After facing extensive backlogs and seemingly endless supply chain disruptions, one Wisconsin builder found relief in an early Christmas package of floor trusses that had been on backorder for weeks. Janesville builder Jeremiah Henthorn isn’t the only regional builder holding out for more holiday miracles. Instead, his supply chain woes reflect a much larger situation for the construction industry as prices for building materials reach all-time highs and shortages put added pressure on construction crews to reach project deadlines.
According to Henthorn, inflation is easing for lumber and other building products, and high demand means a lineup of projects to keep workers busy until the end of 2022, but order delays could throw off construction timelines and many materials are still in short supply.
Some homes being built and finished now are sourced with materials that would have sold during a peak in demand that coincided this summer with an epic shortage of supplies. Until very recently, Henthorn said, it’s not been uncommon to see a two- or three-month delay in the delivery of finishing materials such as cabinetry.
For new houses, electrical and electronic appliances continue to be in short supply, he said.
Henthorn said he’s not surprised when he hears some houses ultimately are being built for $50,000 to $75,000 more than what a buyer might have paid for the same house a year or two ago. But that has not seemed to slow the pace of new home building.