Over the past year we’ve seen unprecedented increases in the cost of lumber, making home-building much more costly. Cost of lumber is now starting to decrease and supply chain issues are improving, but does that mean it’s the right time to build? 2021 has not only brought supply chain issues and increased building costs, but we’ve also experienced extremely low inventory of homes for sale.
In Otsego County the number of homes sold in 2021 was down over 20% compared to 2020. This low inventory has created a huge demand for new homes, which causes an increase in demand for home-builders. This NPR podcast discusses how this increase in demand for new homes is giving builders the advantage and leaves home-buyers competing with investors.
** Water Wonderland MLS Data from 2020-2021 used for this article