My son asked me about a small stock CHCI and I studied it and would buy it in an instant. Or would I?
The book value is twice the market value and it is in the Washington DC and Raleigh NC area.
But wait this is too good to be true.
Continued

This raises the question are homebuilder stocks cheap?
Pull up a chart on homebuilders stocks HGX and look at a 5 year chart.
Next look at the best and biggest TOL.
Their chart patterns look the same.
Chart wise we are at a 50% correction level in the long term bull.
Or are we half way down in a bear.
So on to the question that my son ask me about CHCI.
This company got into the hottest real estate markets in the top timing of the stock market.
They are doing well because these markets are the strongest in the US now due to the gov't economy and southern move ins.
Now ponder all of this and do some more digging and see if this housing market is cheap or it has more downside.
Tomorrow I will continue this discussion.
Send me your thoughts.