In an article that I could have written myself (or maybe I already did in a blog post), the New York Times reports that housing prices continue to drop, and the percentage of home ownership falls to its lowest level since 1998.
The Northeast, particularly the suburbs around NYC, did not experienced the same housing crisis as the rest of the country. Until this spring. Suddenly, we're seeing late 90's housing prices.
The inventory is weird, too. Some towns have too much; other towns have only problematic homes. People are putting off retiring to Florida for a year or two with the hopes that prices will bounce back. My guess is that they won't bounce back next year, and we're going to see a glut of houses on the market next year, which will bring down prices even more.
According to the NYT, people are renting rather than getting into the real estate mess. I understand that everyone is scarred from the real estate bust — I know I am — but bargains are out there. I've got my eye on one Victorian that has already dropped $160,000 in a very fancy town. Too bad that we have to sell our place first. However, we might be able to afford a weekend place in upstate New York, even if we don't move.