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This is a question that a lot of people are currently asking and there are two things principally that are fuelling this debate. Firstly, house prices have been falling and there have been predictions that they will fall further over the next 12 months or so. And, secondly, with world economies moving into recession there are some people who are concerned about buying now and then possibly becoming a victim of the rising redundancies and/or inflation.

I've come down on the side of buying now, with the caveat that you must be confident that you can afford the required mortgage.

Falling house prices?
Let's look first at the issue of falling house prices. In recent years there has been an almost relentless increase in property prices and this has made it increasingly difficult for young people to get onto the property ladder. Indeed, it has contributed to the sub-prime problems in the US as mortgage holders have overstretched themselves in their desire to own a home. The fact that house prices are starting to come down, then, is great news for potential first time buyers and the fact that they are expected to fall further means that in some circumstances it may be a prudent decision to hold off for a while.

However, there are some reasons why delaying may be the wrong decision. You can't be certain that prices will be lower in six or twelve months, whereas you can assess whether you can afford a property now. You may also face less competition for your dream house if you strike whilst others are dithering.

There are also other considerations that lend urgency to our desire to buy a house. Maybe you've just got married, or are about to have a child, or the lease on your rented apartment is about to run out. Sometimes, we simply don't have the luxury of picking and choosing when we buy.

For existing property owners, who are looking to move to another house, the fact that house prices are falling is a bit of a red herring. Even if you could be sure that house prices would be lower in twelve months time, any benefit that you might get would be evened out by the fact that you would probably also receive less for the house you are selling. In general, then, home movers probably don't stand to gain much from waiting.

Affordability?
The other factor that I mentioned at the start of this article is affordability. Every day we read more doom and gloom stories about the economy and hear more predictions of rising unemployment and reduced productivity.

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