The cost and availability of labor along with building material prices stand out as the two most significant problems builders expect to face in 2018, according to a recent survey of NAHB members.
A whopping 84 percent of respondents cited these two issues as major challenges this year, and not surprisingly, these were the top two concerns cited by builders in 2017.
As NAHB economist Ashok Chaluvadi reported in a recent Eye on Housing blog post, labor and building material prices have become a growing concern for builders in recent years. In 2011, just 11 percent of builders rated labor as a significant problem while 33 percent reported building material prices as a major problem.
Rounding out the top five concerns for builders in 2018 are the cost/availability of developed lots (62 percent), impact/hook-up/inspection or other fees (60 percent) and inaccurate appraisals (42 percent).
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