Lumber prices fall in futures market but decrease hasn’t reached builders

Nathan Law

Lumber prices fell off a cliff in June after climbing that mountain at a record pace during the pandemic.  The price plummeted 41.8% last month, from $1,267.50 per thousand board feet June 1 to $737.40 on June 30, according to the Nasdaq website.  The steep decline happened after a record high of $1,670.50 on May […]

Lumber prices fell off a cliff in June after climbing that mountain at a record pace during the pandemic. 

The price plummeted 41.8% last month, from $1,267.50 per thousand board feet June 1 to $737.40 on June 30, according to the Nasdaq website. 

The steep decline happened after a record high of $1,670.50 on May 7. That was an increase of more than 600% since April 2020, according to CNBC.

However, the futures market rate for lumber hasn’t resulted in lower costs for builders and home buyers yet.

A home under construction by Regal Builders in the Noble's Pond community near Dover.

“While we are hopeful that lumber prices will begin to stabilize and have a direct impact on home building, we haven’t seen the prices come back down yet on our end,” said Justin Olear, president of the Builders and Remodelers Association of Delaware.

Olear is also vice president of operations and construction at Regal Builders, a family-owned company founded over 35 years ago, based in Dover. He said he and his family have never seen lumber prices fluctuate so dramatically.

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