I just read a really great article that talks about the current state of mortgages in the United States.  In my opinion it is always better to use prudence when deciding how much debt to take on.

Here is a link:

http://moneycentral.msn.com/content/Banking/Homefinancing/P98896.asp

If you want to know what the house price index is in your state check here:

http://www.ofheo.gov/HPI.asp

If you want to know what the house price index is check here:

http://www.ofheo.gov/HPIAbout.asp