The house immediately next to me was sold and bought during the HIGH point of pricing and it is now worth about HALF what the poor guy, who is a natural gas installer, bought it for. His business went down the shoots. He had to just walk away from it..after they totally fixed it up soooo cute. He went back to the home he had, which he had been renting out. Now its overgrown. Here in Florida, when you dont keep up property, nature reclaims it very quickly, almost like a sci fi flick. Seriously.
The home diagonally across from me, the guy bought in July 04 for a song. He tried to sell it in 05 during the HIPE period and "held out" for that really high bidder turning away many. And then Wilma hit here, the bottom fell out of the housing and he never had another buyer in three years! He finally walked away last fall...and the house was foreclosed on. It was bought for only $!40,000 this month. Half acre of land, no HOA, four bedroom three bath ranch with a huge work building in the back. This family moved to property they bought up in NC.
So Im thinking people will start buying up all this foreclosed prop. and things will get rolling again.