There is a for-sale sign on my street. I think it is for my neighbor's house. I went online to see if it was listed because I wanted to know the price. I didn't find it there so I decided to check out the neighborhood where my rental house is to see if anything is for sale. The last time I checked there were homes like mine, under-contract for $150k. At the height of the market they sold for $185k. I found one house with my floorplan, under-contract for $110. Ouch. I bought my house for $131k, brand new in 2004. I was hoping that the price wouldn't drop below $131k but I see that in this market only the deeply discounted houses are selling. At least houses are selling.
The good part of lower home prices is that property taxes go down...in theory. The bad part is that cities and counties who became used to all of that higher revenue are now finding ways to make up the difference with new taxes. The news is filled with proposed budget cuts, new proposed taxes and of course protests against both.
I'm not planning on selling my house any time soon so I just need to have enough cash to weather the ups and downs of taxes. Mostly ups as far as I can tell.