Ownership Submission
FORM 4
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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(Print or Type Responses)
1. Name and Address of Reporting Person *
KARATZ BRUCE
   2. Issuer Name and Ticker or Trading Symbol
KB HOME [KBH] 		5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
__X__ Director _____ 10% Owner
__X__ Officer (give title below) _____ Other (specify below)
Chairman and CEO
(Last)
(First)
(Middle)
10990 WILSHIRE BLVD, #700		 3. Date of Earliest Transaction (Month/Day/Year)
12/22/2004
(Street)

LOS ANGELES, CA 90024		 4. If Amendment, Date Original Filed(Month/Day/Year)
 6. Individual or Joint/Group Filing(Check Applicable Line)
_X_ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person
(City)
(State)
(Zip)
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3)		 2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code
(Instr. 8)		 4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)		 5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4)		 6. Ownership Form: Direct (D) or Indirect (I)
(Instr. 4)		 7. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V Amount (A) or (D) Price
Common Stock 12/22/2004   M   22,900 A $ 17.75 803,337 I by Trust
Common Stock 12/22/2004   S   22,900 D $ 104.27 780,437 I by Trust
Common Stock 12/22/2004   M   3,000 A $ 19.06 783,437 I by Trust
Common Stock 12/22/2004   S   3,000 D $ 104.27 780,437 I by Trust
Common Stock 12/22/2004   M   56,536 A $ 21.59 836,973 I by Trust
Common Stock 12/22/2004   S   56,536 D $ 104.27 780,437 I by Trust
Common Stock 12/22/2004   M   41,667 A $ 21.59 822,104 I by Trust
Common Stock 12/22/2004   S   41,667 D $ 104.27 780,437 I by Trust
Common Stock 12/22/2004   M   11,621 A $ 21.59 792,058 I by Trust
Common Stock 12/22/2004   S   11,621 D $ 104.27 780,437 I by Trust
Common Stock 12/22/2004   M   182,722 A $ 22.44 963,159 I by Trust
Common Stock 12/22/2004   S   182,722 D $ 104.27 780,437 I by Trust
Common Stock 12/22/2004   M   20,302 A $ 22.44 802,739 I by Trust
Common Stock 12/22/2004   S   20,302 D $ 104.27 780,437 I by Trust
Common Stock 12/22/2004   M   111,252 A $ 23.74 891,689 I by Trust
Common Stock 12/22/2004   S   111,252 D $ 104.27 780,437 I by Trust
Common Stock 12/23/2004   M   8,426 A $ 23.74 788,863 I by Trust
Common Stock 12/23/2004   S   8,426 D $ 101.4 780,437 I by Trust
Common Stock 12/23/2004   M   225,000 A $ 25 1,005,437 I by Trust
Common Stock 12/23/2004   S   225,000 D $ 101.4 780,437 I by Trust

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 3)		 2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (Month/Day/Year) 3A. Deemed Execution Date, if any (Month/Day/Year) 4. Transaction Code
(Instr. 8)		 5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4, and 5)		 6. Date Exercisable and Expiration Date
(Month/Day/Year)		 7. Title and Amount of Underlying Securities
(Instr. 3 and 4)		 8. Price of Derivative Security
(Instr. 5)		 9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 4)		 10. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)		 11. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares
Non-Qualified Stock Option (right to buy) $ 17.75 12/22/2004   M     22,900 10/24/2002 10/24/2014 Common Stock 22,900 $ 0 210,000 D  
Non-Qualified Stock Option (right to buy) $ 19.06 12/22/2004   M     3,000 07/29/1996 07/28/2008 Common Stock 3,000 $ 0 0 D  
Non-Qualified Stock Option (right to buy) $ 21.59 12/22/2004   M     56,536 12/05/2000 12/04/2012 Common Stock 56,536 $ 0 53,288 D  
Non-Qualified Stock Option (right to buy) $ 21.59 12/22/2004   M     41,667 12/05/2000 12/04/2012 Common Stock 41,667 $ 0 11,621 D  
Non-Qualified Stock Option (right to buy) $ 21.59 12/22/2004   M     11,621 12/05/2000 12/04/2012 Common Stock 11,621 $ 0 0 D  
Non-Qualified Stock Option (right to buy) $ 22.44 12/22/2004   M     182,722 11/30/2001 11/30/2013 Common Stock 182,722 $ 0 20,302 D  
Non-Qualified Stock Option (right to buy) $ 22.44 12/22/2004   M     20,302 11/30/2001 11/30/2013 Common Stock 20,302 $ 0 0 D  
Non-Qualified Stock Option (right to buy) $ 23.74 12/22/2004   M     111,252 05/27/2001 05/27/2013 Common Stock 111,252 $ 0 8,426 D  
Non-Qualified Stock Option (right to buy) $ 23.74 12/23/2004   M     8,426 05/27/2001 05/27/2013 Common Stock 8,426 $ 0 0 D  
Non-Qualified Stock Option (right to buy) $ 25 12/23/2004   M     225,000 10/13/2003 10/13/2015 Common Stock 225,000 $ 0 275,000 D  

Reporting Owners

Reporting Owner Name / Address Relationships
 Director  10% Owner  Officer  Other
KARATZ BRUCE
10990 WILSHIRE BLVD
#700
LOS ANGELES, CA 90024		   X     Chairman and CEO  

Signatures

 KIMBERLY N. KING, Attorney in Fact for Bruce Karatz   12/23/2004
**Signature of Reporting Person Date

Explanation of Responses:

* If the form is filed by more than one reporting person, see Instruction 4(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).

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