Homebuilders grapple with land shortage, soaring lumber costs

By Alex Veiga | The Associated Press

U.S. homebuilders are poised to benefit this spring homebuying season amid strong demand, low mortgage rates and an all-time low inventory of previously occupied homes for sale. But soaring lumber prices and a shortage of construction-ready land could limit their ability to capitalize on the strong housing market trends, analysts say.

The price of lumber more than doubled over the last year to an all-time high, reflecting strong demand for new construction and home remodeling, and pandemic-related problems limiting production.

The sharp rise in the cost of lumber, among other building materials, is a concern to builders because it drives up costs,

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Homebuilders grapple with land shortage, soaring lumber costs

By Alex Veiga | The Associated Press U.S. homebuilders are poised to benefit this spring homebuying season amid strong demand, low mortgage rates and...