Dive Brief:

• The chief economist at Moody’s Analytics said last week that manufacturers’ inability to produce building materials could mean builders won’t be able to construct homes fast enough to supply demand in the near future.

• During a National Association of Homebuilders’ webinar, Mark Zandi agreed with the panel's other economists that homebuilding will pick up by the end of the year and thrive through 2016. But, he said, “There’s a lot of supply-side concerns. Everything from lumber in Canada to not enough capacity to produce toilet and other fixtures” could slow the housing recovery.

• On the demand side, student loans and depressed wages could constrain the recovery, Zandi said, but added, “I’m quite confident we will see a ramp up.”

Dive Insight:

Zandi said demand for new homes is already outpacing supply by about 650,000 units, and that the imbalance will grow as young adults who are living with their parents form new households.