U.S. Bureau of Labor Statistics, Producer Price Index by Commodity: Lumber and Wood Products: Softwood Lumber [WPU0811], retrieved from FRED, Federal Reserve Bank of St. Louis; https://fred.stlouisfed.org/series/WPU0811, June 24, 2021.
The latest news and updates on the 2021 lumber prices and how hardwood and softwood lumber are affecting the remodeling industry. This curated collection of lumber news will help remodelers stay informed with data from the National Association of Home Builders, economic data, and more.
Updated: July 23, 2021; 9:30 a.m. CT
Western Wildfires Lift Lumber Prices
July 22, 2021
"Wood products are the latest commodities to be roiled by this summer’s extreme weather."
What Is the Remodeling Cost Disconnect?
July 20, 2021
The prices of materials may decrease, but other factors will keep overall costs high. Training your team is crucial for navigating this disconnect.
The Lumber Bubble Finally Pops—Erasing All of its 2021 Gains
July 20, 2021
"Only now that lumber has erased all of its 2021 gains, industry insiders are surprised buyers aren’t returning faster to scoop up the discounts."
Who Can Shorten the Supply Chain for Home Building?
July 13, 2021
The vulnerability of the supply chain has been exposed by manufacturing shutdowns and slowdowns induced by the pandemic, winter storms, and bottlenecks at ports, coupled with robust demand for new-home construction. But those fractures also reveal an opportunity for whichever entity can shorten that chain for home builders.
As Lumber Futures Fall, Cost Of Home Construction And DIY Projects Could, Too
July 9, 2021
"At its peak in May, a spike in the price of lumber added $36,000 to the average cost of a new single-family home in the U.S., pricing out many potential buyers."
What Does the Volatility of Lumber Reveal About the Economy?
July 9, 2021
Throughout the chaotic rise and fall of lumber prices, the price of raw lumber stayed relatively consistent, according to NPR. Instead, slowed sawmill production and other supply chain issues pushed lumber prices to new heights, reaching $1,514 per thousand board feet in May of 2020.
What’s With the Lumber Price Disconnect?
July 7, 2021
If lumber futures and mill prices are declining by double-digit percentages, why not the street prices builders are paying?
Lumber prices continue to plummet—down 49% from the peak
July 7, 2021
"Factory work stoppages during the pandemic, coupled with our now swift economic recovery, have created an unprecedented number of shortages, of everything from used cars to avocados to palm oil. Among the most economically consequential of these is the shortage of wood products, which prompted the price of lumber to climb 300% above its pre-pandemic price this spring."
Lumber prices dive more than 40% in June, biggest monthly drop on record
June 30, 2021
"The great lumber bubble of 2021 has popped. After a jaw-dropping rally this spring, lumber prices have come back down to earth as supply increased, speculative trading action cooled and homebuilding demand eased. Lumber futures tanked more than 40% in June alone, suffering their worst month on record dating back to 1978."
Lumber V: The Latest in a Decades-Long Dispute Over Lumber
June 29, 2021
Despite a fall in lumber prices, costs are more than double pre-pandemic levels, but there remains a disagreement on why prices are so high and what the solution could be. The United States and Canada have feuded over softwood lumber since the Reagan administration: The U.S. supports higher tariffs on Canadian lumber imports to strengthen domestic production, but Canada deems it unfair.
Material Issues Spark Interest in Building Innovations
June 28, 2021
Exploring the use of alternative methods and materials, such as structural insulated panels and modular construction, has been one way some builders have responded to elevated lumber prices. MiTek, a company that provides integrated software, services, engineered products and automated solutions for the building industry, aims to further streamline modular construction by giving contractors the parts to assemble on-site rather than sending full modules.
How the Lumber Industry Misread Covid and Ended up With a Global Shortage and Sky-High Prices
June 28, 2021
"A pandemic surge in home buying and renovation sent lumber prices soaring. They may never return to normal, experts say."
Federal Reserve Chair Says the Economy’s Future Lies in Lumber
June 23, 2021
"Lumber’s twists and turns resulting from the pandemic are Federal Reserve Chair Jerome H. Powell’s guide to the future of the U.S. economy."
Lumber Prices Finally Cool as Demand Relaxes
June 21, 2021
"The demand for lumber from builders, remodelers, and at-home DIYers helped drive prices up to $1,600 per thousand board feet, but recent price declines reflect dwindling demand and ramped up production."
Building with Bamboo: An Interview with BamCore
June 18, 2021
Would you build a home with bamboo? BamCore says its wall system offers greater strength and sustainability compared to traditional lumber.
Doing Business in Uncertain Times
June 07, 2021
Material shortages and delays have dealt the largest shock to project costs during the pandemic. Here's what remodelers have learned.
High Lumber Prices Hurting Remodelers, Home Buyers
May 25, 2021
NAHB Chairman Chuck Fowke shares what NAHB is doing to combat rising lumber prices.
Meet the Beetle Ravaging Canadian Forests, Driving Up U.S. Lumber Prices
May 5, 2021
Growing demand for softwood lumber spurred builders and remodelers to dip further into the Canadian supply, which has been ravaged by wildfires, climate change, and one hungry headache: the mountain pine beetle.
3 Remodeling Industry Updates From NAHB
What is new in the industry? The National Association of Home Builders shares updates that remodelers should know, including lumber.
7 Tips for Estimating Remodeling Projects With Rising Lumber Costs
March 08, 2021
Massive increases in lumber prices are causing project estimates to go up exponentially. Here, a leading NAHB remodeler reveals how he is handling the issue.
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