Record lumber prices adding thousands of dollars to new home building costs

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Soaring lumber and wood panel prices are adding thousands of dollars to the cost of building a home in Canada as strong renovation and new housing demand meets a shortage of supply.

The latest price list from research firm Random Lengths shows SPF two-by-four boards at a "mindboggling" record level of US$760 per thousand board feet, up $82 on the week, according to Kevin Mason, managing director of ERA Forest Products Research.

Homebuilders say the increases this year to date will translate into $8,000 to $10,000 more to build a typical single-family house in Canada. But Bobby Richardson, whose Woodlands Mountain Homes builds five or so custom homes per year in Bow River Valley communities west of Calgary, says he has no choice but to pass his higher costs on to current customers.

"The companies have purchase orders sitting on the desk and it's, like, when you get product, send it to us, and just tell us what we owe you. Buyers don't care. Right now, it's an absolute panic, a scramble to get product."

Source: Real Estate Daily Report (realestatedailyreport.net)

 

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Our son, recently laid off as a Civil Engineer, cannot even get lumber in Hamilton to attempt to do a few renos to feed the family... All the Stores there are experiencing shortages.

You can do all non loaf bearing walls in toothpicks if you wanted too, this is just going to send more people to one buck econo studs and rough cut.

I build decks and can't get any materials , can't make money this way.

Yet we still cut old growth to export. Logging has fed my family in the past, but that was the past. Things need to change and our government needs to grow a spine.

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