HOUSEBOUND BY THE WAIT-AND-SEE ECONOMY

In fall 2006, near the height of the housing boom, Valerie and Ty Davis closed on a four-bedroom house in an up-and-coming neighborhood 20 miles south of Birmingham, Alabama. Plenty of room, fair price, good resale value—it was a great deal. Later on, in January 2008, the couple decided they wanted to live closer to Ty's then-five-year-old son, who was living with his mom in Oklahoma. By that time, how-ever, the recession had set in, the housing market had cratered, and the Davises couldn't find a buyer. "The belief that we could relocate easily was a major misconception and something I'll be wary about the next time we buy," says Ty, 36, who owns a recreational vehicle marketing and sales company. Three years later, the Davises are still putting off the move, waiting for the economy to recover. "Ty's family keeps asking when we're going to sell it, but it's just not that easy," says Valerie, 28. "And we're not about to just jump in again."
Despite the disappointments of the past few years, the couple's prudent decision to put a large down payment on their house has kept them from having to sell at a loss. "Now we have the option of staying in the house until the market improves, and we're going to remain patient until the right opportunity comes along," says Ty. Meanwhile, he and Valerie have had to cope with fewer visits to his son, as rising airfares have turned travel to Oklahoma into a budget buster. "Being away from my son has been a daily struggle," says Ty. "I hope that I'll have the opportunity to be with him regularly soon. Until then, I'm thankful that he has an incredible family in Oklahoma."