Lumber prices fall after pandemic shortages

Published: June 24, 2021 9:12 AM EDT

Good news for all the builders and families trying to make ends meet: prices of lumber are starting to go “timber” after unprecedented spikes related to pandemic shortages.

The price went from $1,600 per thousand feet during COVID-19 to about $200 less, a decrease of around 10 to 11%.

Many people are moving to Southwest Florida, and some of them are building new homes: Over 5,000 people have moved to Fort Myers alone since January. Alejandro Gibbs, CEO of Diamond Gulf Construction in Cape Coral, says this is the reason why prices of lumber are falling.

“I think that the decrease has been based on getting new supplies,” Gibbs said. “I think that plants… [have] been opening up north again, you know that the restrictions [have] been taken off and right now has created possibly more… offers outdoors, and people can get more supplies.”

While the prices of lumber were going up last year, we also saw an increase in the amount of theft around construction sites because supplies were so expensive. Gibbs says that plywood and windows have frequently been stolen from his company’s sites. While he doesn’t know whether this drop in the price of lumber will have any impact on crime, it will definitely impact his business.

“It will be getting better and better on that, saving the price, possibly being able to go back to the wood frame instead of metal frame,” Gibbs said. “That was [one of] the choices that a bunch of builders did to cut up the prices. So I think that may be a good thing for the market.”