The Hottest Home-Construction Market Since 2006 Is Lifting Lumber Prices

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Home builders, aided by low mortgage rates, are busier than they’ve been in years, boosting their shares but also the price of lumber

Builders are hammering away at more new houses than at any time since before last decade’s foreclosure crisis, and the construction boom is driving up lumber prices.

Lumber futures are up more than a third from lows reached last June, when bad building weather and overstocked yards caused an unseasonable slump. On Monday, futures for March delivery closed at $422.30 per 1,000 board feet on the Chicago Mercantile Exchange. Wood for May delivery was at $423.

 

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Trades persons wages should be higher.

But isn't there a glut of homes on the market nationally for which there will be no buyers because millennials are weighed down by student loan debt and crappy wages? Is this in SF, NYC area, Boston, and LA.? Because the numbers look bleak elsewhere.

Building junk in an inflated market. Awful vinyl boxes for half a million and more.

PeterSchiff

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