I’ve just plugged in all the units from today’s quoting, and am seeing framing lumber (SPF) costs at about $588/mbf, against a figure of $465 for January 4.
I’ve got a framing package of about 21 mbf, with an escalator clause in my contract with the client, that uses the January figure as a base, so as of today, we’re looking at an adder of $123 x 21, or $2,583, before OH&P.
The contract clause includes January units for all panel products, also, and with higher figures now than then, the panel adder will exceed the stick adder, but not by much.
I’m surprised at the sticks increase. Have you seen similar rises?
Replies
Buying lumber has always been fairly volitile. some lumberyards will adjust their prices somewhat in order to smooth out some of the lumps but when they do it's aways at prices somewhat above currant market levels in order to accomodate that volitility.
Your relationship with that lumberyard will tell you a great deal about how they view you as a consumer.. It shouldn't be any surprise that those who do the most business with that lumberyard will pay the least while someone who orders one house at a time will be rather high up on the cost structure..
I deal with several builders who order train loads of woods at a time and they carefully time their purchases for the market lulls..
Around here that is any time from the middle of January to after the road restrictions come off the roads.. The lumberyards get worried while their inventory levels climb and the prices get extremely soft during Febuary and March.
By April with road restrictions removed and new foundations going in without the frost premium Lumber prices are traditionally up a significant amount.
In the hardwood market (which I follow rather carefully) prices have softened dramatically..
Lumber goes up just about every spring.
Lumberyards keep their inventories low during the winter, as demand is down. But they buy a bunch of it in the spring.
Lumber treaters buy a bunch of stuff in the spring, as they know everyone will be wanting a deck.
And the weather is often wet, keeping loggers out of some parts of the forests.
Honestly, I'm surprised that you're surprised.
Gene,
I was in a local yard today. The owner showed me a material quote for a home. He had quoted the same project in '99, but it did not get built.
Results:
Studs were within a couple bucks total.
Sheet goods (osb) $5/sheet more
Drywall cheaper.
I-joist floor system, about $200 more.
All in all he said it was really close. Surprised the heck out of me.
I'd be interested to see the difference in labor, and subs.
They probably should have built it in '99.
Brudoggie