The rise in prices for building materials has stopped: is it worth starting or continuing the construction of a house in 2022
In 2021, we have experienced a cosmic rise in prices for building materials. Most people took a break and postponed construction until better times. Now the rise in prices has stopped. A decrease in prices is observed for some of the positions. And everyone has a question: is it worth planning to build a house in 2022.
"To be or not to be": to build or not to build?
The demand for houses has declined somewhat. This is due to higher prices and seasonality. There was a certain lull. Thanks to this, the cost of building materials has ceased to rise.
Experts say that prices will continue to rise in 2022. But it will not rise above 10%. Which is the default every year. Unless "shock situations" arise.
The construction should not be postponed. A wait-and-see attitude will not help anyone. The demand for construction remains quite high, and it makes no sense to expect it to decrease. Prices for building materials will definitely not roll back to the level of 2019-2020. So, if you have a sufficient budget, then you should now start preparatory work and continue construction in 2022.
There is a risk that, due to a certain wait-and-see attitude, now, by the spring, demand for construction will increase, reach a peak and again provoke a sharp jump in prices.
Many people are now thinking about whether to build or not. And most of them will make a decision by the spring. And other people who decided to start construction will also join them. As a result, such actions can again provoke excitement, which will lead to a shortage of performers and another rise in prices.
Why will prices go up for sure?
- The number of land plots sold in 2020-21 is quite large. Most of them are planning to build up.
- The pandemic and new restrictions will continue to affect people's desire for a home.
- IZHS is now developing more and more actively. New support measures and possibly better conditions for taking out a mortgage will appear.
- Building materials warehouses are not full now. Everything works almost on order, and the shipment is already scheduled for everyone in advance. That is, if you place an order now, you will be able to receive it in April. This has never happened before.
What is the best way to organize the construction?
1. Build in stages
Be prepared that prices will not come down. And by spring they will go up again. Do the work piece by piece. This way you can at least stabilize the value of the house at the same price level.
2. Start preparatory work early, not during the high season
In spring and summer, construction costs will be as high as possible. Therefore, those works that can be done in advance, do in advance. And start monolithic foundation work as soon as weather conditions allow. Get started now to avoid seasonal price increases and labor shortages.