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Saturday, 19 June 2021

Material Prices are changing the way contractors do business

Credit: WKTV
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Material Prices are changing the way contractors do business
Material Prices are changing the way contractors do business

The rising cost of building materials is forcing contractors to change the way they conduct business.

Have taken notice.

Newschannel 2's kirk tupaj tells us how the price is affecting the way business is done.

The average person probably wouldn't notice the cost of lumber changing, but for contractors that make a living based off of that price, the rise has been significant.

Contractor william hamilton explains how the rising cost has changed the way contractors bid their jobs.

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None sot: william hamilton, innovative construction it's difficult.

There's estimates you have to go back and redo.

Some customers aren't happy.

Some people are just giving labor prices.

Not giving materials, and the homeowner's got to pay for the materials, so it makes it a challenge.

It's hard to give a fair price and still make a living.

Contractor david szemcsak talked about why the sudden changes in material prices can make running a business tricky.

Sot: david szemcsak, great outdoor builders it comes down to of course knowing your numbers, and adjusting your labor rates correctly to incur all those extra costs, but that's been a finicky line also because now you're dealing with the higher material costs.

Szemcsak says many customers shop around for the best overall price in contractor, and that's making it difficult to stay competitive when you have to factor in rising lumber prices.

Sot: david szemcsak, great outdoor builders people like us just can't find that profit margin anymore when your materials are so high, and if you try to make your rates to match that, to offset it, like i said before, you're just going to bid yourself right out of it.

Sot: kirk tupaj lumber yards are keeping their prices competitive, but the cost of lumber has been on the rise and contractors have taken

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