Should I proceed?

Rent or don't live in NYC...

or, how about i just hold onto my money until it makes sense to buy.

Something you want is not "overpriced" just because you can't afford it. Tiffany jewelry isn't "overpriced." Apartments sell for what the market will bear, or close to it, period.

What we do have is a market that I believe is heading downward. That is not the same thing, not at all, and understanding the difference will help you get a good deal if you decide to buy.

{Manhattan real estate agent.}

Just because something is perceived as "overpriced", it doesn't mean one can't afford it.

Like you Fluter, I also believe that the market is heading downwards. I have waited 1 year so far and it has helped me to get a better price if I decide to buy now. If I wait another, it will help me to get an even better deal later. Simple.

Yes, simple. But you still don't get it. Something is not overpriced if other people are there with money in hand to buy it and I eager to do so. This is economics 101.

Usually people say "overpriced" because it is not worth it to them. So what. It's worth it to others who have the money and are willing to spend it, so your opinion is irrelevant. It will just be sold to them.

If you wait another year I do believe you will get more apartment per dollar spent. That's my expectation. I could be wrong, of course, but if that's your point, I agree with you.

But "overpriced"? No. It would be overpriced if we lived in a country that controlled prices on housing, and the government set prices artificially high. But we don't.

{Manhattan real estate agent.}

Oh! So you actually believe the efficient market hypothesis. I thought that went the way of Santa?

"But "overpriced"? No. It would be overpriced if we lived in a country that controlled prices on housing, and the government set prices artificially high. But we don't."

Hmm, mortgage interest deduction, Freddie & Fannie, FHA, tax credit, Fed buying agency paper with stated policy of supporting housing prices. You're funny.