Renting is dead money, irrespective of economic conditions. There can obviously be a time and a place where it is necessary but the net result is you will just be lining some one else's pockets by paying off their mortgage.
An estate agent told me recently that as soon as the economy starts moving again (if LOL) then interest rates will start creeping up, causing prospective purchasers to panic and not buy, plus a lot of people who are on interest only mortgages in the UK will not be able to afford their repayments once interest rates start to rise again.
The biggest question is: Are you confident that if you find the right home you will be able to make the repayments? especially if/when interest rates rise...
We all need somewhere to live, and God isn't making anymore land, so if you are confident you ca afford to buy and you see a deal that is right for you I say go for it. In London where I live there is a baseline property value which property never seems to drop below, and if prices drop so fucking low that property isn't worth jack shit the last thing we'll be worrying about is making mortgage repayments!