Your parents have been on your case about buying a house. Your best friend just quit flushing money down the toilet (read: paying rent) and finally settled on a cute starter-home with a huge yard and finished basement just 20 minutes from the city. What’s holding you back? Never-before seen deals under $200,000 are flooding the market. That pricing trend, coupled with historically low mortgage rates in the low 5% range makes now a prime time for first-time buyers, experts say. What’s more, as a newbie to the real estate market, you have more bargaining power than you think, since first time home-owners play a critical role in the overall real estate domino effect. “There’s no question [that] if you shut the first time buyer out, then the second or third time buyer can’t sell,” says Leif Rosseland, manager of the Coldwell Banker Residential Brokerage Sales Office in Shrewsbury, MA. For that reason, prices are dropping to accommodate first-timers’ wallets. Here are some steals we found in neighborhoods across the country.

Kennebunk, ME
$199,900
This 1,500-square foot 3-bedroom, 1-bath ranch home has been on the market for about 5 months. It’s between the center of town and the beach and surrounded by 1+ acres. Previously listed for $269,000 in August, then sank to $239,000 and is now priced at $199,900. “That’s the bottom,” says Bill Case of Coldwell Banker Residential Brokerage in Kennebunk. “To find a single family home for $199,000 in this market is unheard of.”

Worcester, MA
$180,000
This 1,150-square foot New England colonial in Worcester, Ma has three bedrooms and two-and-a-half baths. It was originally priced at $265,000, but after more than 270 days on the market, is now going for $180,000. “It’s a great value because of its close proximity to all the major routes, area shopping, convenience stores and schools,” says Leif Rosseland, manager of the Coldwell Banker Residential Brokerage Sales Office in Shrewsbury, MA. “It’s clean and in move in condition.”

Johnstown, CO
Sold $175,000
This 2,500-square foot home is 30 minutes north of Denver. It was previously listed “over $200,000 for quite a while,” says Jason Humpal of Century 21, Humpal Inc. in Northern Colorado. It’s got 5bedrooms, 3 baths and a finished basement. “We’ve seen a significant change in the amount of homes that you can get for $200K and under,” says Humpal. “Several years ago you were very limited…You would hope to get a one car garage and three bedrooms and one bathroom. Now you’re getting a two car garage, a nice yard, three plus bedrooms, more square footage…and nicer interior amenities.”

Maricopa, AZ
$121,900
This 3,500 square-foot, 4-bedroom single family residence in the outskirts of Phoenix is more than 50% off of its original sale price in 2006. In August 2006 it sold for $268,000 and is now listed for $121,900. “It pleases me. It means housing is becoming more affordable here after our run up in 2005 and 2006 when prices went up exponentially,” says Dave Simkins, a realtor with AZHomesearch.com. This particular listing is now bank-owned, as is much of the area’s real estate. “This is a buyer’s market,” says Simkins. “People who think we haven’t hit the bottom, good luck in figuring out when we do. You’re not going to know until prices start going up.”

Decatur, GA
$174,900
Originally listed at $259,900 and now $174,900, this four-bedroom, 2.5 bath home is a short sale, meaning the bank is selling the property for less than the amount of the mortgage. The 14-year-old property is located 15 minutes from Atlanta. “We have so many homes falling under $200K right now,” says Samantha Phillips of Coldwell Banker in Atlanta. “Homes just are not selling.”

Plainfield, IL
Sold $195,000
After dropping the price about $50,000 the homeowner was able to sell this three-bedroom cape in Plainfield, IL, located about 45 minutes from Chicago. Most of the real estate listings in Plainfield are either “pre-foreclosure” or “bank-owned,” according to Julie Ferenzi, a realtor with Re/Max Professional Sells in Plainfield, Illinois. “Houses are being sold at a discount to liquidate their debt,” says Ferenzi. This deal was also a short sale. “First time home owners can get back in [the market] now,” she says.