BOSTON ( TheStreet) -- How do we know it's a good time for prospective homebuyers to get creative when negotiating a sale? Let's count the ways.One, mortgage rates are still below 5%. Two, home prices keep dropping. Three, sales of new single-family houses fell in May to the lowest level in recorded history. In short, sellers are eager to please. "We always talk about now being the right time to buy, and sometimes there's not as much gravitas in the comment," says Ron Phipps, president of the National Association of Realtors and principal broker at Phipps Realty in Warwick, R.I. "But right now, the sellers are not in the superior position, and the buyers are in a better position to negotiate." Here are five tactics to take advantage of a real-estate buyer's market -- to kick the tires on a dream home and maybe even buy it. 5. Negotiating a lease with an option to buy: Nothing epitomizes a real-estate buyer's market better than a lease option, which lets a buyer try out a house for years. With a lease option, a prospective buyer agrees to rent a house for a set amount of time, usually one to three years, with the right -- but not the obligation -- to buy the property when the lease is up. Sellers may agree to such a situation when they're trying to pay the mortgage on a second home but haven't had luck selling the first one. The parties agree on the price of the property at the beginning of the lease, usually with a small portion of monthly rent payments going toward the mortgage in the event the tenant agrees to buy. Both parties should keep in mind, though, that when it comes time to buy, the underwriters won't count the bulk of the monthly rent payments toward the actual purchase. "What's acceptable to an underwriter is only any money above the fair market
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