Fargo-Moorhead home builders tackle rising lumber prices
FARGO, N.D. (Valley News Live) - May marks the start of the Parade of Homes in the Fargo-Moorhead area, as people walk through the new houses on the market. However with the rising prices of lumber, it could make it more difficult for home owning and building.
“It’s a challenge getting materials also, we’re in a little different world right now. Even existing homes are moving really fast.” said Plecity Kowalski Construction owner Jason Plecity.
“Well it does make it a little bit more expensive to buy, but interests rates are extremely low so usually the interest rate being low is more important than the price popping on lumber and that kind of thing.” said Dietrich Homes owner Clay Dietrich.
Data from Markets Insider shows that the price for lumber has sky-rocketed since last year. For example, on April 30, 2020 the price for 1,000 board feet came to $319.70. Fast forward to same date in 2021, and the price has nearly jumped by 360% to $1,500.50. Despite the price increase for lumber and homes, there are some saying that now is a perfect time to jump right in.
“Yeah It’s certainly a factor but the interest rates are right and it’s a good time to be looking.” said West Fargo resident Greg Lardy.
“I think we’re on board to have a really great year,” said Dietrich Homes Design Consultant Heather Sagvold. “I think the interest rates being as low as they are helping to kind of offset that.”
Despite the parade being a way to get companies their name and brand out there, finding a home for a family means a lot to them as well.
“It’s a people business we’re you’re helping people achieve their dreams come to life and build a house that’s going to fit their needs and really work well for them.” said Dietrich.
“It just feels good that it’s their dream home and get all of the finished product like this and it all comes together.” said Plecity.
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