Karl

Mike, I'm surprised that few, if any of the answers focus on what could really impact housing costs --- interest rates. Right now interest rates are lower than they have been in decades --- and if you have good credit they are at their lowest point EVER! With the federal government poised to approve the stimulus package one has to ask, "Where will these hundred billions of dollars come from? The answer is, the Federal Reserve. However, once the Fed has printed more money it will be forced to raise interest rates. At that point, even if homes go down in value in the upcoming months, the actual cost due to a reduction of price would be more than offset by rising interest charges.

My answer to your question if you should sell (and buy?) now is this: if you purchased your present home before the period of 2001-2002 (before price inflation took hold) and you've made payments without tapping into your home's equity for other expenses AND your home is in sell-able condition AND you can now make a tidy profit and apply that profit to another home that has a declined price (short sale, foreclosure or another homeowner with a home you would like who is in your shoes), BUY NOW. I live and work in Orlando and would welcome the opportunity to discuss with you the opportunities that are possible for you. Then, if you decide to sell, I'd welcome being able to work together. - Thu Feb 12 2009, 04:20