Lumber Prices up 170% as Builders Experience Construction Delays
March 25, 2021
The Covid pandemic has affected all areas of our lives and new home construction has not escaped that reality.
According to the Associated General Contractors of American, 90 percent of all home builders in the country are experiencing delays in construction due to the inability of getting building materials vital in the construction of a home. Not only are materials difficult to find, but prices have skyrocketed.
The price of lumber reached a record high last month, up more than 170% over the last 10 months.That adds thousands of dollars to the cost of a home, delays construction starts, and disrupts closings, according to the National Association of Home Builders.
Prices of building materials such as glass, drywall, and roofing are also up as well as insultation, trim material and doors. Appliances are very difficult to find on a timely basis.
Even more frustrating for builders and buyers is the difficulty in keeping to a forecasted construction schedule and projected closing date when delays in getting materials is almost guaranteed to slow or even stop construction.
In some cases, we have to have Buyers come into the Design Studio and re-select an item that we can no longer get – such as brick – because manufacturing of the item has temporary or permanently closed. We are ordering certain materials well in advance in the hopes that materials with a long lead time like windows, brick, and cabinets make it to the job site on time.
At Grant, we are doing everything possible to keep the communication lines open so that our Buyers know when we hit a bump in the road. We are trying to make sure Buyers know in advance when a delay in closing is likely to occur.
We want our Buyers to know that we are working hard to keep things moving and to deliver the Grant home you deserve. We ask for your patience and your prayers as we all move back to our “normal” lives. Please bear with us and know that, in the end, you will have that beautiful new home.
If you have any questions or concerns, or if you would like to discuss these issues, please reach out to your Grant neighborhood sales agent for answers.