<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
RYLAND GROUP INC. FORM 10-Q FOR THE PERIOD ENDED 9/30/97 AND IS QUALIFIED
IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
       
                             
<PERIOD-TYPE>                   9-MOS
<FISCAL-YEAR-END>                          DEC-31-1997
<PERIOD-END>                               SEP-30-1997
<CASH>                                          20,591
<SECURITIES>                                   155,322
<RECEIVABLES>                                  157,836
<ALLOWANCES>                                         0
<INVENTORY>                                    581,938
<CURRENT-ASSETS>                                     0
<PP&E>                                          29,155
<DEPRECIATION>                                       0
<TOTAL-ASSETS>                               1,259,229
<CURRENT-LIABILITIES>                                0
<BONDS>                                        470,245
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                        790
<COMMON>                                        14,506
<OTHER-SE>                                     284,139
<TOTAL-LIABILITY-AND-EQUITY>                 1,259,229
<SALES>                                      1,081,778
<TOTAL-REVENUES>                             1,150,744
<CGS>                                          936,178
<TOTAL-COSTS>                                1,076,873
<OTHER-EXPENSES>                                10,073
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                              43,219
<INCOME-PRETAX>                                 20,579
<INCOME-TAX>                                     8,232
<INCOME-CONTINUING>                             12,347
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                    12,347
<EPS-PRIMARY>                                     0.70
<EPS-DILUTED>                                     0.70