flexiblefullpage - default
Currently Reading

Lumber Prices Fall to Lowest Level Since 2020

billboard - default
Building Materials

Lumber Prices Fall to Lowest Level Since 2020

Lumber prices have plummeted to their lowest level since June 2020 as builder confidence falls for the 11th consecutive month

December 7, 2022
Man in warehouse transporting lumber
Image: Stock.adobe.com

Lumber prices fell to their lowest level since June 2020 on Monday as surging mortgage rates continue to slow home sales and put a major dent in home builder confidence. The once red-hot commodity fell 9% in three days to a low of $382.80 per thousand board feet, down 64% year-to-date, Insider reports.

Existing home sales fell 6% month-over-month in October as a growing share of buyers refused to stretch their budgets in order to afford home purchases in a high-cost market, and the decreasing demand caused home builder confidence to fall for the 11th straight month to its lowest level in a decade.

All of this has put a dampened mood on the outlook of US home builders, who drive a bulk of the demand for lumber as they embark on new construction projects.

The report showed that builders are adding more buying incentives to spark sales of new homes, signaling how higher mortgage rates have taken a toll on prospective buyers. That's why any reversal in this year's sharp uptick in interest rates could have a strong effect in shoring up confidence in the US housing market. 

Read more

Related Stories

Building Materials

After Years of Record Gains, Building Materials Price Growth Slowed Significantly in 2022

Building materials prices fell by 60% in 2022, though some products are still posting steady gains

Building Materials

As Softwood Lumber Falls, Concrete Prices Soar to New Highs

The PPI for ready-mix concrete reached a new high in November after rising for 21 of the past 22 months

Manufacturers + Suppliers

The Downfall of the ‘Just-in-Time’ Supply Chain Model

As delays and material shortages become commonplace after the devastating COVID-19 pandemic, businesses are shifting from a 'just-in-time' supply chain model to a 'just-in-case' strategy

boombox1 -
native1 - default
halfpage2 -

More in Category

native2 - default
halfpage1 -

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.

Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.