I bought my house in 2006 and it was a repo, got it at around £14k less than its market value in 2004- I payed as much as we could afford for it in a sealed bid as we really wanted it and it was a bargain in the right area for us to live in, so even with the down turn and loss in value we could be about even again. I would expect another year of downturn on property prices yet before it levels out and then climbs/SOARS. Anybody holding out through this could be onto a winner.

I you really want the house as its in the right location etc etc then buy it, if your after a quick buck it probably isnt happening for you in the next year. If your not that precious over it hold out untill middle of next year with a low cheeky offer