Despite some month-to-month volatility in single family housing starts, the general trend has been favorable during the past several months, as shown in the chart, below. Correspondingly, hardwood grade lumber prices have edged up somewhat.
Additionally, quarterly remodeling trends have begun to rebound, as shown in the second chart below.
These are a few bright spots we wanted to highlight for our readers. We expect moderate, steady demand for timber in the coming year, at prices similar to current levels, as our economy continues to adjust to inflation-curbing monetary policy (current, elevated interest rates) and incremental labor constraints (population growth).
For economic analysis, forestry consulting, and timberland appraisal services you can trust, call your friends at FORECON. We’ve diligently served clients like you since 1954!