If we haven't already hit the bottom in terms of pricing, we can certainly hit it with a rock from here. In fact, just about every transaction that crosses my desk in my office has been involved in a multiple offer situation in which the winning offer has had to compete against several other buyers to get accepted. I feel that's just one of a number of clear indications that, overall, prices are stabilizing.
If a potential buyer were to suggest to me that he or she is inclined to delay their purchase to see if prices do decrease a tick, I would advise that any savings in terms of price point are going to be minimal, and the multiple offer situation is only going to get more competitive. That factor alone is going to drive asking prices up to a point that will probably negate any reduction from where they are right now.
The point made in a previous response about the length of time you intend to retain the home before you sell is also well taken. If this is an investment for you, and you do not intend to resell within the next couple of years, this is prime purchase time for you. It's as safe as it gets to assume that you will soon be building equity with your investment.
I wish you the best of luck in finding the right home for yourself.
EXIT Realty West