Most of your references seem to apply to first time buyers. Another thing we are increasingly seeing is the existing homeowner who purchased more than 3-4 years ago, who still has a decent, if not significant amount of equity and wants/needs to upsize (or downsize). They are not in the bind of the “low/no down payment, peak period” buyer. They know that as prices adjust for the home they want to purchase, their existing home is adjusting in relatively the same manner. There is little incentive for these buyers to wait.

What’s conspicuously missing from the demand side are the first time buyers and investors, who remain patiently waiting (with you) on the sidelines. The flat-line business employment growth isn’t helping, either.

Thanks for your look into the future.

second, sales continue to decline, which will drive sellers that can hold on to try to hold on for longer. leaving the inventory to become even more dominated by the REOs. banks will be competing against each other, and often, a single bank will have multiple properties in the same development, driving the price down further.

third, as values drop, more buyers that purchased at the peak will consider walking away. if so, more increase in REOs to come.

right now there’s a backlog of postponed trustee’s sales, a backlog of REOs not even on sale, as well as delinquents that are not getting NODs because the banks are overwhelmed.

NODs and REOs will continue to increase through this year and next. as long as the NOD/REO numbers continue to go up, we are not going to see bottom.

expect 2010 as the earliest possible bottom, but more likely 2012.

and as a physician, of course he could have afforded the house. but through a lot of sacrifices such as taking on multiple additional shifts to make ends meet. that $1000 extra that he has to pay every month because he didn’t wait is basically loss of 2 weekends every month for many years to come.

Either way, your decision to wait worked for you, so congrats.

so no, it was not a purely dollar and cents decision, it was a decision to ensure a sound financial bedrock for my family as well as the realization that family time is simply priceless.

Jason, Thanks for stopping by! Yes, your market is a little different. We currently have a client in the process of moving an investment to your area, in fact. Good luck with your “new” self-hosted blog.