Sell now, rent until the bubble collapses, and then buy.

At least here in Houston, we haven't seem the same kind of inflation as other parts of the country. My house has gone up 20% in four years whereas Rob's condo doubled in three years. That would say that there's more bubble there than here.

I haven't done the mortgage math on a house for 2X the cost, but given that I'm doing a 15-year flat rate mortgage right now, I could shift to a 30-year loan for the bigger house and, particularly with the joint income of my fiancee (wife, by then), the bigger house wouldn't be too much strain on the budget.

(And, needless to say, I'd be miserable living in an apartment again. I love having a freestanding house without anybody else's stereo keeping me up at night. The right answer, at least here where there's less of a bubble effect, is probably to ignore what the market is doing and just do whatever I would have wanted to do in the first place. If I lived in the Bay Area, this would all be completely different.)