BIG Changes in Lumber Prices Set to CRUSH the Housing Market

#housingmarket #realestate #lumber

Lumber Futures Prices have crashed by over 300% since reaching record highs back in 2021. Is this going to lead to further price deceleration in the housing market?

Homebuyers and real estate investors focus on the price of lumber especially after seeing what happened during the last few years when lumber prices forced many would be homebuyers out of the market, but now we highlight the correlation between home prices and lumber prices. We also delve into the relationship between how home builders decide to price their new housing units dependent on their cost of goods sold, in this case their cost of lumber.

Now with lumber's huge collapse over the last few months, home builders are now in a very different position than they were last year. Home builders have much greater pricing flexibility when it comes to price reductions and the other closing perks they’re currently offering new homebuyers. The question is when will these large home builders, like PulteGroup and DR Horton start to get serious about cutting prices? Make sure to watch the video to hear the answer!

The data used in this video comes from Census.gov, Nasdaq, #Zillow, and Goldman Sachs.

This video is not financial advice.

Want access to the housing market maps to track how far your metro's home prices are from pre-housing bubble: https://app.snapforce.com/prodigy/checkout.php?vid=lumber%20prices


Did you miss our previous article...
https://trendinginrealestate.com/real-estate-trends/highgrowth-industries-2023-top-8-highgrowth-industries-2023