Selling your principal residence and renting because you've been watching the doom and gloom on the news and listening to the arm chair quarterbacks who know very little about Real Estate is NOT a good idea. You're playing with fire in my opinion. Over the past 20 years that I've been involved in Real Estate, I have seen this strategy backfire most of the time. Why on earth would you speculate with your principal residence?!. You need a place to live, it's the best tax shelter we have these days and real estate is a long term commitment. Who cares what the market does year over year. Always think long term. So you're going to rent for a few years and then buy back in......Sure you are. I bet you're going to time the market right at the bottom as well. You will never time the bottom because you don't know that the bottom has hit until it has already started to go up.  Just ask the people who tried this in late 2008. If you want to play games and speculate with some investment properties go ahead (I still don't recommend that either) but don't do it with your principal residence. After you deduct all your selling commissions, renting costs, moving costs then buying back in costs the chances of you coming out ahead are very slim. Not to mention all the hair your going to loose with the stress. Call me before you jump off that ledge. Hopefully I can talk some sense into you. Now, I'm quite happy to get the business and I'm sure I'll have no problem selling your house but I would much rather be your Agent when you're selling for the RIGHT reasons vs. trying to time markets.