check this out...

[ndiddy_IHB]

<p><a href="http://biz.yahoo.com/ap/071116/homebuilders_price_cuts.html?.v=1">http://biz.yahoo.com/ap/071116/homebuilders_price_cuts.html?.v=1</a></p>

 

[YLG_IHB]

Personally, I think it is the builders that will be the catalyst that drive the prices down rapidly. Resale homes will tend to be sticky, because sellers have the higher prices imprinted in their minds. Then there are recent buyers that have no way to drop prices, since they owe more than the current pricing. But between banks selling foreclosures at market price (hasn't happened yet), and builders needing to make sales, I feel that prices will be back to 2001 by the end of next year. The builders will drive it... if they don't make sales, they go bankrupt. And then you have a lot more foreclosures... which leaves it to the banks. Complicated... but this will be rapid.

 

[NanoWest_IHB]

The builders are screwed..................if they don't lower prices nobody will buy homes, if they lower prices nobody will purchase homes...............








The big question is..................inflation was 4 % a year from 2000 to 2007, why does it cost so much more to build homes now than it did 7 years ago. I suspect that the people selling the land to the developers got away with a great profit leaving the developers with the bag of doooooo doooooooo.

 

[lawyerliz_IHB]

<p>The Chinese have been buying a lot of building materials too; for a while a year or 2 ago, it was hard to get concrete for pool building in Florida because of this.</p>

<p>Also, i think that Florida's 8 storms had an effect. Rebuilding from those are still not complete.</p>