Spurred by low interest rates and government rebates, the housing market may have turned a corner.

“It seems the recovery has started, but it’s very fragile,” said Don Evans of Evans Realty.

Houses priced between $55,000 and $100,000 are especially strong, he said.

“There’s a lot of really good buys in that price range,” Mr. Evans said.

More loan foreclosures mean more houses on the market in that price range.

In addition, first-time home buyers now receive up to $8,000 in a tax credit, which has spurred sales of starter homes. Anyone who hasn’t owned a home for three years is also eligible for the credit. The incentive is drawing out more potential buyers, real estate agents say.

“I’m not seeing a big number, but I’m seeing a little of it,” said Art Warner with Reece & Nichols Ide Capital Realty.

The Missouri Housing Development Commission offers an incentive that allows home buyers to get the refund immediately, then use the money to pay down payment and closing costs. Those who qualify for the credit can amend their 2008 tax return and get the credit right away, said Eric Heerlein, an accountant with Parker & Associates.

In March, the latest month with figures available, home sales in St. Joseph were down 5.8 percent, compared with March 2008. So far for the year, sales are down about 18 percent. Sales have been off since the peak year of 2007.

Mr. Warner said new houses seem to be selling well.

“They don’t sit on the market very long if they’re finished,” he said.

Besides new home buyers, many of those who already own their homes are refinancing.

“Refinances are still strong because of low rates,” said Michelle Mace, mortgage loan officer with Nodaway Valley Bank.

Interest rates are now tied to a borrower’s credit score, so rates will vary, she said.

More than 342,000 households received at least one foreclosure-related notice in April, RealtyTrac Inc. announced in data to be released today. The number of U.S. households faced with losing their homes to foreclosure jumped 32 percent in April compared with the same month last year.

Susan Mires can be reached at susanm@npgco.com.