I intend to buy one more house in San Jose / Sunnyvale / Santa Clara area, therefore I keep a watch on the local Home Price Index. Following is the chart in Excel for the local Home Price Index.

When there is a reasonable downturn I will consider going out, and actually start looking at houses. Until then I'll just keep an eye on this chart, rather than spending my time going around the open houses.

It's inevitable that the home prices that are on the upswing will undergo 'regression-to-mean'. When that happens I will do Fibonacci Retracement Levels for this chart, and try to purchase an additional house at a suitable retracement level.