Posted: September 1, 2023 | Cost Trends
The housing market is starting to make a recovery; not a strong one, but it’s a recovery nevertheless. Housing priced below $400,000 is selling and builders in appropriate markets are building. Mortgage rates are high, but buyers have factored this in and are still buying. In the commercial sector things are flat, but with strong growth, in lodging, educational, and manufacturing.
The infrastructure program is working and the public market is up 12-15%. Contractors still report a backlog, but most materials are available. There is less talk of a recession, and it looks like we may get that “soft landing” so often mentioned by economists.
Posted: May 12, 2023 | Cost Trends
Labor rates shown here are current Davis-Bacon labor rates for South Midwest cities. These will help you determine wage rates for your estimates and bids, especially for publicly-funded projects where the payment of locally prevailing wages and fringe benefits are required by law.
Davis-Bacon wage rates are required for contractors or subcontractors performing on federally funded or assisted contracts in excess of $2,000. These wage rates are based on up-to-date data from the Department of Labor.
Posted: May 5, 2023 | Cost Trends
The housing market is still soft and not aided at all by the developing banking crisis. In the commercial arena, the banking uncertainty is tamping down the recovery and there are reports of projects that are being “slow walked” until the financial dust settles. There is talk of recession, but most feel that it will not surface until 2024. The infrastructure initiative is showing results, with job growth for civil and heavy construction up 7,000 for March. Contractors report a healthy backlog for the next 6 months and material shortages are becoming a thing of the past.
Posted: March 31, 2023 | Cost Trends
Current Davis-Bacon labor rates for Southeast cities. These rates help you determine wage rates for your estimates and bids, especially for publicly-funded projects where the payment of locally prevailing wages and fringe benefits are required by law.
Posted: March 3, 2023 | Cost Trends
Housing continues its slide but at a reduced rate. Improbable as it seems, housing is gaining some ground and buyers are returning despite elevated mortgage rates. It's still not at last year's levels but a welcome sign in the economy. In addition, 25,000 jobs were added in the construction industry with 20,000 in commercial and 5,000 in residential. One cautionary note is that economists are now predicting office occupancy may not return to pre-pandemic levels for decades. As a result, we shouldn't expect any upturn in office construction. We still need to deal with the continuing labor shortage, but all in all it's still a good time for construction.