Lumber prices could hurt new housing ventures
By Terry Murry on Tuesday, March 9th, 2021 in Columbia Basin News More Top Stories
PENDLETON – The price of lumber is skyrocketing, up more than 110 percent over last year. The city of Pendleton is looking at a banner year with all the building projects on the drawing board, and the price of wood worries City Manager Robb Corbett.
“I hope it doesn’t affect our projects, but we’re open to the possibility that it could,” he said. “There’s just this huge demand on building supplies and we just don’t have the infrastructure, I think, to keep up with it.”
The housing industry had anticipated a slow start to housing this year, and that’s not what happened. New housing starts are reported to be up 30 percent, coupled with a surge in home remodeling.
The rising lumber costs are not just the result of increased demand. Supply is low, and it’s not just because the experts missed the mark in predicting market behavior. COVID-19 has caused mills to limit production in order to comply with social distancing.
The National Association of Homebuilders says the increased lumber prices are adding more than $16,000 to the price of the average newly-built home.
