Lumber Price Spike Increases Cost of a Single Family Home by $16,000

Aug 28, 2020

NAHB reports that the spike in lumber prices which occurred between April 17 and Aug. 21 has caused the price of an average new single-family home to increase by $16,148, and the market value of an average new multifamily home to increase by $6,107.

According to an article on NAHBNow.com, “NAHB calculated these average home price increases based on the softwood lumber that goes into the average new home, as captured in the Builder Practices Survey conducted by Home Innovation Research Labs. Included is any softwood used in structural framing (including beams, joists, headers, rafters and trusses), sheathing, flooring and underlayment, interior wall and ceiling finishing, cabinets, doors, windows, roofing, siding, soffit and fascia, and exterior features such as garages, porches, decks, railing, fences and landscape walls.”

To read more about this spike in lumber prices and its subsequent effect on home prices, read the full article from NAHB here.