Builders paying more for substitute materials to avoid construction delays

Home builders are struggling with shortages of materials they need to finish their projects, including wood paneling, ceiling joists and pipes. Faced with the prospect of delayed schedules, they’re racing to find substitute materials instead, but that process is adding to their costs. The Wall Street Journal reported this week that supply shortages have dogged […]

Prices of building materials have soared in the last year

Building material costs have jumped by almost 20% in the last 12 months, and by 135 in 2021 alone, according to new data from the Bureau of Labor Statistics. The prices rises are putting pressure on home builders, who in turn are raising their prices. Buyers have seen new home prices rise to a median […]

Will hemp homes solve the building material shortage?

Sky rocketing prices for building materials have been a common complaint from home builders over the past year. The costs of lumber, steel and concrete have all soared, and now some are promoting the idea of hemp as a more affordable alternative. Hemp does contain cannabis, but the concentration of THC is much, much lower […]

New home sales slip as buyers are priced out

New home sales have fallen to their lowest level since the early days of the COVID-19 pandemic, suggesting that the housing boom could be coming to an end. Data from the U.S. Census Bureau released Monday shows that new single-family home sales in June fell to a seasonally-adjusted rate of 676,000 units, down 6.6% from […]

Lumber prices fall fast, but building costs remain high

Lumber prices have dropped like a stone in recent weeks following months of record highs, but builders are still waiting to see the benefits of that fall. Meanwhile, new home prices keep on rising. The high price of lumber has long been cited as one of the main factors driving up home prices over the […]

Lennar execs are bullish on housing boom

Lennar builds a record number of homes as it delivers strong Q2 earnings

High lumber prices weigh on home builder confidence

Home builder sentiment has fallen to its lowest level since August 2020 due to rising construction costs pushing new home prices up. That has left some buyers sidelined while making it more difficult for builders to secure loans. The National Association of Home Builders/Wells Fargo Housing Market Index fell by two points to 81, below […]

Builders have started auctioning new homes to the highest bidder

Home builders are fending off so many interested buyers that they have had to stop signing new sales contracts in order to focus on catching up with existing orders. That’s according to a report in Bloomberg this week, which said that builders have been overwhelmed as buyers turn to the new home market to make […]

Lawmakers push for action on high lumber prices

Home builders say that the affordability of new homes will rest on the government’s ability to help reduce the cost of building materials such as lumber. The skyrocketing cost of lumber and other materials has pushed new home prices to record highs. At the end of March, the median sales price of a new built […]

New homes make up for a quarter of housing inventory

As the supply of existing homes for sale continues to dry up, it’s perhaps no surprise to learn that newly built homes are making up larger proportion of housing inventory in the U.S. With builders now trying to ramp up production where possible, newly constructed homes accounted for 25.7% of all single-family homes listed for […]