How The Rising Cost Of Lumber Is Actively Impacting The Market For Existing Homes
By: Rick Giese RE/MAX First
In a top concern for years, homeowners and builders alike have a new factor to keep in mind.
Regardless of politics or a pandemic, demand is outpacing supply due to the rising cost of lumber prices. COVID, trade tariffs, and relentless wild fires on the West coast are a few main causes.
There are a couple of tips to keep in mind with this currently impacting the market for existing homes.
First, if thinking about building during this time, home owners will benefit from first making sure they have a final quote to remain within their budget and timeline.
As a former chairman for the National Associations of Home Builders notes, "Builders have had to give [customers] their deposit back and say, 'I can't build your house because of the price of lumber'."
Staying ahead of this will help to avoid any consequences linked to delays.
Second, communication with a lender (and contractor) is key. This will allow clients to avoid the potential frustration of securing a loan, being blindsided with a higher quote, and having to try to increase the value of the loan at the last minute.
Plus, it will help ensure thousands of dollars that have gone into permit fees and deposits with contractors aren't wasted.
Overall, housing demand is still incredibly strong and is expected to remain high for the near future.
To see what your home could sell for in the current seller's market, take a look at this home value calculator, which is based on recent Michigan sales:
And if you have any questions about listing your home in these current conditions, or are even ready to kick the process off for real, give me a call Rick Giese
As always, reach out to me Rick Giese via phone 586.242.3100, email firstname.lastname@example.org, or Facebook MacombCountyLifeStyles.com If you have questions about this or any other real estate topic. I'm happy to help!
Rick Giese RE/MAX First