If its flat or declining then i would stay away.

If I were to try a Lease Option for say 2 yrs, I expect an Owner to want at least 6 or 7 appreciation. i may make a little on the rents and some on the option; however, when I sell, if values have declined or staid steady, I will not come out ahead.

This might shine some light on what's been going on:Current Declines from Peaks in Median Home Prices

Your risk is that you buy in a declining market and the value goes down or you don’t bring in enough rent to cover expenses.

There are several factors, but most importantly the 2007 taxesremain unpaid as of today, which is a direct violation of your mortgage.The other factor is because of the fraud on the initial loan application,and the declining mortgage market, the pay history on the loan since we havebeen servicing it, has made it impossible for us to sell the loan.

Count on having to sell at a 15% discount or more off current market price in a declining market area.

If it says actual damages, you could sue for damages, such as loss of value in a declining market.

Rent to property value ratio is still little below avg I think and house price is declining but slow for the area I'm looking at.

The recent declines in home prices and high foreclosure rates in this market have given me reason to think that the next coming months (if not years) will present good opportunities to smart investors to profit handsomely from buying properties "at the bottom of the market".

Short Sales and foreclosures have contributed to our declining values, along with overbuilding in the area.