There’s no other way to put it: construction costs are going through the roof. This February, lumber prices in the US hit a record high–double what they were at the end of last year. As contractors around the country are scrambling to keep up with rising prices and delays, consumers also feel the pinch. But trusted roofing contractors around the country are working to offer clients quality and value as prices rise. And with no relief in sight, playing the waiting game isn’t the best approach for needed repairs or roof replacement.
Why Are Building Costs Rising in 2021?
According to the National Association of Homebuilders, record-high lumber costs add $24,000 to the average price of a new home as of February of 2021. We see the impact of materials costs in every aspect of the roofing industry, including lumber, metal, and shingles. At the beginning of 2021, major roofing shingle suppliers informed contractors that prices would rise 4 to 6 percent. And contractors are expecting additional price increases as the year moves forward.
The bottom line is that the COVID-19 crisis is driving materials costs higher. Many of the building materials we use in construction products are imports. According to the global supply chain software company GEP, 30 percent of building materials in the US come from China, and another 20 percent each is sourced from Canada and Mexico. The massive global impact of COVID creates supply chain issues while also affecting domestic supply. According to NASDAQ, COVID has dramatically impacted output from China’s factories. COVID outbreaks have also caused bottlenecks at ports, further reducing supply and increasing prices. These global forces hit home at the local level as contractors and consumers feel the squeeze.
How Can I Get Great Value Despite Rising Costs?
For contractors, it’s impossible to avoid passing some of the rising materials costs on to consumers. Consumers can also expect delays and limited choices in materials. Delays of 60 to 90 days in receiving materials are the new normal. For example, new windows can take two to three months because of supply chain issues. Keep in mind that shingle and siding manufacturers are prioritizing specific colors and materials, so choices are more limited than usual.
At the same time, contractors are working hard to keep costs in check. We’re using “value engineering” when possible–using less expensive materials while keeping quality high. For example, consumers may choose Oriented Strand Board (OSB) rather than plywood sheathing to bring costs down. However, while there are ways to cut costs and still keep quality high, we don’t want to skimp on materials. If materials seem unrealistically inexpensive for the DC market, your contractor may be sacrificing quality.
Quality and Value in a Hot Housing Market
As construction costs skyrocket, focusing on quality and value when replacing a roof, windows or siding is a winning strategy. Remember: few improvements boost resale value like a new roof. Housing values are going up right along with construction costs, especially in highly competitive Northern Virginia. You may be spending more on roof replacement, but your house’s resale value is also rising.
Should I Wait to Replace My Roof?
Experts project that construction costs will continue to rise in the foreseeable future. So holding off on needed improvements isn’t the best approach. In fact, with further price bumps expected, acting now on roof replacement and other improvements makes sense. The main takeaway for consumers is to plan ahead for window replacement, roofing, and siding because it takes longer to get materials, and prices will continue to increase.
DryHome’s Commitment to Quality
The COVID pandemic has created challenges for businesses and families on so many levels. But excellent construction and home improvement projects continue to happen every day in Northern Virginia. The desire for high-quality roofing and siding replacement and repair is still strong in our region, especially as we move into spring. Despite supply chain challenges, DryHome continues to focus on quality and boosting your home’s value while offering fair and competitive prices. Our team of professionals is top-notch. And we can direct clients toward products that represent excellent value without sacrificing quality. DryHome offers financing to make pricier jobs doable for all of our clients. We’re also committed to transparency with customers about pricing and availability as we navigate these unprecedented times together.
