As a general rule of thumb, price is eventually what sells a house. Market pricing here hasn't gotten out of control as it did in other areas of the country that are now feeling the effects of the market downturn (AZ, CA, FL, etc.). For the most part, homes still sell here for around 97% of list price; however, you'd really need a buyer's agent to pull various statistics for you about the area, subdivision, appreciation rates, etc. to be able to make an informed decision. While I can't advise you on an offer price (all agents in NC represent the seller until an agreement is reached either orally or in writing w/ the buyer), I always told my sellers that some offer is better than no offer at all. The price range over 500K has a definite surplus of inventory, so it's going to take some time to absorb the amount of new construction homes and other homes in that price range. What we're finding is that the home has to be the one that has the best price, best condition, and best lot/location to move a little more quickly than the competition. Buyer's have a great opportunity to buy this year with the $8,000 tax credit (which of course has income limitations), lots of inventory to choose from, and low interest rates. Most investments have inherent risks and you never know if the home you purchase will gain value over time; however, in Wake Co, the average home sales price has been increasing and the area is still seeing appreciation across the board (but this may not apply to certain subdivisions or locations). Your buyer's agent can work with you to find the best value and hopefully narrow it down to areas that have historically been the most stable as far as keeping up w/ supply and demand. If you'd like more market data about a specific price range and area/subarea of the Triangle, I'd be glad to help. Feel free to call or email if you're ready for a buyer's agent to help with your home search. Thanks for the question and have a wonderful evening!