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Lennar (LEN) CEO Stuart Miller is bullish on the housing market. "We are clearly in the midst of...

Lennar (LEN) CEO Stuart Miller is bullish on the housing market. "We are clearly in the midst of a recovery," he says. "Prices are moving up not because costs are moving up so much, but because demand is getting so strong." Just look at Nevada, one of the nation's hardest hit by the housing collapse. Despite a 334% surge in new foreclosures, builders are ramping up production. Housing starts in Las Vegas are up nearly 100% from a year ago. Miller says he wouldn't be surprised to housing starts get to 1.7M, even 2M nationwide at some point when the recovery really kicks in.
Comments (7)
  • Paulo Santos
    , contributor
    Comments (17967) | Send Message
     
    Well, sure he would say that, after all LEN and others are already priced like such an event is a certainty.
    16 Mar 2013, 10:15 AM Reply Like
  • J 457
    , contributor
    Comments (947) | Send Message
     
    He should say "we really can't justify this frothy LEN share price, but we want you to believe in a recovery so we can sell you our shares." Yes, new homes sales are better than the last few years, but all one has to do is look at a 10 year chart to see the current builder valuations are way ahead of themselves. RYL at $41.Meritage at $45. Comical. Many will be burned at these levels when the bubble burst, just like last time.
    16 Mar 2013, 10:50 AM Reply Like
  • Mike Spelman
    , contributor
    Comments (47) | Send Message
     
    More importantly, who is doing the buying? If it's mostly BX and other speculators that's a pretty big false signal about the state of the consumer.
    16 Mar 2013, 11:42 AM Reply Like
  • Paulo Santos
    , contributor
    Comments (17967) | Send Message
     
    The housing market is recovering, it got to a too-depressed level. And the rental market is strong. There's cause for optimism.

     

    It's just that optimism got far ahead of what's warranted, and started discounting ANOTHER housing bubble.
    16 Mar 2013, 11:48 AM Reply Like
  • AZ Desert Trader
    , contributor
    Comments (232) | Send Message
     
    All I need to know about todays housing market is the recent large increase in radio and TV commercials advertising ARMs and HELOCs, just like the last time.

     

    Plan accordingly.
    16 Mar 2013, 12:14 PM Reply Like
  • CLK3RD
    , contributor
    Comments (5) | Send Message
     
    334% in foreclosures > great future
    16 Mar 2013, 05:49 PM Reply Like
  • sheeple2012
    , contributor
    Comments (203) | Send Message
     
    look what the Bernank has wrought, even Greenspan is crawling out of his crypt to give his approval.... good grief... well gotta go I'm off to a house flipping seminar
    16 Mar 2013, 08:36 PM Reply Like
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