07/09/2021
👍The high price of lumber dropped significantly in late June—offering hope that the construction industry can ramp up its home-building efforts.1 Here is more on the situation:
🌳 Lumber prices—measured in dollars per thousand board feet—peaked at $1,670 on May 7. On June 21, however, the closing price on the futures market was $897. However, this figure still dwarfs the April 1, 2020, price of $260.
📊 Recent price hikes can be traced to the closure of small U.S. lumber mills during the Great Recession, which led to a reliance on Canadian lumber. A beetle infestation, widespread wildfires, and increased building and remodeling demand also contributed to the price spike.
👀 So why the recent drop? A classic case of supply and demand. Vaccinated workers are returning to mills to increase output, while builders have cut back on projects due to high prices. Meanwhile, DIYers have returned to offices and have less time for home renovations.
🏡With a return to new-home construction expected (and very much needed), I am here to answer questions have about the purchasing process for a new build.
⭐Let’s stay in touch.👍
Iron Gate Team!
407-537-9165
