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Tough to call. Prices are high right now, who knows when they'll come down. I look at it like this: my sister just bought a house for $120k and her mortgage payment is less than what she was paying for renting half a house. If the real estate market bottoms out tomorrow, her house value may drop and her mortgage payment stays the same. If she had stayed in the rental her rent would have stayed the same. After the lease expired the rent might have increased but the mortgage stays the same.