Building ProductsNational Housing Market Outlook

Bloomberg Television: Home Builder Supply Chain Chaos Continues

Rick_Palacios_Jr_web

Rick Palacios Jr

July 8, 2021
The segment begins around the 12-minute mark

Our Director of Research, Rick Palacios, Jr., spoke on Bloomberg’s What’d You Miss? earlier this week. Rick discusses the current housing demand backdrop along with how builders are dealing with rising construction costs, product shortages, and extended lead times.

Additional talking points include:

  • In June, home builder construction costs (labor and materials) jumped 22% YOY nationally, with builders raising prices 20% YOY according to our survey.
 
  • Builders are pricing homes later in the construction cycle given the volatility in construction costs, product/labor shortages, and extended build times.
 
  • Seasonality has returned to housing, which is normal for summer but wasn’t the case in 2020 during peak-COVID housing insanity.
 
  • With summer upon us and people finally able to travel, we expect housing to become less top of mind for consumers, albeit with demand still going strong.
 

Follow Rick on Twitter: @RickPalaciosJr

Building Market Intelligence™

Every week, we deliver analysis to over 40,000 subscribers with our Building Market Intelligence™ newsletter. Subscribe to our weekly BMI newsletters to stay current on pressing topics in the housing industry.

About The Author

Rick Palacios Jr
Managing Principal, Director of Research
Rick oversees and guides JBREC’s research platform while coaching his team daily.

Contact Us

If you have any questions about our services or if you would like to speak to one of our experts about we can help your business, please contact Client Relations at clientservices@jbrec.com.

Products and Services Mentioned

Research Membership

Our research services enable our clients to gauge housing market conditions and better align their business and strategic investments in the housing industry. We provide a thoughtful and unique holistic approach of both quantitative and qualitative analysis to help clients make informed housing investment decisions.

Building Products Package

Our research subscription provides unparalleled expertise and a unique specialized perspective on new construction and remodeling, backed with exceptional data, for business planning and investor relation support.

Building Products Consulting

Our building products team is comprised of industry experts with diverse sector and functional experience. We partner across organizations to provide custom consulting reports to aid organic and inorganic investment decisions, strategic planning, and marketing.

Latest Insights

Earth, Wind, and Fire: NileBuilt Homes Defy the Elements
Design Disruption: Architects’ Floor Plan Forecasts
Keep, Stop, Start: Homebuilding’s Health Kick