June 18, 2021
Real Estate

Spiking lumber prices affect cost of construction

PEORIA – High lumber prices are causing the cost of building a new home to grow in the Peoria area even as home construction numbers are rebounding, local home builders say.

“New home prices have been affected by the lumber prices that are driving the prices higher,” said Scott Lewis of Scott Lewis Homes. “The increase of lumber has been between 175 and 210% over the last year on different aspects of the parts that go into a house.”

So what does the typical new home cost to build around here?

For the 33 permits for new homes issued in Peoria since October, when the city began using new software to track the data, the average construction cost is about $279,000, city community development director Ross Black said. That’s up from an average of $254,452 in 2016. It had declined substantially in 2019-20 as more construction focused on affordable-housing work in the city’s North…

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