has honda lowered prices?

Not sure where you got your original information, but the pricing has not changed any on the Elements. The original price might have been speculation, bad information or many things.

If you're buying a 4WD model, it could appear that Honda lowered prices.

Initially, the pricing information for the base price on a 4WD E was for an E with an automatic transmission. With the availability of the 5-spd manual 4WD E's, the initial or base price for a 4WD is now lower, but if you compare pricing on the auto it hasn't changed. There's just a lower priced configuration available now.

i'm still shopping for my best deal on a 2wd manual trans ex- i have not found a lot of variation among the many dealers here in so cal- maybe 500-600 below sticker so far- maybe a 4th of july weekend sale (??!!)

something else to consider is new models are coming out shortly for 2004, they may weeding their way to the 2004 models.. or if a dealer likes to keep a fresh lot they may offer different prices then another to make sure nothing stays on the lot.. but just make sure you are looking at the same vehicle.. since there are more options then the beginning of the year, with the first models. .

In my area, i have seen the price go down as low as $500 under invoice!

I guess their is more supply than demand over here