It doesn't seem to be as bad here as some places. We do have some houses that have foreclosed but I also watched one house just down the street sell for $200,000 (about what we paid for ours 4 years ago). Not bad for an older house. We would like to sell too but are going to wait and watch things for awhile.
We have a house across the street empty, the one behind me is empty, and weekenders live in the two that are next to me. Sometimes living in the country has its perks.
But the two that are empty have been for about 3 years now and show no prospect of selling. Haven't even seen anyone looking at them.
My husband was a financial consultant and also did mortgages..Notice the word Was...That should about sum it up for us....