With a shortage of lumber, prices continue to skyrocket causing headaches for the housing market

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(KLFY)- Chairmen of Acadian Home Builders Association Bill Schoeffler says the current house under his watch used to cost about $18,000 in building materials to complete.

Now, he says he is already at $41,000.

“It’s not so much a demand issue as much as supply issue. We see a lot of housing being built but there were a lot more before,” says Schoeffler.

With 40 plus years in construction under his belt, Schoeffler says the lumber shortage has driven prices sky high, complicating things for the housing market.

Schoeffler continues, “We were being told during COVID lumber producers weren’t producing as much lumber and anytime we see a shortage, prices increase.”

Since April 2020, the National Association of Home Builders say lumber prices have increased more than 300%.

The “price per thousand board feet” surpassed $1,100 in mid-April, up from less than $500 in June of 2020.

Schoeffler explains, “On average for the nation, a 2,000 square foot home escalated to $24-26,000 for supplies. The last numbers we received was $36,000, just in materials alone.”

About 1 in 4 houses for sale are newly built.

Historically that number was 1 in 10.

With the rising cost of lumber to build a house, Schoeffler says new home prices are rising sharply.

“This is the craziest I’ve seen it. It may have been worst or better, but definitely the biggest rollercoaster,” Schoeffler says.

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