Cramer claims that the decrease in housing starts, has created a “monumental shift” that explains the turn in housing. Fewer new homes are being built, which helps to shrink the overall housing inventory and boost prices.
This has Cramer thinking the housing market’s “on the mend” and that “the bears who keep saying that the market would fall off a cliff after the tax credit, they were just plain wrong” and “owe us an apology.”
