[quote=CA renter]
As to builders not breaking-even on sales…

Builders do not set prices in a developed market. If builders cannot make money using current prices, then they need to lower their cost basis by paying less for the land.[/quote]

The Land is usually the least or smallest expense builders have to endure (in most area’s anyway coastal SD maybe a larger part), it’s the Fees roads and bringing utilities, paying for schools etc… That’s where it gets expensive.

The smaller the footprint (per sqf of living space) the more economical it gets.

At least until you get above four or five stories then it starts to get very expensive again.

If this is the new normal, then I foresee a lot more condo’s, very small lots etc.. in the future ..