Notice I didn't say crash or drop.
It infuriates me to hear a "real state market expert," from a major real estate sales firm or mortgage company, get on the radio or television and say things such as now is the best time to buy, or the market has never seen such low prices. Of course they are going to say that because these "experts" have an agenda.
If you want the real truth, visit patrick.net. The operator of this website will send unbiased housing stories to your email address if you subscribe, or just look for yourself for articles by and featuring economists and market experts that do not work in the industry.
Here is a fantastic article describing exactly what happened and why what is happening now was expected and is normal, and another article published in 2003 warning this was going to happen.
Any sort of plan or bailout is misguided. The housing market is not a government plan; it is a just that, a market and it is not the government's place to correct a market, it is up to the market forces which are doing their job, and I do not support any politician who supports a bail out for greedy consumers.
It is time for a return to decently priced, modest homes to responsible buyers, at decent rates. Hopefully this will happen within the next few years.