It is no surprise that the pandemic has changed many things, and we have yet to see the long-term effects. Through all the ups and downs, Oklahoma is holding strong.
The housing market has been on fire with homes selling as fast as the first day they are listed. Nationally, the demand has been greater than the supply. This has led to drastic price increases with some new construction homes seeing more than $30,000 in equity before being completed.
TimberCraft has been building through all the changes and hurdles the pandemic has brought with no sacrifice in quality. In this post pandemic season, we are starting to see some of the effects as we try to normalize. This means a different experience for people looking to build a new home that may have done so in the past. According to Forbes if you are looking to build in 2021, here are the top 3 challenges you should know about :
Availability of Materials
The lockdowns in 2020 slowed production for most manufacturing companies, and even completely halted some. Now as the demand returned, there have been shortages in available materials. This translates to longer delivery times for many essential items if they are even available. For builders, this has caused construction to slow down. For example in the article from Forbes said, “the lead time for appliance delivery is 12 to 16 weeks instead of two to three weeks”.
Price of Materials
When supply is short and the demand is high, prices skyrocket. The pandemic is no exception. Wood prices went up more than 300%. Steel prices are up 200%. Prices are starting to come down a little bit, but it is a long road ahead until we see anything close to pre-pandemic pricing. Despite the cost of materials going up, the demand for new construction homes has not died down.
Extended unemployment benefits have caused a shortage in the workforce, limiting operations for many companies. Limited operations cause delays but also take a toll on workers trying to make up the difference being understaffed. Consumers are faced with delays, increased wait times and less then opportune availability depending on the company.
As things continue to normalize make sure to ask a lot of questions. Knowing the process and being informed, will help you navigate during these extraordinary times. Reach out to a TimberCraft Community Manager that will walk right along with you through the entire process of building your home.