According to the NAHB, there were two main factors that contributed to this lower level of builder optimism: rising prices for construction materials (and in particular lumber) and the continued spread of COVID-19 across the United States.
Load Error
NAHB chairman Chuck Fowke shared some of his thoughts on the HMI in a recent statement, describing some of the conditions that he believes contributed to the drop in score.
“Despite robust housing demand and low mortgage rates, buyers are facing a dearth of new homes on the market, which is exacerbating affordability problems,” said Fowke. “Builders are grappling with supply-side constraints related to lumber and other material costs, a lack of affordable lots and labor shortages that delay delivery times and put upward pressure on home prices.”
Lumber prices have been a major issue for homebuilders since the start of the pandemic, with prohibitive price spikes complicating building and driving up housing affordability. According to Bloomberg, lumber futures hit record highs on Tuesday of this week, a strong indicator that physical lumber prices are due to increase even more in the coming months.
“Everyone knows that current prices are stupid but the choice is either pay up or run out,” Vince Bulic, president of Vancouver-area Yaletown Lumber Industries Ltd., told Bloomberg. “Comfortable prices do not seem to be on the near-term horizon.”
NAHB chief economist Robert Dietz also shared his perspective on the issues impacting housing affordability in the U.S.
“While housing continues to help lead the economy forward, limited inventory is constraining more robust growth,” said NAHB Chief Economist Robert Dietz. “A shortage of buildable lots is making it difficult to meet strong demand and rising material prices are far outpacing increases in home prices, which in turn is harming housing affordability.”
The January HMI was down from December in all four regions of the U.S., suggesting that these concerns are nationally prevalent and not just impacting particular areas of the country. The northeast, midwest, south, and west all saw declines, coming in at scores of 68, 81, 82, and 92, respectively.
Luxe for Less
Often, it’s the little things in life that create a special feeling or memory. The same can be said for your home. Even the simplest items or design choices can make a space feel luxurious — which is even more important when so many of us are spending extra time at home. Read on for 10 ways to sprinkle simple luxuries throughout your living space without breaking the bank.
Upgrade Lighting
Experiment with layered lighting. Mix in lamps and wall lights to your standard overhead option, and use dimmers. A variety of lighting sources allows you to enhance and control the mood with the flip of a switch or the tap of a remote.
Consider mixing in under-cabinet lighting among the layers for an update with purpose. What dedicated home cook doesn’t appreciate good countertop task lighting? Choose from battery-powered or high-quality plug-in options. With a few simple tools, under-cabinet lighting is easy to install and can be a great weekend project.
Bidet toilet seats certainly qualify as a luxury, European-style upgrade, especially if you spring for a version with water-temperature settings and a heated seat. It’s a good pandemic purchase, too, as bidets provide convenient, hands-free cleanliness and help save on toilet paper.
It’s easy to give the resolution and size of a television all the attention. But since wall-mounted flat-screens have grown in popularity, television frames have, too. Choose from warm oak or mahogany texture to accent a light-colored wall. Or you can go for a contemporary look with metal, or an ornate white wood to add a touch of sophistication to a space. (Pro tip: Etsy has lots of good TV frame options.)
Or indulge in a little illusion with a frame-like floating entertainment center with clean lines and functional built-in shelving that still manages to look luxurious.
Luxury isn’t just visual; it can also automate everyday actions. Think: Opening and closing your blinds and shades with a simple voice command or screen tap. With smart blinds, you can set them and forget them, with scheduled opening and closings based on time or weather.
Most are just as easy to install as manual blinds. Be prepared to spend a bit more, however; quality options will cost several hundred dollars for a modest sized window. So you may want to stick to one window in an often-used room and integrate from there, as necessity and budget dictate.
Buy an Automatic Soap Dispenser
A touchless automatic soap dispenser adds ease to any bathroom or kitchen, and the right one looks beautiful, too. Plus, you’ll effectively eliminate the need for the whole family to pump out soap with germy hands.
We like this popular touchless soap dispenser from simplehuman. It comes in battery operated or rechargeable form with a variety of finishes, bringing way more style than anything you’d find in a public restroom.
![a person sitting at a table in front of a window](https://www.msn.com/en-us/money/realestate/rising-material-costs-surging-covid-19-cases-dampen-builder-optimism/"default":"load":"default","w":"80","h":"80","src":"//img-s-msn-com.akamaized.net/tenant/amp/entityid/BB1d9bT0.img?h=799&w=799&m=6&q=60&o=f&l=f&x=382&y=476","size3column":"load":"default","w":"62","h":"62","src":"//img-s-msn-com.akamaized.net/tenant/amp/entityid/BB1d9bT0.img?h=624&w=624&m=6&q=60&o=f&l=f&x=382&y=476","size2column":"load":"default","w":"62","h":"62","src":"//img-s-msn-com.akamaized.net/tenant/amp/entityid/BB1d9bT0.img?h=624&w=624&m=6&q=60&o=f&l=f&x=382&y=476")
