MarketMinute | How Do Lumber Prices Add to the Cost of a New Home?
Minutes from last month's Fed meeting show the Fed is ready to raise policy rates as soon as March to help curb soaring inflation. |
Retail sales rose 3.8% in January, the most since March, beginning the year strong despite inflation and Omicron. |
Similar to consumer inflation, which hit its highest level since 1982, January wholesale prices were up a near-record 9.7% year over year. |
Soaring lumber prices add nearly $19K to the cost of a new home. Though 22% below peak, prices are still about 3 times higher than pre-pandemic levels. |
Homebuyers facing one of the priciest housing markets in history need larger mortgages. The average purchase loan size has hit a record $453K. |
Last week’s purchase apps were down only 1% compared to the previous week, though refinance apps have fallen more as rates have risen. |