If you’re someone who likes to stay up-to-date with the latest home remodeling trends, you’ve likely heard of lumber. Moreover, if you’re planning to purchase or remodel a brand new home, you need to factor in the skyrocketing prices of lumber. In fact, these have doubled since last year!
The sudden surge in lumber prices is likely due to the home improvement craze that the current pandemic brought. The changing customer behavior led to basic materials becoming pricey and hard to find.
Some Americans believe that various memes increased their trips to Home Depot. Regardless, the price of lumber has boosted significantly, and it’s becoming a trendy commodity. Let’s take a step back and discuss the underlying reason for the soaring prices:
Why is Lumber so Expensive Right Now?
According to in-depth research by the National Association of Home Builders, the value of lumber has increased by over 200% since April last year. In fact, the price per thousand board feet exceeded $1,100 by mid-April from an evaluated $500 in June 2020! If you’re wondering why here it is:
Covid-19 and Increasing Prices of Lumber
Studies by Business Insider reveal that the cost of lumber went up by 250% in the previous year. The National Association of Homebuilders states that it also adds more than $24,000 to the price of an average, single-family home.
Like various other products, lumber prices rose amid the pandemic. As multiple mills across the nation either shut down or slow operations, lumber became scarce. Furthermore, a surge in home improvement projects and the current building season has led to the increased demand for lumber. All the while production rate remains low.
Some experts predict that prices will skyrocket further, whereas others agree that the costs will drop in the coming 18 months.
Biden’s Role in the Increasing Prices of Lumber
One trend prevalent across social media sites is Americans blaming Biden for the increasing prices of lumber. On April 8, a Facebook post caught the attention of millions of users by its attention-grabbing caption. The headline read, ‘America held hostage, day 79 of living in leftist-imposed hell.’
Unfortunately, the post contains a comprehensive list of rising prices for plywood since March 2020. It also claims a 252% increase in one of the most common types of lumber used. Since the inflation dates back to March 2020, most of it falls under the former Republican president, Donald Trump.
To Sum it Up
The fact is that the pandemic hasn’t just caused a shortage of toilet paper and cleaning supplies. Instead, it’s causing a lack of other products, like lumber, as well.
As a result of the pandemic-driven shortage, the prices of lumber have skyrocketed, thus complicating projects for the housing market. It has also driven the costs of construction projects sky high.
In turn, expensive building materials that increase building costs mean fewer people will afford to build their dream home. Most experts believe that it is impossible to judge when, if at all, the prices of lumber will come down.