Buying now is still a bad idea regardless of income. You should not buy when you can rent the same house for 1/2 the cost. One house in my neighborhood went for sale and rent at the same time. An inhabitant would be nuts to buy when he can rent that very same house for 1/2. Guess what? Renters just moved in.

Tax deduction is over-rated. You need income to deduct from. Many middle income families with kids don’t fully take advantage of their interest deductions. Retirees usually don’t benefit from the mortgage interest deduction. The “potential” tax break is what Realtors like to propose. But I’m willing to bet that it’s never that for most buyers.