“Terrified” is an appropriate emotion for somebody wiping out their savings to buy a house, given the current conditions.

Patientrenter has it right. Minimum initial cash into the deal (if you can’t summon the strength to refrain from buying).

This is not idle commentary on my part. All my San Diego property is owned without debt, meaning it is no struggle to hold on to it. I just listed it for sale. My judgment is that in the coming years, mid-market and higher properties will decline in value by an amount significantly greater than the cost of selling it (7 or 8 percent).