I had my crystal ball in hand and just as I was going to get the answer to my question I tripped, dropping my crystal bag and shattering it into a million pieces.

Now instead of getting the answer through magic, I had to look at the market, taking into consideration what has recently happened, and looking at what is scheduled to occur.

Beginning in March 2010, the Fed will start to slow down its' purchase of mortgages this will begin the rise of interest rates as private businesses purchase them.  In April 2010, the home buyers tax credit is set to expire. Both of these programs have been making it very enticing for home buyers.  Lower interest rates and the first time home buyers tax credit has strengthened the buyers purchasing power. The home buyer will begin to see his purchasing power begin to weaken in March.  We will see sales peak towards the end of April as everyone
scrambles to get their "piece of the pie" from the tax credit.

After April it is any-ones guess.  But I am guessing that home prices will fall 2 to 5 percent as home buyers lose their purchasing power due.

However we look at this one thing is certain, it is best to purchase a home BEFORE MARCH 2010!

home buyers tax credit