The National Association of Home Builders (NAHB), while noting their prediction of a 21% rise in single-family housing starts this year to 528,000 units, and next year to 665,000, says the uncertainty of how the Dodd-Frank Act plays out is preventing lenders from loosening credit, and further constraining the housing recovery. In addition, the unknown effects of the “fiscal cliff” of mandatory budget cuts and tax increases at the beginning of 2013 have put some investors on hold. Mark Zandi of Moody’s Analytics, forecasting optimism, says the GDP will grow two percent for the year and housing starts will total 1.1 for 2013. But he also notes hiring will not pick up until the “fiscal cliff” is resolved. And as MHProNews has learned, the economy will be stymied until hiring increases.

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