Maintaining our steely resolve

For the second time, we've suffered a crushing disappointment when our offer on a great house was rejected in favor of another. After learning of a competing offer, we raised our bid and made it clear we'd negotiate, but they didn't give us the chance. It's not a good feeling to get shut out, but worse things lurk in buyer land.

Deciding to bid on a house entails a huge investment of time and emotional energy. By the time we signed the offer, Jordan and I were mentally placing the furniture and contemplating future domestic bliss in those environs. Then, wham! The door is slammed in our face. I know, I know, our experience is far from unique. This is how it often works. Let me tell you, it's not for the faint of heart.

In the aftermath, we were left wondering if we should have bid more aggressively, since someone else clearly did. But it is always a mistake to pay more than you and your broker really think the house is worth. Most forecasts call for the general real estate slump to persist through at least the first half of 2008. Realtors love to say that these conditions make for a great time to buy. Maybe so, but it's an especially dangerous time to overpay. I've said it before and I'll say it again: There will always be another house.