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The housing market in general pretty much sucks nowadays. People are so rich on this server that most are only interested in Max Storages and above. Unless the smaller house is in a strategic PvP or Vendor location, which this house is in neither. I have a 14x14 in a really nice spot and I can't even get 500k for it.
I guess I will start using my fortune of gold to place small plots and give them to newbies in hopes that they will stick around. Low population (compared to a couple years ago) seems to be the biggest problem here.