Via Visualizing Economics, here’s a cool chart showing the percentage of a home’s value that is tied up in land (as opposed to the house itself).
Here’s the chart:
The chart’s maker, Catherine Mulbrandon, doesn’t say much about this other than to point towards the dataset, which comes from the Lincoln Institute of Land Policy. You can see a correlation between real state bubbles and the land value as a percentage. In fact, the land value chart seems to reflect real estate bubbles even more than the Price Index, and as it shows, currently the US is only 10% off its 2005-6 housing bubble peak, up 9% from the low following the real estate crash.
Naturally, the Minnesota real estate market much less “heated” than the coasts.