I got an e-mail a couple of days ago from Pulte Homes regarding their White's Mill development in Warrenton. They're nearing the end of the development and have 7 homes either completed or nearing completion. The e-mail was to make me aware of the deals available to me with these 7 homes.

According to the e-mail the homes each include free finished basements, free granite countertops, upgraded cabinetry and free hardwood flooring. The prices start at $479,900.

And, if you're one of dozens of homeowners having trouble selling your own home in order to buy theirs, they'll give you six months without mortgage payments! Oh, and, by the way, their paying 4% commission to the buyer's agent!

This brings us back to that same old discussion about the downward pressure on prices in this market. If the builders will sell you a new house that includes all of the above for $479,900 and assure you of no mortgage payments for six months, it becomes much harder to sell your almost new house in that same price range where the basement isn't finished.

Let's get specific. In White's Mill as I write this there are 7 homes listed in the MLS as currently for sale. Two of those are part of the seven that Pulte still owns. That leaves five other owners competing against that offer we just talked about.

Only one has a finished basement. True, some of them are brick fronts, but they're also listed for considerably more money. The lowest priced listing in this development right now is a home owned by the builder listed for $490,000. The most expensive is listed at $635,000.

Some of these homes have no hardwood other than the foyer, an unfinished basement and they're still asking mid $500s. Of course, when you paid about $600K it feels like you've come down more than enough on your asking price!

Builders are looking to clear inventory! They'll do what they need to in order to make that happen. Unlike the typical homeowner they're unsentimental about either the home or the listing price!

So...if you're a homeowner in this subdivision and you absolutely have to sell now, how do you compete with the builder? Price is probably you're only weapon and it's a bad one in this situation. This looks like war and one side seems likely to lose badly. If you're in this subdivision I'd be looking to rent my house out and bide my time for a couple of years if there was any way at all to make that work.

If you're a buyer, count your blessings!