jerry howard is the ceo of the national association of home builders. he joins us now. y are they not turning out? jerry: at the higher end of the market, you are seeing a situation where those buyers are concerned about the overall health of the stock market and investments in general. low end of the market, household formations that are just coming into play postrecession are forcing a lot of people into the rental market. multifamily construction is very strong. there is still a certain amount of hesitancy on the part of the first time home buyers. those who are trying to get in our being buoyed by low mortgage yous, but, the fact is, as mentioned, land costs and labor costs are making the first time priors -- prices higher than first-time buyers are really comfortable with. vonnie: what about beyond this? these were the excuses we were hearing last year and before, the difficulty of finding prime land, the tightness of financial conditions, so forth. are we not any further on? : in terms of land, i think you are seeing a certain amount of inventory come back on the m

weing up in the next hour, will talk to jerry howard of the national association of home builders.were bearish last month so can things turn around in time for spring? that is coming up. ♪ >> welcome to "bloomberg markets." from bloomberg world headquarters in new york, i am vonnie quinn in for betty liu. stocks moving higher. gains in energy shares. a decline in telecom as investors await tomorrow's ecb decision. construction starts for new homes have tumbled. what will it take to get construction moving again? the ceo of the national association of homebuilders is our guest. reports fors square the first time since going public. shares are up 27%, but new growth is slowing. are competitors like visa and paypal taking a toll? we are one hour away from closing. julie hyman has been keeping an eye. julie: