It is definitely a buyers market, home values in most areas have taken big hits. I have a buddy that is about two years from retiring and he just bought a condo near Ft Meyers FL. Two years ago units in the complex were selling for more than twice what he paid for it. Not to mention interest rates are very low.
The right property is a true investment. When this economy turns around values will once again rise. If you have bought the right property you will be sitting in a nice comfortable position.
Look around and look at many properties. There is no charge for looking and don't make any rush decisions. Stay within your means but do your best to get the most you can for what you can spend. Look at trends in your area and try to find something that will be in demand when the economy turns around. Don't be afraid to look at houses for sale by owners, with the down markets many have lost equity and simply can't afford the commissions a broker will charge, or choose not to pay the commissions a broker will charge. Many private sellers will work with buyers as well, just be cautious. Find someone you trust that is in your area that you can get an honest opinion from when you find something you are interested in and when you think you have found the right one have a professional inspect the home to ensure you aren't buying a problem that will cost you a large chunk of cash to correct. Don't be afraid to work with a realtor/broker either just be aware they have interests on both sides. They make their commissions by getting more money from buyers. The home owner pays a percentage to the broker for selling so when you make an offer they have to take that into account as well. Brokers on the other hand have a huge amount of resources for the buyer.
If you finance the home also shop for a bank. Different banks offer different programs and different rates. Get a pre approval when you find the bank that fits your needs so you know what you have to work with before you get into making offers, it will help things move along quicker and easier. Do research on life expectancy of appliances, roofs etc. Take into account when buying a home what if anything is going to outlive it's normal life expectancy, if anything, over the next couple years. Then take into account you can't predict when some things will just give out. When buying an older home things can and will break so have a cushion in place so you don't get into a bind having to fix these things. Heating and cooling systems can get expensive and older systems can nickel and dime you to death.
Sure it sounds like a lot but much of it is common sense stuff that if you take your time and take the emotion out of buying you will make better decisions and end up with the house that suits you best in many different areas.
