Housing bargains are back. With prices sinking, now may be the best time to buy a home in years. Where should you look? Home prices have dropped so quickly and so far that valuations - the difference between what a home should cost and its actual price - are the lowest they’ve been since 2004, according to a report.

The home foreclosures has increase way up all-time high in the final quarter of last year. It is said that it will most likely to keep on rising, showing the suffering of distressed homeowners and the growing danger the housing meltdown poses for the economy.

The wave of foreclosures is threatening the housing market that is already severely depressed. The homes people are forced out of add to the unsold homes already on the market. That forces even more cutbacks by homebuilders, slowing down the economic activity at the national level. Harder to get credit has also thwarted would be home buyers, that is make problems in the housing market look worse than ever.