A renewed rise in homebuilding construction costs due to the jump in energy prices since the start of the Iran war will only further constrain homebuilders’ profits and housing starts. This poses some downside risk to the already modest recovery in starts we expect late in 2026 and in 2027.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services