Get ready for more home builders, attracted...

Get ready for more home builders, attracted by the strong Orange County housing market.

Developers from Sun Belt states with idling economies are testing the waters all over Southern California, says Stephen Bottfeld, president of San Diego-based real estate consulting firm Insites.

Many are moving at the insistence of their lenders, who are urging them to open operations in busier markets, says Bottfeld.

“Texas has been a dead market for three years,” said Bottfeld, as the price of oil dropped and left the economy high and dry.

Also on the way here: Japanese home builders, who have unsuccessfully tried the U.S. market before but are now ready to give it another shot.

While the water looks inviting at first, some builders get a cold shock when they first see land prices in Orange County.

In fact, says Bottfeld, as a result of the pending slow-growth initiative and heavy demand, Orange County has the most expensive residential land in Southern California. Only land in downtown Los Angeles is more expensive, he said.