When the real estate market dropped, many experts struggled to answer the predominant question on people’s minds. When will the market bounce back? The issue of recovery largely depends on job employment, incentives to buy, and media coverage according to Barbara Corcoran, a nationally recognized real estate consultant who knows a lot about the market’s history over the years. She started her firm, The Corcoran Group, at the age of 23 and sold it in 2001 for $70 million. Currently, she works full time doling out advice about better housing choices on NBC’s TODAY Show, speaks around the nation, and invests in ABC’s reality series Shark Tank.

So what does Ms. Corcoran have to say about how buyers and sellers should handle themselves in 2011? First, everybody should understand that the wild cards — jobs, government incentives, and media — can change the game. Obviously, the housing market improves if employment rises and there are incentives to buy. But the media plays a heavy hand, too. Corcoran says that prolonged negative coverage on housing trends can dampen people’s mood, making them sluggish about decisions to buy or sell based on feelings rather than rationale.

If you’re in a position to buy, Corcoran says carpe diem. The housing market is historically slow when it falls, but once it turns around, prices can jump up quickly. Today’s lower interest rates on mortgages translate into significant savings. Unfortunately, birds of a feather tend to flock together, and buyers are more comfortable bidding when there’s lots of activity (competition), but in that scenario, you tend to pay more than you would otherwise.

Sellers are advised to price their homes for what they are worth and to get their houses in attractive, saleable condition by making some key but inexpensive improvements. Your property must stand out in the crowd of other for sale homes. For the full interview, check out What Works Now with Barbara Corocan.