Bought a short sale in December. Wasnt the right house per say (wanted a different lot within the same neighborhood) but getting the biggest model and lowest ppsq ft at about a 40% haircut was enough for me to buy in. Locked in sub 5 % rate and house is plenty big to grow my family in for the next 15 years. Also can probably rent it cash flow positive.

I think everyone is different. Each prospective buyer has their own requirements. If you can meet most of them and not dig yourself a hole, jump in.