Housing market has long way to go: Lennar CEO

The U.S. housing market still has a long way to go to fully recover from the 2008 financial crisis, Lennar CEO Stuart Miller said Wednesday.

"The housing market continues to improve at a slow and steady pace, but it looks like there's a lot of runway out ahead of us. If you look at the primary driver for housing right now, you're basically looking at a production deficit that's been building up over the past years," Miller told CNBC's "Squawk Box."

Miller added that the housing market's recovery would continue even if the Federal Reserve increases its rates. "I'm quite sure that, as soon as the Fed starts raising rates, the first thing that's going to happen is we're going to see a stock pullback, and that's a knee-jerk reaction. But the reality is that a Fed rate hike is likely to reflect an improvement in the employment market," he said.

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The country's housing market should also keep improving as temperatures rise, Miller said. "As we look at markets across the country, we've been impacted by weather. Certainly in the Northeast, it's been a long, tough winter," he said. "We're going to have to wait and see as the spring season comes along, but as we sit right now, given the weather patterns, certainly the sunnier side of the country is looking a little bit brighter and I think we'll see the rest of the country come along."