A still-hefty supply of foreclosed properties in Hernando, Pasco, Citrus, Hillsboro, and Pinellas Counties of Florida are keeping prices at rock bottom, and experts believe that will not change until at least the middle of 2010.

Realtors and other market pundits point to the steady rise in transactions as indicative that the existing home sales market has hit bottom. I agree that the worst of the fall in values appears to be bottom but be careful that mortgage interest rates are increasing and while  job losses will be at rates that could approach the great depression of the 1930’s.

Prices are definitely moving buyers off of the sidelines. If you took away the low price tags, you'd likely see sales volumes fall again.

Driving sales are investors paying cash and first-time buyers getting government incentives and Federal Housing Administration loans, which require minimum 3.5 percent down payments.

If you have cash, you're royalty in this market. You are buying something in five or 10 years from now that will look like a real bargain.