11–20 of 553 posts
If the price keeps dropping at this rate lumber will be free by December! /s Seriously, this is a welcome correction, and another sign that runaway inflation fears were based on hyperbole.
https://www.wsj.com/articles/high-steel-prices-have-manufact...
Except... many builders will find some other reason/excuse where prices are high to keep prices high. We were looking at building a house - talked to builder last November and... looking at $470-$480k range (ballpark estimate). Lumber was going higher, but we'd reduced the house plan size. Lumber kept going up... and up... Then... no parts were available (IIRC certain trusses were unavailable for months, that's just one that stuck out).
We regrouped a bit later. House was now going to be min $620k, but... no guarantee it would be $650k or $700k. Builder has been working on spec homes in the $700k-$900k range last few months, whereas exact same size houses 1 block away they were building and selling in the mid-$400s 14 months ago.
Before we cancelled the project, we asked why we couldn't build something smaller and target a time in a few months, as lumber was coming way down to where it was 18 months ago. "Everything else has skyrocketed..." which... I know things have gone up some in the last 18 months, but I think there's simply some "get high prices while you can".
When talking to some home finance folks, they're all saying "watch out for HELOCs in 18-24 months - people will be clamoring for HELOCs as they won't be able to sell these $700k houses they're buying, because they won't have appreciated at all, and the homeowners will be trapped".
There may be 'blowout' prices on lumber itself, but around here I'm not seeing any 'blowout' prices on new construction in the short term.
If the price keeps dropping at this rate lumber will be free by December! /s Seriously, this is a welcome correction, and another sign that runaway inflation fears were based on hyperbole.
The new runaway inflation is in steel prices. https://www.wsj.com/articles/high-steel-prices-have-manufact...
I’ve been following these prices closely for most of the year and what’s striking to me is just how wrong nearly all the industry experts were throughout the year. I don’t recall reading a single opinion that was anything other than “prices will remain very high for the foreseeable future.”
If the price keeps dropping at this rate lumber will be free by December! /s Seriously, this is a welcome correction, and another sign that runaway inflation fears were based on hyperbole.
"If high prices held you back from building, you are in luck, as the tables have now turned" Except... many builders will find some other reason/excuse where prices are high to keep prices high. We were looking at building a house - talked to builder last November and... looking at $470-$480k range (ballpark estimate). Lumber was going higher, but we'd reduced the house plan size. Lumber kept going up... and up... Th…
If the price keeps dropping at this rate lumber will be free by December! /s Seriously, this is a welcome correction, and another sign that runaway inflation fears were based on hyperbole.
Wait, people were saying/thought that this was runaway inflation and not a result of supply chain issues because of COVID and tons of people suddenly having to spend way more time in their house because of COVID? Maybe I'm ignorant of the inflation argument more than anything else but it doesn't even pass the sniff test in my opinion.
"If high prices held you back from building, you are in luck, as the tables have now turned" Except... many builders will find some other reason/excuse where prices are high to keep prices high. We were looking at building a house - talked to builder last November and... looking at $470-$480k range (ballpark estimate). Lumber was going higher, but we'd reduced the house plan size. Lumber kept going up... and up... Th…