I bought a house just a few months ago. 4.8%, conventional loan, put 6% down, when we hit 20% the PMI will automatically be removed by the lender.
House was built in 2007 for $370,000. Last year it was appraised at $280,000. This year it was appraised at $250,000. We payed $194,000 (got it as a short sale).
I think the prices in my area are stabilizing. The house sat empty for almost a year with it for sale at $280. It got passed off to my RE and he called me immediately and said he found the perfect house for us. We loved it and he was able to get the bank to accept under $200 on it. He had 3 people in line behind us to buy the house if we fell through. I personally met two of those people who actually already live in the neighborhood and were looking to buy a bigger house. They were pretty mad at me for stealing their house away. One of them has actually found another house a few blocks away and was able to get a good deal but payed more than we did for a somewhat less desirable house.