Posted: November 30, 2023 | Cost Trends
Copper Wire is always the target of inflation watchers, copper had not followed the increases of other construction components. China does not seem to be coming back and the spot price for copper is well below $4 a pound, which seems to have a direct bearing on wire. Copper wire is down 2% for the year.
Posted: November 2, 2023 | Cost Trends
The housing market is moving but still down; it’s not dead but until mortgage rates work their way down it most likely won’t get better. Housing is down 10%. Housing priced below $400,000 is still selling and builders in appropriate markets are building. The commercial sector is another story, almost all sectors are up, averaging a 15% increase, with some extraordinary sectors such as manufacturing up over 60%. The infrastructure program is still kicking in and up 12-15%. Contractors report backlogs but not as dramatic as last year, and most materials are readily available.
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.