How Fast will the Housing Market Recover. When will inventory stop having to be deeply discounted?

When will housing inventory stop having to be deeply discounted? When will the confidence return?

The National Association of Realtors October home index figures are in and sales are up 4.3% from the previous month.
It is still 20% lower than a year ago which reflects that is it after the Tax credit and the housing market is recovering on its own power.
Given the fact that there are historically low interest rates, deeply discounted properties and low consumer price inflation we continue to see a slow rise.
The huge recovery is not likely to happen. J P Morgan and GMAC are pausing foreclosures to review the process. The Buyers confidence level is a driving factor too. The economy, the job market and comfort levels are keeping the recovery slow.