There is great news for the housing market as new home construction is expected to increase by almost 10% in 2022. However, there is also some not-so-good news regarding this projection as well. Several factors have the potential to delay home building through the next year or so. The combination of these factors could result in a decrease in available homes and an increase in prices for buyers when they do find something that fits their needs.
Problem with obtaining materials
The number one reason for residential home construction delays is the lack of materials. The problem with obtaining these materials is a matter of supply and demand.
The worldwide demand for construction materials has increased, while the supply has not been able to keep up. This results in shortages and higher prices, which means more money out of your pocket when it comes time to build your dream home!
The labor shortage in the construction industry
The labor shortage in the construction industry is expected to continue to increase, causing delays for home builders. The shortage of skilled workers is expected to make it more difficult for homebuilders to keep up with demand and the increased costs associated with higher wages and benefits.
Restrictions of states due to changes coming out of covid
The states are the ones that enforce most of the laws, and so they will have to be prepared for the changes. They need to be ready for these new rules in order to adapt them to their own policies. If you live in one of these states and you want to know what is going on with your home construction delays in 2022, then you should contact your state government immediately so that they can tell you what has changed and how it will affect your life when trying to purchase a home.
New home construction is scheduled to increase, but delays are expected
If you’re planning to buy a new home in 2022, you may need to wait longer than expected. As the economy improves and more people are able to afford construction, builders are experiencing delays due to increased costs and labor shortages. While some of these delays can be attributed directly to changes in covid financing methods, others are caused by materials shortages or labor shortages related to rapidly rising wages.
Conclusion
As more people look for home ownership, there is an increased demand for housing. The biggest factor affecting new home construction delays is the materials and labor needed to construct a house. With covid restrictions and materials shortages, as well as a shortage of people looking for jobs in construction, the waiting time on getting your dream house is expected to be longer than normal
