This probably means that, six months from now, there should be an ample supply of REOs, as opposed to the slim pickings currently available.
Basically, if you are shopping for an under $200,000 property AND qualify for the eight grand tax credit, I would buy now (I am). Everybody else should wait at least that long, and even those who qualify under both conditions should only pull the trigger if the deal is above average. If there's a dozen offers on the property, just walk away-don't get into a huge bidding war, there will be plenty more eventually.