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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.”

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Dear Cramer: Booyah, stock-daddy! Love the Lightning Round Overtime. You recommended LSB Industries [LXU  Loading...      ()   ] 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.”

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Booyah Jim!: My dad got me into investing and your show. I just wanted to thank you for your enthusiasm (it definitely has me laughing) and the education you provide every night! I am a 20-year-old female who is just getting her feet wet in the stock market. I want to get a utility stock for my portfolio, but I can't decide whether to go with ConEd [ED  Loading...      ()   ] or Public Service [PEG  Loading...      ()   ]? Which one do you like better? Thank you! --Tara

Cramer says: “I like ConEd because it has the bigger dividend. Remember, I like that CPL [CPL  Loading...      ()   ], that Brazilian one if you want it. Tara, you’re 20 years old. I think you take a long shot and go with the Brazilian one. It has a better yield. And that way you have your whole life ahead of you.” (Cramer usually recommends younger investors take some chances since they have more time to make up any losses that might occur.)

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Dear Jim: With a long-term trend of baby boomers retiring in the future…why are senior living facility stocks like Sunrise Senior Living [SRZ  Loading...      ()   ] trading at such lows? --David

Cramer says: “That’s because of accounting irregularities. Remember, accounting irregularities equal sell.” Cramer said he thinks these problems could be in the past for Sunrise even though many on Wall Street might disagree. “I kind of like it now,” he said.

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Booyah Jim: I have been reading more information about the current warming cycle, and that it is over, and cooling temperatures may expose global warming as a political ploy and not a real phenomenon. If this is true, will this damage stocks like First Solar[FSLR  Loading...      ()   ], or can they stand on their own? --Bob

Cramer says: “We don’t have to say whether the politicians are right. We just have to game what they are going to do. And the politicians are convinced that solar energy is the way to go.” First Solar is best in show, Cramer said, and it’s the only one in the sector he’s recommending. Investors looking for a more conservative play, Cramer said, should go with Applied Materials [AMAT  Loading...      ()   ], which is a bit more diversified as it operates in the solar and semiconductor businesses.

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