Orange County California started to fall in late 2005 with the eastern part of the state and northern part following in 2006. Actually July 2006 was the all time high and by early 2007, we knew we were in trouble. We now have builders turning out new tract homes by the dozens. Four tracts have opened in the Riverside area in the past month. Guess what that means?
Builders do not built until they can make a profit. Homes have been selling for far less than the price to build them. Builders spend lot of money asking economists and planners and statisticians when to build. Builders bought developed lots out of bankruptsy courts and are building on them. Builders expect to make profits. THE MARKET HAS STARTED TO RECOVER - BUY, BUY, BUY