Rising cost of lumber concerns in North Dakota
BISMARCK, N.D. (KFYR) - Lumber prices have soared to record levels and inventory has dwindled according to a National Association of Home Builders report released on March 16th.
Increased demand with a home construction boom early in the pandemic, and decreased supply because of supply-chain delays created a ripple effect that some North Dakota workers are preparing for.
“I think it’s coming. It’s affecting the cost of houses which could slow stuff down,” said Bismarck carpenter Pat Entzel.
Mill workers credit record interest mortgage rates for continuing to drive homebuilding in North Dakota.
“It has slowed down a little bit, it is still pretty steady, but it has slowed down a little,” explained Front Street Millwork & Lumber delivery driver Chris Knudson.
Price increases affect all aspects of a build.
“[Lumber’s] used for framing out the houses, to whatever you can dream,” added Knudson.
According to the National Association of Home Builders, builder confidence is also falling as builders worry for the state of the homebuilding market.
Subsequently rising costs are not only affecting builders, but home buyers as well.
Congress is asking President Biden to intervene with a legislative solution to contain the soaring prices.
South Dakota and Wyoming Congressional delegations are asking the U.S. Forest service to not reduce the timber yield at the Black Hills National Forest.
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