1) Right now Sacramento consumer confidence is on the rise.
2) The interest rate is extremely low (about 5%, maybe lower). And everyone predicts that it will not stay this low, and in fact may skyrocket (according to Obama, as we continue to borrow from other countries). As the interest rates go up, even if the prices go down, this will take many potential buyers out of the market.
3) One report shows that the housing affordability index is the best it has been in 40 years.
Call me or write if you want to see the numbers OR discuss your scenario.