"what about waiting until the 2nd half of the “W”
mt813:
"That will come in February 2011"
Not exactly. The peak will come in 2011, but the ARM resets will start seriously ramping up early next year.
In addition to that, the banks and other financial institutions are sitting on literally hundreds of thousands of foreclosures they have held off the market thus far. I verified this fact with my nephew, who is a regional President for Wells Fargo. They will not hold them off of the market forever. When they start dumping them, it will continue for years. They will stretch it out to get tax writeoffs for as many years as possible.
The dumping of held foreclosures combined with a new and even larger wave of forclosures from resetting ARMs has obvious implications for buyers. IMO, anyone who buys a home now, unless they can pay cash and scoop up a truly astounding deal, is insane. They would have an underwater mortgage in short order.