It's a tough question.
Nobody knows what's going to happen.
On the one hand, you could say homes have been underpriced, and the market is thus pricing them accordingly, thereby making it a great time to buy. Or, you could simply say people are paying too much, and six months or a year from now prices will settle back to normal, below today's inflated prices. You take a chance either way. To further understand this phenomenon, let me explain some of the reasons behind it. Housing prices have not increased very much in the past eight or nine years.