than those who buy existing homes. A reputable builder with a history of good communication can help navigate clients through the construction process. Buyers need to take a larger role during the construction process, Rumbaugh added, which includes making sure the materials they want to construct the home are being used.

"Unless a consumer is more of an advocate for himself, they might sometimes be left with (lesser quality) options as far as windows, siding, lighting, heating and cooling," Rumbaugh said. "Communication is most important; that's got to happen between a client and a builder. If you find yourself struggling in the beginning with getting questions and answers from a builder, then it probably isn't going to get any better as the process goes on."

Bushner recommends that buyers of new home construction have independent inspectors check the progress of the home as it's being built.

"It can be stressful," Bushner said of the buying process. "That's the importance of having a good lender, a good real estate agent and good professionals on your side to make the entire process that much easier and smoother."

Angie Hicks is the founder of Angie's List, the nation's most trusted resource for local consumer reviews on everything from home repair to health care. To find out more about Angie Hicks and read features by other Creators Syndicate writers and cartoonists, visit the Creators Syndicate Web page at www.creators.com.