Construction About to Get More Expensive…

Found this TikTok video from a truck driver on Twitter:

Brian w/ an i on Twitter: “I actually see this as a win. Food shortages cause revolutions and there’s no other way outta this mess. pic.twitter.com/RlIVdIaqKu / Twitter”

I actually see this as a win. Food shortages cause revolutions and there’s no other way outta this mess. pic.twitter.com/RlIVdIaqKu

Um, yeah…. The truck driver says, “What are you gonna do when your gallon of milk costs $11?” Well, using more colorful language, but that’s his point.

It seems obvious that higher fuel costs = higher transportation costs = higher everything costs. I can only imagine this will flow into the cost of materials for construction. I mean, lumber and PVC pipes and drywall and flooring and appliances all have to get shipped somewhere from somewhere, right?

So not only are we dealing with enormous price spikes from the manufacturer, we have to deal with increased cost of transporting these materials to the construction site. If fuel costs are up 20%, then the overall cost of the materials have to be up 20% or more, right?

Damn. I don’t see home prices dropping anytime soon.

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Rob Hahn

Managing Partner of 7DS Associates, and the grand poobah of this here blog. Once called "a revolutionary in a really nice suit", people often wonder what I do for a living because I have the temerity to not talk about my clients and my work for clients. Suffice to say that I do strategy work for some of the largest organizations and companies in real estate, as well as some of the smallest startups and agent teams, but usually only on projects that interest me with big implications for reforming this wonderful, crazy, lovable yet frustrating real estate industry of ours.

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