Posted on 05/18/2021 11:56:37 AM PDT by PPSman
Housing prices are soaring and there appears to be no end to the advance. Prices are now accelerating at the fastest rate in over 15 years.
A combination of lockdown-related bottlenecks, limited labor availability (thanks to over-the-top unemployment payments that give potential workers incentive to just stay home) and, most significant, massive printing of money out of thin air by the Federal Reserve.
In a monthly sentiment survey of builders, they reported higher costs for lumber, steel, gypsum and copper, some of which have hit record highs this year. Not to mention the limited labor. Construction employment stalled in April and actually fell below its pre-lockdown peak, according to the Bureau of Labor Statistics.
So what are homebuilders doing in cases where a home is sold but not completed?
(Excerpt) Read more at economicpolicyjournal.com ...
Have heard of one case thus far. The increase was 45k
This is what you do in a world of hyperinflation.
Cripple new house builds. Cause existing homes to spike in price even further. For those of us in Texas, a corresponding property tax bill that will start to spiral out of control.
I’m getting old. My next house will be a one-story or else it will have one of them Escalator things.
Won’t need to worry about this for very long....
Just had a new roof intalled on my office building yesterday. The guy we used buys 5 semi truck loads of popular shingle colors each winter.
He quoted me the job back in January and I figured he would hit me up with a sad story yesterday about rising shingle cost but he kept the quote because he bought last winter.
why? what do you think will happen?
It’s easy to fight inflation. Just buy less. I was going to put up a wooden fence this spring. I have no problem waiting till next year now. That’s how you fight inflation.
At this rate, the scrap lumber in my garage will be valuable barter.
Maybe scr** those stupid owls and reopen the forests to lumbering. Of course that would be common sense. Burning takes the wood down faster. Good thing the burning doesn’t add any of the no nos to the atmosphere. s/
Referb an old army ammo bunker and paint windows on the walls. May be a bit drafty but you can park your car inside at night.
Yup...just thinking about that myself.
Housing prices spiking right about now, isn’t a good thing.
Fully agreed
My brother’s new house south of Fort Collins has increased $90 K over the past 6 months.
lumber futures prices are currently about 30% off the highs of last week ... locked limit down ... again ...
I work the northern half of NJ for a LARGE cabinetry company (production builders).
Right now, the volume is insane! I’m going insane because of it.
Supply chains are broken. Builders cannot get the basics - windows, doors, stairways, etc.
My father told me for years to buy a single story when I got older
Sure glad now that I took that advice
I was quoted $14,000 for a new driveway- and it’s a short driveway. The contractor told me the price of concrete has skyrocketed..
Housing collapse.
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