Dear Jim: Booyah from the South Jersey shore! I watch CNBC every day. Am I the only person who thinks housing prices are still over-inflated? It seems the nature of a bubble would require a further correction. --Josh in New Jersey
Cramer says:“It’s local. It depends. Some areas are down so much, they’re interesting…I have yet to find an area in the country – and I spend a lot of time doing real estate – where I feel like you can buy and rent and get a decent return. I think you’re right – they fall further. How much further? I think that we will hit bottom in real estate in 2009, and it isn’t such a bad idea to start looking for places right now.”
Booyah, stock-daddy! Love the Lightning Round Overtime. You recommended LSB Industries as a Spec Friday play several months ago, and recently said you would pull the trigger as it is undervalued. There has been insider buying. The recent conference call reported solid growth. Does the "Wells" notice make this a more dangerous play or would you still buy? --John in Durham, N.C.
Cramer says: “I think this thing got clocked because of the investigation. Now, we know accounting irregularities equal sell. The core business was so good here…I am mixed on this…When I see a Wells notice, it trumps all of my fundamental work, and I’d be negligent if I didn’t include it into my thinking. At $14, I think it’s in the price of the stock.”