Finding value in today's market

Many people are still very much in the market for a new home. I have a lot of buyers asking advice on getting "the deal" but before you set your sights for low balling a home builder I suggest you think about a few things.
Let's suppose you purchase a home from a builder today and offer something like $5,000 off sale price. Great, what a deal! But think about this... What happens when your neighbor gets $5,000 off your price? The $5k you just pocketed just cost you $10k. Builders who cut prices do not add stability! Buyer beware.
Also pay attention to the neighborhood. Is it in a community that financing is easily obtained? You do not want to be somewhere that is difficult to finance or you soon will be surrounded by renters.
How is the builders stability? Do they have cash or tons of inventory they cannot move? Most larger builders are publicly traded and this information is public. For instance DR Horton was very cash heavy end of Dec 09 when they announced over $2 Billion in the bank!