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DH and I are looking at houses...and he keeps saying that we should wait a year b/c the prices are going to be even lower. We have a good friend who is a real estate agent upstate and she says the same thing. If you can, wait a year.
I do agree that it is not the time to flip. I believe you should wait to buy also though. The market is crumbling right now but has not hit bottom yet. You still can get houses for cheaper in a year, I believe. Foreclosures will sky rocket once the complete fall out happens. This is only the beginning. We are not near the end. You still pay more for your house than it is worth. I think in 6-12 months the pricing will have dropped even further. It peaked around 2005 and has been sliding downard for the past year or two but I don't think it is done yet.
