Here’s how the rising cost of lumber has affected new home construction.
Things have been changing in the new home construction market, and these changes are mainly tied to the rising cost of lumber. In fact, lumber costs have risen by 180% since last spring. In previous blogs, I’ve spoken in depth about our low home inventory levels and high buyer demand. Builders are doing their best to continue construction, but the high costs of lumber are making the process more expensive. On average, the cost to build a new home has increased by $25,000.
It’s been important for both buyers and builders in the new construction market to accurately calculate their costs and stay flexible. Buyers must watch out for price increases they’re unprepared for, and construction delays are always possible due to pricey lumber costs and shipments.
We’re continuing to work with buyers and builders to ensure everyone knows what’s happening with new home construction and why. If you’re looking for more information about a particular neighborhood, or you’d like to know how these changes may affect your situation, feel free to reach out to me. I look forward to hearing from you soon.