Unfortunately when a real estate cycle hits bottom, you get more bang for your buck by owning property - and being leveraged in order to do so - than having money in a static bank account. At that point what doesn't look good is actually best, and what looks best might not be the right thing to do.
14 months ago PHM was $4 tomorrow is kissing $20 on the back of Jim Cramer Mad Money bullishness:
" Pulte Homes remains one of America's largest homebuilders in what is still the very early innings of a housing recovery. The stock may be at its 52-week high, but that doesn't mean this stock can't soar higher, said Cramer, as home prices continue to rise. Pulte has been aggressively cutting costs and fixing its balance sheet and is now up against very easy comparisons from last year."
The decade of buying a house to make money is gone. Lesson learned. In this decade, to make money, you buy the home builder stock. IOW housing recovery is about the builder rather than the house.