MADISON — The Wisconsin Builders’ Association reported a significant slowdown in the number of new home building applications this year, meaning that fewer homes are being built. Rising material costs and delays in the supply chain are said to be a major factor in the slowdown.
“Remodeling projects have been up with people making changes to their existing homes to avoid the overall costs that building a new home presented over the summer,” said WBA President Abe Degnan. “With the supply chain issues we’re currently experiencing, remodeling and new home construction alike are going to continue to feel the pressure.”
Data submitted by municipalities across the state showed that 2,450 permits were pulled between July and September this year, down from 4,382 permits the previous quarter. Prices for building materials like windows, steel products, and door frames have risen around 30 percent.
“Numbers in the first half of this year were great despite the increased building prices at that time, but we’re now starting to see the effect that peak building material prices have had on the industry,” said WBA Executive Director Brad Boycks. “Many homeowners decided against signing contracts over the summer while they waited for prices to come down.”
