Due to job relocation, we have to move the whole family to Orange County. Now, we are renting a 1 bedroom apt for $1240. We are thinking of buying a house soon but we are very worried about the real estate market here.

Whenever a 2-bed condo (built after 1995, one car garage, 1000 sq ft) comes up on the market that is priced below $410K, my agent would encourage me to make an offer because the unit will not last for a long time. We can afford that price range but it's already ridiculous to pay that much for a condo. I know the price will go down eventually but when? How long should I wait to buy our first home?