2022 Construction Materials Issues
While prices for some materials have started to come back down in recent months, it’s likely that we’ll see more up and down movement in 2022 for most construction material costs. The most recent data from November 2021 shows that costs for new construction, excluding capital investment, labor, and imports were up 20.54% from a year ago, the construction materials special index was up 34.65%, and final demand construction was up 12.27% from a year prior.
Material delivery time is double, triple, or higher than what it was pre-pandemic and that looks like that will continue to some extent into 2022.
Supply chain issues will likely continue as demand for materials stays strong and possible complications due to the faster-spreading omicron variant could result in even longer lead times for certain materials.
As contractors sign new contracts and take on more work for later in the year, they need to stay on top of their suppliers and get their orders in sooner than normal to ensure materials are delivered on time and to keep track of the potential for rapid changes in material costs.
We provide Construction Materials Financing as well as Unsecured Business Lines of Credit and Accounts Receivable Lines of Credit to Contractors nationwide. Call Nelly Palmer (305) 209-6221 - hablamos español.