Lumber Prices At Record High Levels
It’s apparently not just homes that are up in value this year. Alas, now the materials most used in home construction are up as well. The cost of that lumber necessary to construct a house? For 2021, we are seeing an added cost of $24,000 per home.
Blame It On Covid-19
Just as we are blaming the national surge in values and corresponding lack of inventory on Coronavirus, it appears the virus is also at fault for low new home construction numbers. How so? Back in 2020 lumber mills were forced to shut down as the pandemic raged.
The result? A shortage of building materials even as new home buyers clamor for inventory! Hopefully, as the US and Canada get vaccinated, we’ll see more lumber mills reopening.
Boulder CO Makes Top 10 List According to Realtor.com
So it is probably comes as no surprise the town makes the list of the Top 10 most in-demand cities with soaring home prices.
Boulder is in good company; the list includes Bend, Oregon. There’s a city known for getting out and enjoying the great outdoors! Or how about Coeur d’Alene. There’s a spot renowned for the natural outdoors beauty and hiking trails. Alas, that locale also boasts a bevy of amazing lakes. Water views are little more rare here in Colorado.
Uncommon Statistic: Price Reduction
This stat is making the local Boulder real estate news. Why? When you back at prior years, we had a good deal more price reductions happening. But not so today. There were a mere ten in the prior thirty days. Why so few? Sellers perceive the market as moving to their price point. And homes are rapidly going under contract within a matter of days, frequently with multiple offers!
Mobility For All
Boulder has a new program out in Louisville. The goal? Car sharing and access to transportation for all. Neat concept and in line with other programs, such as our spectacular Permanently Affordable Housing!
Bill Winding It’s Way Through State House
HB-1195 “Regulation Of Radon Professionals” has my support as well as the Colorado Association of Realtors. The goal? Minimum qualifications and licensing for professionals related to radon mitigation.
Home Mortgage Rates Are Up
Historically speaking, rates are down. But in terms of the last six months? Rates in the two anything are history, replaced by the low three’s. With home mortgage rates increasing and the country getting vaccinated, there is a belief that home prices may stabilize or demand will ease.
President Joe Biden Proposes 1.5 Million New Sustainable Homes
The breaking news is that average home prices nationwide hit an all time high. Locally Boulder homes are hitting all time highs. When this pandemic ends, we are going to discover home ownership is more elusive than ever.
But take a look at Joe’s proposal. No guarantee it will pass. But, if it does, as part of that three trillion dollar infrastructure deal, we’ll have a serious nationwide effort at building more green, sustainable homes than ever before. That’s the sort of forward thinking that could really impact our housing market!
The Permanently Affordable goals in Boulder are totally different. Funding is not for entire homes, but as a value cap per home. And yet, that modest policy has had an impact on our marketplace. It’s exciting to see leadership thinking outside of the box!