It is the question everyone is asking in the construction industry right now, “What’s happening with prices, and when will it come back down?” The short answer is, no one can say for certain.
What we do know are a few key principles that can help all of us be more discerning consumers of current information:
- Commodity Prices do not Equal Actual Costs - Many people have taken to following publicly-traded commodity indexes to understand where things are going. While this can give us some insight; many things affect the commodity indexes besides just the actual cost of the materials. For material markets that have been hit extremely hard, turning to trusted suppliers is the only way to know where prices are and what is to come.
- Supply Trumps Demand - In certain markets, such as lumber and PVC, an extreme shortage in supply is driving the price and... Read More >