Looking to buy, but unsure of current market conditions.

[Alex Shpylko]

Hey guys, 

I'm currently scouring Zillow, Streeteasy, etc. just as a "dry run" of searching for a property in the Brooklyn/Queens area. Given there's a foreclosure moratorium in place right now and interest rates are scraping zero, the property values are heavily inflated. I was looking for a live-in rental that I could work on fixing up as I live there as I'm fairly good at home repair. Unfortunately the stuff that went for high 300s and low 400s is now like 500-600K which is nuts, not to mention the cost of materials on top of that. 
My question is: how long do you think the market will remain in the current condition, and when might we see the prices begin to reflect the "true" market value of the homes with the foreclosures on the market as well? 

Thank you, 

Alex