the foreclosure rate on residential properties in the United States hit an all-time historic high in the Spring of 2010.
One in seven of all mortgages on all the residential properties in the United States, that's 14.28%, are either delinquent or in foreclosure.
As this article suggests, yes there are bargain hunters about. But cash is king these days. There are many subject-to and other deals being done, many many of them. People are desperate and will do ANYTHING to get out of a monthly payment or stay in a house.
But the bargain hunters I see are looking for cheap houses and paying cash for them. No condos. Even townhouses are marginal.
The real bargains are in single family homes in subdivisions near public transportation.
If you can find one of those, you have it made in terms of rentability, cash flow, and appreciation.
Interest rates are cheap but mortgage money is tight. I don't see a rush in buying in most markets anyway. A double dip recession has either begun or will about to any day soon, spreading like a soft wave across the country from local market to local market, including one probably near you.