Rising interest rates actually motivating buyers

While higher interest rates have made buying Houston homes and others around the country more expensive, a new report finds that they're also jarring quick action from potential buyers.

According to a report of real estate agents by Campbell Surveys and Inside Mortgage Finance, the percentage of first-time homebuyers during the month of November grew to 37.2 percent, up from 34.4 percent in October.

Rising interest rates have "made potential homebuyers nervous," said Thomas Popik, director of the HousingPulse survey. "If rates go up much more, then a good percentage of them will no longer qualify for the properties they want. As a result, they're making bids on homes and quickly closing before their rate locks expire."

The report also found that sense of urgency also determined what properties those buyers were looking at, as many first-time buyers looked away from short sales because of the time it can take to close them.

The National Association of Realtors has supported legislation to speed up short sales. The law, introduced in September, would require lenders to either approve or deny a short sale request within 45 days.