Escalating construction costs are a significant concern this year with new home starts reaching all-time highs and sustained interest in renovations spurred by owners spending more time at home or ready to proceed with projects deferred due to the pandemic. Increased demand and supply-side constraints have made lumber prices especially volatile, according to the National Association of Home Builders, which estimates that the unprecedented spike in lumber prices has added nearly $36,000 to the average price of a new single-family home in 2021.
Builders are looking for alternative products and construction methods to reduce their reliance on wood and help mitigate material costs and supply-chain disruptions for wood-framed homes and other construction.