flexiblefullpage - default
Currently Reading

Record Lumber Prices Have Added 14K to the Cost of a Single-Family Home

billboard - default
Building Materials

Record Lumber Prices Have Added 14K to the Cost of a Single-Family Home

Lumber prices have suffered a number of highs and lows throughout the pandemic, sending the cost of single-family and multifamily properties soaring 

July 15, 2022
House roof framed with lumber
Image: Stock.adobe.com

Lumber products have been subjected to extreme price volatility throughout the pandemic, adding an average of $14,345 to the price of a new single-family home and an average $5,511 to the market value of a new multifamily home, NAHB Eye on Housing reports. The increase in multifamily value brought on by fluctuating lumber prices equates to households paying an additional $51 a month for rent.

Along with costly softwood lumber products, plywood, OSB, particleboard, fiberboard, shakes, and shingles saw notable price changes throughout the last several years, forcing builders to adapt and homebuyers to expand their budgets.

The bottom line is that the changes in softwood lumber prices that occurred between April 2020 and July 2022 have added $14,345 to the price of an average new single-family home and $5,511 to the market value of an average new multifamily home. Based on the average rent-to-value ratio in  most recent HUD/Census Rental Housing Finance Survey, the increase in builder cost and market value for a multifamily structure means tenants pay $51 more a month to rent the average new apartment due to the change in softwood lumber prices.

Read more

Related Stories

Building Materials

Led by Ready-Mix Concrete, Building Materials Prices Inch Higher

Ready-mix concrete prices are rising at a historic pace, and prices for other commonly used building materials aren't far behind

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

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

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.