10.   The news is bad... for a reason

Quick.. Which is the more exciting scenario?

A man walks slowly down a flight of stairs, sometimes pausing or retracing his steps until he reaches a floor. After trudging along for awhile, he notices another staircase and begins ascending, occasionally pausing or taking a step back before methodically proceeding upward.

A second man hurtles down a terrifically high flight of stairs.  Ignoring the safety railings, he runs recklessly downward, dodging obstacles in his path as he goes. He suddenly cried out as he loses his footing, sails through the air, tumbles down several flights of stairs in a spectacular crash. The badly injured man is bandaged from head to toe and attached to a variety of beeping, flashing medical devices that monitor his vital signs. Experts debate his condition but agree that the situation is dire and prospects for recovery are uncertain.

 ...and that's why more headlines say "Home values off the cliff in Phoenix, Miami and Las Vegas" than "Things aren't bad in Seattle, Portland and Charlotte."  Most readers just find sensational headlines more interesting. And while they may help sell newspapers, they also scare buyers and sellers to the sidelines, though the news may be very positive for home buyers in particular. 

9. Uncle Sam wants you... to be a homeowner!

 Wouldn't it be great if the government kicked in some money to help make home ownership for affordable?  Because of deductions on mortgage interest and property taxes,  the practical effect is that the government is subsidizing your home purchase. In face, home ownership provides two of the best ways to reduce your tax bill.

Mortgage interest you pay can be deducted from your gross income to reduce your taxable income. For example, say you take out a $300,000 mortgage loan at 6 percent interest. You pay $19,000 a year in interest on that loan. That means your taxable income for the year is reduced by $18,000. If you're in the 25 percent tax bracket that means a one-year tax savings of $4,500 (25 percent of $18,000).

Property taxes may also be deducted from your gross income, lowering your overall annual tax obligation. Property taxes are levied on homeowners in the United States to pay for a variety of public services. You may see local property tax rates between 1 and 2 percent of the property's current assessed value, depending on where you live. Property taxes are fully deductible on your primary home, second home or vacant land.