I know we all keep hearing reports of doom and gloom in the housing industry.  Here is a link to just one of many I have read recently:

http://articles.moneycentral.msn.com/Banking/HomeFinancing/HousingCrunchsHardestHitCities.aspx

What is the first and foremost rule of investing?  Buy low, sell high.  Now, I know for those of you who are contemplating shopping for your primary residence, it feels like home, not an investment.  It is an investment, though.  For most people, their primary residence signifies their most valuable asset.  So, why would you pass up an opportunity to get a great deal on that investment?  Buy low, sell high.  This applies to investors out there as well.  Now is a wonderful time to scoop up a foreclosure or two.  Also, Washington, DC's market is still very strong, and the national market is expected to recover as early as next year.  Wouldn't you like to get in on the good deals before that happens so you can experience that appreciation in your property?  Here is a quote from the Chicago Tribune:

"Chicago Tribune (11/14/07); Umberger, Mary
Addressing convention-goers in Las Vegas, National Association of Realtors chief economist Lawrence Yun suggested that the housing industry has hit rock bottom but predicted that the sector would begin to recover sooner than many forecasters project--as early as next year. U.S. home prices are on track to experience the first annual decline since the Great Depression, acknowledged Yun, who also said he expects an estimated 2-percent drop in home sales in 2007. However, the economist cited overall economic stability, a gradual return to stability in the mortgage markets and buyer impatience to work together to boost sales at some point in 2008--although he stopped short of forecasting a boom. According to Yun, home resale volume will land at 5.67 million units this year and rise to 5.69 million in 2008, barring any unexpected "psychological factor" that could lower consumer confidence."

Use your head and don't pay top dollar for your next real estate purchase.   Buy now while interest rates are still at incredible lows and you can get a decent price and have some bargaining power.  The stars have aligned to create some of the best buying conditions in decades.  Use them to your advantage.