Hurricane season is scheduled to start in less than 2-weeks and Florida residents are being urged to start thinking about their preparations before any storms threaten the Sunshine State. This year’s preparations are going to be different, due to the ongoing shortage of lumber and panels and their higher prices.
Wood Markets News
Russia Announces Export Duties on Green Lumber Effective July 1, 2021
According to a Russian government order signed by Prime Minister Mikhail Mishustin on Friday (5-21-21), an export tax as high as 10% will be imposed on the sales of several kinds of Russian wood.
Canadian Dollar Closes in on 6-year High as Inflation Concerns Ease
On Friday (5-21-21), the Canadian Dollar rose against its U.S. counterpart as investors worries about U.S. inflation eased, while Canadian domestic data showed retail sales climbing in March and the Canadian Dollar moving close to a six-year high — established earlier in the week and completing its eighth straight weekly advances.
Half of Homes Sold Above Their Listing Price in the 4-week Period Ending May 16
According to Redfin, the Seattle-based technology-powered real estate brokerage, 50% of homes sold during the four weeks ending May 16, 2020 sold above their listing price. Year-over-year, this is an increase of 23 percentage points. During the four-week period, prices hit a record high of $352,975 and were up 24% year over year, also a record.
Canadian Financial Regulators Confirm New Qualifying Rates for Uninsured Borrowers Effective June 1st
On Thursday (5-20-21), Canadian financial regulators confirmed a new benchmark qualifying rate for uninsured borrowers would become effective on June 1, 2021. This occurred after the central bank earlier issued it strongest comments yet on the country’s red-hot housing market. Consultations with lenders over the move were launched in April.
Anthony Timberlands Inc. Announces $10 Million Investment in Malvern, Arkansas Sawmill
Anthony Timberlands Inc. (ATI), Arkansas’s third-largest forest products manufacturer, announced on Wednesday (5-19-21) that they will be investing $10 million in improvement to their 75-year-old pine sawmill in Malvern, Arkansas over the next six to eight months.
Glennon Brothers to Purchase Rival Balcas
Subject to approval from competition regulators, Glennon Brothers, owners of timber processing plants in Ireland and Scotland, has announced that they have agreed to purchase Northern Ireland, County Fermanagh-based Balcas from owner SHV Energy.
U.S. Senators Urged to Heed Risks to Nations Forests
In his capacity as president of the National Association of State Foresters (NASF), Arkansas State Forester Joe Fox testified at a hearing before the U.S. Senate’s Agriculture Committee titled: “Federal, State, and Private Forestlands: Opportunities for Addressing Climate Change.” In his testimony, Fox warned lawmakers that without “significant investments,” the nation’s timberlands are at risk.
Existing Home Sales Decline 2.7% in April
The National Association of Realtors® (NAR) is reporting that total existing home sales — which are completed transactions for single-family homes, townhomes, condominiums and co-ops — declined in April for the third consecutive month, down -2.7% below March, to a seasonally adjusted rate at 5.85 million homes. Year-over-year sales are up 33.9% (4.37 million in April 2020).
Housing Market Shortages Have Fannie Mae Changing Several 2021 Economic Forecasts
Fannie Mae’s Economic and Strategic Group (ESR) has revised several of its 2021 forecasts. A full month of sub 3% mortgage rates, ongoing housing market supply constraints, and a 300% increase in lumber pricing over the past 15-months prompted the forecast revision.