LOS ANGELES (AP) — Rising costs and shortages of building materials and labor are rippling across the homebuilding industry, delaying construction and prompting many builders to pump the brakes on how many homes they put up for sale.
Lumber futures hit their lowest level in more than a year last week after vaulting nearly fivefold to an all-time high in May.
The roughly 64% drop since then reflects an uptick in production and a pullback in demand from builders as prices skyrocketed. Still, the decline has yet to translate into lower costs for many builders.
Meanwhile, the industry is contending with a bevy of other elevated costs for windows, doors, flooring, roofing and other types of construction products.