On Wednesday, March 17 the North Carolina Home Builders Association’s Virtual town hall was held for regions 4, 5, 7 and 10. As the AHBA is in region 10 we all logged in to see what the latest information from the state was, and to hear David Logan, NAHB Director of Tax and Trade Policy Analysis, speak on lumber prices and the projected path they may take.
Since a variety of supply chains got struck during the shutdown, imports into the US because volatile, creating a shortage of materials. Due to supply and demand, prices increased, as materials became harder to get.
This saw an all time high in lumber prices in 2020 and 2021. With lumber becoming about 10% higher now, than the record that was set in September 2020.
Prices in lumber aren’t the only ones going up. Steel is seeing a rather large increase as well. Members of the NAHB have also shared which stressors have effected them the most during the pandemic (see chart below).
According to the NAHB’s most recent blog on the subject,”NAHB continues to move rapidly and aggressively to engage the Biden administration on lumber and to urge policymakers to take immediate action to address skyrocketing lumber prices and supply shortages that are harming home builders, home buyers, remodelers and the economy.”
Working with the administration to bring down these costs is a top priority, and hopefully can bring some optimism to the future of lumber prices. Until then continue to share lumber testimonials with the NAHB, so they can present your concerns to congress. You can share your Lumber Testimonial here.