By Diana Olick | CNBC
The supply of existing homes for sale is incredibly short, and while builders are starting to construct more homes than they did a year ago, they are still producing well below normal volumes. It begs the question, why aren’t builders building more houses? One reason: Land.
More than 60 percent of builders surveyed in May reported that the overall supply of developed lots—that is, with all the necessary infrastructure to build homes—was low to very low, according to the National Association of Home Builders (NAHB). That is the highest percentage since the builders began asking the question back in 1997.
