[matwood]

Exactly. Saying that most investing is done is just as bad as people saying real estate will never go down. Generally when everyone feels one way, it's time to act on the opposite.

I'm also actually doing it right now. I own stocks and close on my first house Friday.

Now for a crazy side anecdote. My cousin closed on her first house a few weeks ago. It took her 5 houses to finally get one. The reason? Her other 4 full price offers were rejected because someone else outbid her. Yep, outbid in the down market. It certainly doesn't mean that the market has turned, but it shows the interesting difference between what the news reports is happening, what people think is happening, and then what's really happening.

[scarmig]

Doesn't the fact that my POV is apparently outnumbered 7:1 undermine the idea that everyone is a bear? =)

Instead of subjective measures like what everyone feels, I prefer to focus on things like P/E and Case-Schiller ratios. Though they obviously have their limitations, they tend to suggest that the market is still overvalued relative historical norms. And I see no reason for our economy to prosper in the near- and medium-term.