Eye On Housing
With the recent increases in the price of many residential construction materials, and in particular softwood lumber, NAHB wanted to get a better understanding of how these price increases are impacting remodelers. In the Q3 2020 Remodeling Market Index (RMI), remodelers were asked to report on material shortages, if any, as well as material price changes over the last six… Read More ›
Prices paid for goods used in residential construction climbed 1.8% in September (not seasonally adjusted) according to the latest Producer Price Index (PPI) report released by the Bureau of Labor Statistics. The index for inputs to residential construction, goods less food and energy (i.e. the “core”)—a less volatile price measure—increased 2.2% over the month. The core index for building materials has… Read More ›
(Note: lumber pricing continues to rise, so these numbers have been surpassed. See this post for an estimate updated on August 22 with a $16,000 impact.) According to NAHB’s standard estimates of lumber used to build the average home, the recent spike in softwood lumber prices has caused the price of an average new single-family home to increase by $14,116… Read More ›
Prices paid for goods used in residential construction increased 0.5% in January (not seasonally adjusted) according to the latest Producer Price Index (PPI) released by the Bureau of Labor Statistics. Building materials prices have increased 2.0% over the last 12 months and by 3.3% since January 2018. The average monthly increase since the start of 2018 has been 0.14%, with the largest… Read More ›
Prices paid for goods used in residential construction did not change in May (not seasonally adjusted) according to the latest Producer Price Index (PPI) released by the Bureau of Labor Statistics. As a result, building materials prices have grown much more slowly in 2019 (+3.1%) than they did over the same period in 2018, during which they increased 4.7%. Consistent… Read More ›
Softwood lumber prices fell 3.0% in November the second consecutive decrease for the index to the latest Producer Price Index (PPI) released by the Bureau of Labor Statistics. The producer price index for softwood lumber has fallen 23.6% (not seasonally adjusted) since setting cycle and all-time highs in June (see below). After the decrease, the index level is 9.6% lower… Read More ›
In a recent NAHB survey, over 40 percent of builders said construction costs in general are causing home buyers to hold back from purchasing a new home, and over 90 percent said that lumber prices specifically are hurting affordability. The results are consistent with yesterday’s post, which described a surge in the number of builders reporting a shortage of framing lumber. The new results… Read More ›
Shortages of framing lumber are now more widespread than at any time since NAHB began tracking the issue in a consistent way in 1994, according to results from the May 2018 survey for the NAHB/Wells Fargo Housing Market Index. Over 30 percent of single-family builders responding to the survey’s special questions in May reported a shortage of framing lumber, outdistancing the other 22… Read More ›
On November 2, 2017, the Commerce Department announced its final decision to impose duties averaging 20.83 percent on Canadian softwood lumber shipments into the U.S. The impacts of these duties on the U.S. economy next year will include increased production by U.S. sawmills, reduced imports from Canada, and higher prices paid for lumber by consumers in the U.S., which in… Read More ›
For several years now, the recovery in single-family home building has been hampered by shortages of labor and lots. Availability of building materials, meanwhile, has not been much of an issue. But that may be starting to change. In answer to questions on the May 2017 survey for the NAHB/Wells Fargo Housing Market Index, 21% of single-family builders reported a shortage… Read More ›