I'm curious as to what this might do to some homeowners insurance, for example, my insurance company estimates to rebuild my house as of 4/19 (originally constructed in 2004) it would cost $384,000 but if it were reassessed right now with many building materials more than doubling, that could easily be $50K more just in materials. Hurricane Isaias hit the beach where my grandma still has a house and while she suffered almost zero damage, three houses burned just down the road from a vehicle someone was trying to started and caught fire. These houses are old enough that if one catches fire, it's essentially a tenderbox and when the fire trucks show up, the objective is usually to save adjacent houses first (assuming no body is in any of them). The land is far more valuable than the houses but no doubt, the cost of the structure weighs heavily on the premiums. Most are built on 10"x10" or 12"x12" pressure treated columns and they were expensive, now more so and nearly impossible to get.
How is this going to effect new home construction when a contract is signed in ~ March of this year and the dirt work, septic, block work, basement, etc. is done and it's now time to have a lumber package dropped off. That same lumber package that might have been $25K in March could easily be $47.5K now. The builder sure as hell isn't going to eat that and the buyer might not be approved for, nevermind willing to pay an additional $22.5K for the same house contracted just 4-5 months ago. The government can print money to make up for these problems until the paper is worth more to wipe your **** than as a federal reserve note, what then?
I was in Lowe's this morning, since yesterday they've jack 7/16" x 4' x 8' OSB from $19.55 to $21.55/sheet.
