Lumber Price Shift Suggests a 'Bubble That Has Burst'

After record highs, wood prices are plummeting, suggesting highs were just 'temporary shocks'

Chris Skidmore's fence is finally getting built. Per KTVB, the homeowner in Boise, Idaho, had planned one for his yard back in March, but due to a lumber shortage and resulting higher prices, he was soon informed the company he'd hired had run out of wood. Now, his project is back on the schedule for July as "lumber prices are falling back to earth," reports the Wall Street Journal. After a two-week decline, futures for July delivery ended Tuesday at $1,009.90 per thousand board feet—a 41% drop from the record of $1,711.20 in early May. Cash lumber prices are also falling.

https://www.newser.com/story/307436/after-hitting-record-highs-lumber-prices-are-falling-fast.html
 

After record highs, wood prices are plummeting, suggesting highs were just 'temporary shocks'

Chris Skidmore's fence is finally getting built. Per KTVB, the homeowner in Boise, Idaho, had planned one for his yard back in March, but due to a lumber shortage and resulting higher prices, he was soon informed the company he'd hired had run out of wood. Now, his project is back on the schedule for July as "lumber prices are falling back to earth," reports the Wall Street Journal. After a two-week decline, futures for July delivery ended Tuesday at $1,009.90 per thousand board feet—a 41% drop from the record of $1,711.20 in early May. Cash lumber prices are also falling.

https://www.newser.com/story/307436/after-hitting-record-highs-lumber-prices-are-falling-fast.html
That's good to hear...I need a new fence also, but was putting it off due the increase in lumber prices.
 
My son is a cabinet maker and during the Covid pandemic he was having a difficult time finding work. These days the phone is ringing off the hook and he can't get the wood he needs to do the jobs.
I hope the price does drop so he can fill these orders.
 

My DD & her husband started planning in 2019 to do a lot of remodeling on their home, had plans drawn up etc., laid all the groundwork. Of course they couldn’t get started in 2020 but when things started loosening up earlier this year they reactivated the plans but when it came down to nuts & bolts the projected costs had TRIPLED over all their original estimates.
So the plans are now on hold indefinitely.
 
The builders are understandably charging extremely high prices based on their present costs, the prices may come down but by how much. Once we’re trained to pay those prices, will we even know how much less to expect.

If I bought a new house based on today’s prices, you’d have a hard time convincing me to sell for less in a few years. I have no intention of buying or selling this year.
 


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