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Cramer still predicts that housing will bottom this summer – June 30, to be exact. But that won’t happen unless a few key factors fall in place. Home prices must come down, construction of new homes needs to slow, and the country’s worst-hit areas need to stabilize.
We got some indication Tuesday morning that home prices could soon find a bottom, and the most recent housing-starts number showed a significant decline. Two out of three ain’t bad, especially after this latest recession. But what about housing’s worst markets, specifically California and Florida?
Well, Toll Brothers [TOL
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] CEO Robert Toll told Mad Money on April 22 that California could bottom, and that other markets won’t be far behind. And Toll isn’t the kind of guy to sugar coal a situation. So if he says Cali bottoms, most likely it will.
To find out about Florida, though, Cramer went to Mori Hosseini, chairman and CEO of ICI Homes. ICI is one of the largest privately owned homebuilders in the U.S., and it operates primarily in Florida. So Hosseini, probably better than anyone, could tell us will make the necessary turn.
Watch the video for Cramer’s interview with Hosseini.
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