Bottlenecks hold back housing market

04/24/2013 | Bloomberg

The housing market is running into pricing and scarcity problems that are restraining growth, even as demand increases. Material prices are up, with producers reluctant to expand output for fear that demand will subside. Meanwhile, skilled labor is in short supply. "Higher costs are one reason home construction is not rebounding faster," said Michelle Meyer, senior U.S. economist at Bank of America.

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