CHESSNOID

The housing bubble has burst and it is still deflating.  I think because many people are losing their homes or just walking away from an underwater house (loan greater than the value of the house) that is making great deals available.

Depending on your situation, this may be a great time to buy a house or condo.  However, you must take into consideration the housing bottom is far from over because the economy is still bad.  That means there is a possibility of your purchase going down in value.  I think I mentioned I purchased a home this year and made a blog about my experience:  My First Bank REO.

I wished I had created the blog before I started instead of going from my memory.  I think I would of had many more posts and would have been able to capture the feelings of frustration as I experienced them.  If you have a stable income in a good industry, then I would recommend you buying one in the coming years.  I think many housing bubble bloggers predict the bottom of the market to be in 2011-2013.

Just like buying a stock, no one can predict which one is going up and which one is going down.  There are very few who can time the markets so it is best to take your personal situation into consideration and determine when is the best time to buy.

I remember my parents owned a house in San Francisco 40 years ago. They originally purchased it for $20,000 or so and sold it a few years later.  During the height of this last housing bubble, I believe the value of that house went over a million dollars.  Who could have known that would of happened.  There were many recessions since then and I believe that house even after the bubble burst is still worth over half a million.  So if you are in it for the long term, this might be a great opportunity to get something nice for you and your family.

Please do check out my other blog, tell me what you think, and feel free to put a comment there. Cheers!