KGUN 9 On Your SideNewsLocal News

Actions

Costs rising for home building and renovations

Construction Plan
Posted at 4:40 PM, Apr 15, 2021
and last updated 2021-04-16 02:38:00-04

TUCSON, Ariz. (KGUN) — Since the pandemic started, more people have begun building and renovating homes.

"We've never really seen business quite as strong," Jeffrey Wagner of AZ Construction & Renovation said.

He says they've had to hire more employees since the pandemic began to continue to serve the Phoenix and Southern Arizona areas.

Wagner says that one of the reasons people are spending more on homes is because they have money that was typically saved for travel. He also adds that people have been spending more time at home since the start of the pandemic.

The prices of these projects have gone up significantly since the pandemic began.

Wagner says that the average lumber cost for a house has increased by $25,000. Another resource with a rising cost is copper.

"Copper has increased to its all-time high," Wagner said.

He said the prices will come down, but does not know when that will happen.

The prices of homes are also rising in our area. Wagner said this will offset some of the costs when building or renovating a house.

"There is just an insatiable appetite especially in the state of Arizona for new homes," Wagner said. "The price of homes has gone up significantly as well. What we are seeing is this push to invest in real estate. We are seeing foreign home buyers from California and really push the market higher."