The once-overheated housing market is no longer overheated. In fact, builders are feeling a bit fearful about sales in many communities around the country. Builders have had to cut the price of homes in the L.A. area by as much as $70,000 in order to sell them. When the market shifts, people who aren’t having much luck selling their homes pull their homes off the market. But it’s different for a builder. They must move that house. So, they try to find the right mixture of sales incentives and features to keep houses moving through the pipeline. Several years ago, builders in many hot areas didn’t have to offer any incentives. But it’s all changing now. According to the National Association of Homebuilders, one in three realtors are offering optional items for free. These include flat screen televisions, finished basements and bonus rooms. So, if you’re considering buying new construction, make sure you survey the area you’re interested in and work on an offer with lots of builders. If you’re trying to sell a home that is in a new construction area, just make sure you start with an aggressive price before the market softens anymore. As for the used home market, you tend to get a lot more square footage for your money. Clark prefers used homes because the areas are usually already built up. And remember that if you’re thinking of building in a new development and you’re promised a swimming pool or tennis community, don’t believe it. Builders often promise things that are never delivered when the community is finished. So, until you see it, don’t believe it – and don’t pay for it!