Cold Feet

I am obsessed with the housing market for several reasons....

1) We would like to take our time and see what's out there. We were rushed into our first purchase because the market was soo hot (average places under contract within hours) we didn't have time for due diligence.

2) This is a HUGE amount of money we are talking.....so I get cold feet every time I think about committing to such a big debt burden. I have problems with the fact that 4 years ago I could have bought a house for half the price. I don't see how the market can sustain such price levels.....where are people getting the money from? Or is it paper money that will vanish? We earn a lot more than our parents and still can't afford anything too spectacular. Where did the American Dream go?

3) While we are not necessarily trying to time the market.....I don't want to watch my entire down payment evaporate. While technically we earned it in the housing market boom...it doesn't mean I am willing to part with it in the housing market either.