Tuesday, January 02, 2007

Lennar: No Sign of Housing Market Recovery

by Bill McBride on 1/02/2007 10:51:00 AM

From CNNMoney: Lennar warns on earnings.

Lennar, one of the nation's largest home builders, warned that it will miss fourth quarter earnings forecasts and post a net loss as it writes down the value of some of its land and other assets.

Lennar (Charts) also said it has "not yet seen tangible evidence of a market recovery." ... The ongoing weakness in the home building market will cause Lennar to take a pretax impairment charges of $400 million to $500 million due to the revaluation of some of its assets.