I forgot how many said the bottom was in about 18 months ago!!!! I think once these stocks fall another 15-25% they will be a good purchase for the next 5 year out. Housing though still has a long way to go, I doubt there is a bottom until 2009. AP Tuesday July 10, 11:26 am ET By David Koenig, AP Business Writer D.R. Horton Sales Plunge 40 Percent, Sees Loss for Third Quarter DALLAS (AP) -- D.R. Horton Inc. will post a loss for the spring quarter after net orders fell 40 percent and the value of unsold houses is written down, the homebuilder said Tuesday, further evidence that the housing sector continues to sink. Horton said it took orders for 8,559 houses worth $2 billion in the three months that ended June 30, down from 14,316 homes worth $3.8 billion a year earlier. The decline was sharpest in California and less severe in the Southeast. The rate of canceled orders was 38 percent. "Market conditions for new home sales declined in our June quarter as inventory levels of both new and existing homes remained high, and we expect the housing environment to remain challenging," Chairman Donald Horton said in a statement. Horton said the company has adjusted prices to cope with the deteriorating market. The Fort Worth-based builder said profits from operations will be dragged to a loss from "significant" write-downs of unsold houses, reflecting the falling value of homes on the market. A glut of unsold new homes has pushed prices lower. Builders have responded by canceling options on land where they had planned to build. In March, Chief Executive Donald J. Tomnitz warned that 2007 would be a bad year in its entirety. Horton's June-quarter orders fell 53 percent in California and more than 40 percent in the Northeast, Southwest and South-central states including Texas. Orders dropped 25 percent in the Southeast. Horton expects to report results from its fiscal third quarter on July 26. Through the first nine months of the fiscal year, Horton said it took 27,313 orders worth $6.92 billion, down from 41,550 orders worth $11.36 billion in the same nine months a year ago. Separately, Horton said in a filing Tuesday with the Securities and Exchange Commission that it has removed a clause in its revolving loan that limited dividends and other payouts to shareholders to half the prior year's net income. The change will allow payouts to shareholders unless they cause the company to default on loan payments or violate other terms of the loan. The loan dates to December 2005 and is administered by Wachovia Bank NA. Shares of Horton fell 61 cents, or 3.1 percent, to $19.18 in midday trading.