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[Rob <becida AT comcast.net>]

I'd think housing prices will affect land prices.


Rob
becida AT comcast.net
Washington state

Homestead advice-

Buy a house. If you have a house, buy land. Pay for the land with 
city jobs, prepare your family for a rural lifestyle, accumulate 
tools and skills. When the land is free of debt sell the city house 
and go make a good life.
-Gene GeRue

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http://seattlepi.nwsource.com/business/290172_economy27.html


Friday, October 27, 2006

Builders cut prices on new homes

THE ASSOCIATED PRESS

WASHINGTON -- After offering incentives ranging from fancy kitchen 
upgrades to free swimming pools to move a glut of unsold homes, 
builders finally decided they needed to get serious about cutting prices.

The result was the biggest decline in median new home prices in 35 
years. And analysts are predicting more price cuts to come for both 
new and existing homes as sellers deal with near-record levels of 
unsold dwellings.

The Commerce Department reported Thursday that the median price for a 
new home sold in September was $217,100, a decline of 9.7 percent 
from September 2005.

That was the lowest median home price in two years and the sharpest 
year-over-year decline since December 1970, providing dramatic 
evidence of the slowdown in the once-booming housing market.

The median price is the middle point, where half sell for more and 
half sell for less.

The price decline for new homes followed a report Wednesday that 
prices in the much bigger existing home sales market also dropped on 
a year-over-year basis in September by 2.5 percent, the largest 
decline in records going back nearly four decades.

The price decline for new homes in September came while the sales 
pace picked up, rising by 5.3 percent to a seasonally adjusted annual 
rate 1.075 million homes.

It was the second consecutive increase in sales after three months of 
declines. But even with the improvement, sales activity is down 14.2 
percent from a year ago