Less than a year ago with the COVID-19 pandemic gripping Canada, the Canadian Mortgage Housing Corporation (CMHC) predicted dire consequences for home prices. Housing prices could plummet, the now former president and CMHC CEO said between 9-18%. History and data have proved that prediction to be incorrect.
Wood Markets News
Bidding Wars on Homes are Keeping Some Active Buyers from Being Able to Make the Purchase
The National Association of Home Builders (NAHB) Housing Trends Report (HTP) is reporting that of the 16% of American adults considering a future home purchase in Q1 of 2021, 64% have moved beyond planning and are actively trying to find one to buy. That is up from the comparable 49% share a year ago.
West Fraser to Invest $150 million in Five U.S. South Lumber Mills
West Fraser Timber Company released their Q1 2021 earnings report on Thursday (5-6-21) in preparation for their earnings call on Friday, May 7, 2021. In the report, West Fraser announced in their lumber segment they expected to invest approximately $150 million at five of their U.S. South lumber mills under the strategic capital program.
First Major Revision to Alberta’s Forest Act in 50 Years is Now in Effect
The first major revision in 50 years to Alberta’s Forest Act went into effect on May 1, 2021. The results of the passage of Bill 40 should result in less red tape, provide greater flexibility in harvesting operations, and maintain existing forest management practices.
To Counter Higher Lumber Prices, Many Alaskans Have Decided to Mill Their Own Lumber
Economists are warning that the current increase in lumber prices might last for an extended period of time. To that end, many Alaskans already tired of higher lumber prices have decided to either build their own or purchase a portable sawmill.
Housing Affordability Declined in Q1 2021
According to the latest National Association of Home Builders (NAHB) / Wells Fargo Housing Opportunity Index (HOI), housing affordability modestly declined during Q1 of 2021. This is the result of rising material costs and supply shortages, along with increased mortgage rates, all of which signaled affordability challenges for the remainder of the year.
Nonfarm Payroll Employment Increases by 266,000 in April — Construction Employment Unchanged
The U.S. Bureau of Labor Statistics (BLS) is reporting that total nonfarm payroll employment in April increased by 266,000 following increases of 770,000 in March and 536,000 in February. In April, nonfarm employment was down by 8.2 million, or 5.4%, from its pre-pandemic level in February 2020.
Eastern Washington University in Spokane to Become Home of North America’s Largest Net Zero Energy and Carbon Building
A problem as complicated as climate change requires revolutionary innovation to solve it — a principle embodied by Seattle-based McKinstry, a full-service design-build-operate-and-maintain (DBOM) firm specializing in consulting, construction, energy and facility services. This pioneering approach to design thinking was a driving force behind the firm’s development of the Catalyst Building in Spokane, Washington, the new zero energy and carbon home for several Eastern Washington University departments and McKinstry offices, which is on track to become one of the largest International Living Future Institute (ILFI)-certified Zero Energy (ZE) buildings in the world.
Survey Says… Remodeling Industry Business Has Completely Recovered from COVID-19 Pandemic
According to a recent survey conducted by the National Association of Home Builders (NAHB), which happens to coincide with start of National Remodeling month in May, confidence in the remodeling market continues to increase. In the survey, 5% of remodelers reported that more than half of their projects in 2020 were a direct consequence of the pandemic.
30-Year Mortgage Remains Below 3% for Third Consecutive Week, in the Week Ending May 6, 2021
Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending May 6, 2021. The PMMS reports that 30-year fixed-rate mortgage averaged 2.96% percent with an average 0.6 point, down from last week when it averaged 2.98%.