Ouch - Timber frame price up £4,600 between design and manufacture

[Haylingbilly]

I paid my initial deposit to cover deign fees and signed the contract for my timber frame house in March for a total cost of £49,000 which I have been in discussions with them for 6 months on (so arguably this price is from mid to late last year). We were going to make the next payment next week and instruct them to manufacture it but got a call today to say the price is going up by £4,600. Oh and I should better pay this next invoice in the next couple of days to avoid another price rise. 

 

I am not sure I have much choice and to be honest think if I tried to use anyone else the price would be higher than this anyway so am intending to pay it reluctantly:-(

 

Ironic as the structural engineer who is doing the foundation design asked me a couple of hours before the call from the timber frame company if they had put the price up - I said no, well not yet anyway!

 

 

 

 

[Gav_P]

How frustrating... but given the general price hikes on lots of materials, and the shortage of timber that people seemed to have suffered from over the last year or so, it’s not overly surprising. 

[SimonD]

It's an unfortunate condition of the market right now. Given some of the timber price hikes I've recently had, less than 10% is very good going. Some timber products are up more than 100% in recent months. My timber merchant said they'd received a 44% increase in one day with one supplier. Some of the issues are simply down to supply and demand issues due to Covid, but there is also a massive increase in timber futures, along with Brexit and the fact that timber demand has been growing for the past 10 years with not a great increase in production.

 

I know it doesn't help you directly, but may help alleviate some of the pain knowing that it isn't down to the timber frame company.

 

Have you asked the timber frame company about how your contract stands for future payments and price increases, or does your next payment lock the price in?

[nod]

Unfortunately It’s a worldwide problem

An American friend of ours put this up on FB yesterday 

 

[Russell griffiths]

That’s just 10%, wait until you start ordering insulation and stuff. 

[Bitpipe]

Or cement based products (although that's more availability than price).

[SimonD]

1 hour ago, Bitpipe said:

Or cement based products (although that's more availability than price).

 

Yup, I had to drive to 3 different places last week for just 2 bags of the stuff. I think I was fairly lucky as where I got mine they only had about 12 bags left. One of the places said they're hoping for 670 to be delivered on the 29th May "so get here early"!

[Bitpipe]

11 minutes ago, SimonD said:

 

Yup, I had to drive to 3 different places last week for just 2 bags of the stuff. I think I was fairly lucky as where I got mine they only had about 12 bags left. One of the places said they're hoping for 670 to be delivered on the 29th May "so get here early"!

 

Stash it next to the loo roll and pasta.

[SimonD]

33 minutes ago, Bitpipe said:

 

Stash it next to the loo roll and pasta.

 

The only place for it!

[Thedreamer]

Lumber | 1978-2021 Data | 2022-2023 Forecast | Price | Quote | Chart | Historical (tradingeconomics.com)

 

[PeterTweeter]

I've been told by a local timber supplier that Canadian mills can't meet the US demand, so they (the US) are buying from the Scandinavian & Baltic mills at premium prices.

The UK are getting the leftovers - if we're lucky!

[Temp]

People are stealing trees in Canada.. 

 

https://www.theguardian.com/environment/2021/may/13/tree-poaching-hits-canada-amid-lumber-shortage

 

[Temp]

Just had an email from a company that sell composite materials (epoxy, fibreglass etc) advising of 20% price increases. 

 

Can't help feel we are heading for high inflation and interest rate rises.

[nod]

7 hours ago, Temp said:

Just had an email from a company that sell composite materials (epoxy, fibreglass etc) advising of 20% price increases. 

 

Can't help feel we are heading for high inflation and interest rate rises.

I agree 

Under normal circumstances interest rates would be bumped up 

We can’t carryon like this 

[Bitpipe]

1 hour ago, nod said:

I agree 

Under normal circumstances interest rates would be bumped up 

We can’t carryon like this 

 

The recent covid recovery stimulus passed by USA govt may also stoke inflation and if they pass their much needed trillion dollar infrastructure bill then demand will go through roof, and inflation with it.

 

My wife works in the semiconductor  industry and they are experiencing severe production shortages with lead times slipping out to 52 weeks in some cases.

 

Why? Fabrication (the expensive bit)  has been progressively concentrated to a few locations and just one interruption causes massive impact on supply.

[nod]

After nine months of waiting I’ve been told my new Tipper trailer has arrived

The dealer has explained that shortages have been caused by people putting there old trailers online at inflated prices Which has had a knock on effect 

He did also say I could turn a £1500 profit without taking delivery 

Something will eventually have to give 

[Haylingbilly]

Thanks for all of your comments and have paid my manufacturing invoice - I felt that it was fair enough and is reassuring that no-one screamed blue murder. My architect said that one of his other clients was just about to start an extension, but the builder put up the price by 20% and the clients can't afford it so have had to cancel the project.

 

 

 

[Bitpipe]

On 26/05/2021 at 20:27, SimonD said:

 

Yup, I had to drive to 3 different places last week for just 2 bags of the stuff. I think I was fairly lucky as where I got mine they only had about 12 bags left. One of the places said they're hoping for 670 to be delivered on the 29th May "so get here early"!

 

I was browsing B&Q today on the off chance and found 5 bags of ready mix in the next town so bought them. Order cancelled 5 mins later when they tried to pick it.

 

So re-ordered but 4 bags. Same. 

 

Went to re-order for 3 but they've finally updated stock to show just 1 bag left which is not worth the journey.

 

Still, kept me entertained for 20 mins...

[Bitpipe]

5 hours ago, nod said:

After nine months of waiting I’ve been told my new Tipper trailer has arrived

The dealer has explained that shortages have been caused by people putting there old trailers online at inflated prices Which has had a knock on effect 

He did also say I could turn a £1500 profit without taking delivery 

Something will eventually have to give 

 

Guy who did our landscaping has branched into mini digger hire.

 

Leased 5 new machines a year ago with his business partner and kept one in a container 'box fresh' while hiring the other 4 out as his contingency.

 

He says it's shot up in value and he is sorely tempted to sell.

[Moonshine]

6 hours ago, nod said:

Something will eventually have to give 

 

but what?

[CC45]

free money wasn't ever going to end well. Interest won't have to rise much for lots of people to end up in serious difficulties.  But as always the rich will get richer and the poor poorer.

 

Its just a desperate rush now to make as much money as possible ready for the slow down / crash.  They come about every ten years so one is due now.  Government will try to put it off by injecting the patient with another dose of adrenaline. 

[jack1962]

I ordered time 3 weeks ago and it cost £4786 and when i originally priced it Aug last year it would have cost me £3054, i also priced up my trusses last year and i am frightened as to what the price will be now

[keith65]

Just had an email from Travis Perkins saying prices all going up on first of June so more pain

[SimonD]

On 28/05/2021 at 15:43, Bitpipe said:

 

I was browsing B&Q today on the off chance and found 5 bags of ready mix in the next town so bought them. Order cancelled 5 mins later when they tried to pick it.

 

So re-ordered but 4 bags. Same. 

 

Went to re-order for 3 but they've finally updated stock to show just 1 bag left which is not worth the journey.

 

Still, kept me entertained for 20 mins...

 

haha, I did the same the other day as the site said they had stock, tried two locations but got phone calls cancelling about 20 min after putting the click & collect orders through.

[recoveringbuilder]

I get the feeling that a lot of would be self builders aren’t aware of the price rises, all the plots around here that have sat on the market for a few years are now being snapped up. Personally wouldn’t like to be starting a build just now, when the crash comes a lot of these houses will have cost more than they’re worth!