Building materials made of copper had some of the highest price growth rates in the U.S. in December 2024 in comparison to the previous year. The growth rate of the cost of many construction materials was much lower than in 2023. It is important to note, though, that the figures provided are Producer Price Indices, which cover production within the United States, but do not include imports or tariffs. This might matter for lumber, as Canada's wood production is normally large enough that the U.S. can import it from its neighboring country. Construction material prices in the United Kingdom Similarly to the inflation trends in the U.S. at that time, the price growth rate of construction materials in the UK were generally lower 2023 than in 2022. Nevertheless, the cost of some construction materials in the UK still soared that year, with several of those items reaching price growth rates of over 10 or even of over 14 percent. Considering that those materials make up a very big share of the costs incurred for a construction project, those developments may also have affected the average construction output price in the UK. Construction material shortages during the COVID-19 pandemic During the first years of the COVID-19 pandemic, there often were supply problems and material shortages, which created instability in the construction market. According to a survey among construction contractors, the construction materials most affected by shortages in the U.S. during most of 2021 were steel and lumber. This was also a problem on the other side of the Atlantic: The share of building construction companies experiencing shortages in Germany soared between March and June 2021, staying at high levels for over a year. Meanwhile, the shortage of material or equipment was one of the main factors limiting the building activity in France in June 2022.

The construction output price in the United Kingdom has reached an annual growth rate of two percent in September 2024. Construction costs have been increasing at a lower rate than in 2022 and 2023. The year-over-year growth rate reached over 10 percent in May and June of 2022. Public and private housing was the construction segment with the highest output price increase. How have material costs developed over the years? Several factors influence construction material costs, including supply and demand, regulatory requirements, and transportation logistics. Manufacturing efficiency and global trade policies also play a big part, along with economic factors like inflation and currency fluctuations. In June 2022, the price of construction materials for new houses in the UK were 53 percent higher than in 2015. What is the largest component of those costs? Labor costs are often one of the largest expenses in construction projects. That is due to the skilled nature of the work, which has a high demand for specialized trades. The construction sector's labor costs accounted for around 58 percent of the sector's earnings in the United Kingdom in 2023. In the past years, the size of labor costs as a share of the construction sector rose by more than three percentage points, indicating that labor costs have increased at a faster rate than the overall revenue of the industry.

Between 2022 and 2024, the construction price of residential and non-residential buildings in Canada has grown at the same pace. The price of both types of buildings was roughly six percent higher in the last quarter of 2024 than in 2023, which is the year when the index base was set at 100. Nevertheless, that only considers the cost of buildings in 15 selected metropolitan areas in Canada. Toronto was by far the metropolitan region with the highest construction costs in Canada.

What determines construction costs? The growth rate of the construction price of different types of buildings tends to follow similar trends to some extent. For example, price growth rates in Canada for most types of buildings were more moderate in 2023 than in previous years. However, those figures show a lot of disparity, with the cost of building a high rise apartment building growing much faster than that of other types of buildings. This might be because the construction costs depend on elements such as the location, materials, and complexity of the building, which tend to be quite different for each type of building.

Lumber building materials in Canada In 2023, Canada was the world’s second-largest exporter of wood building materials such as veneer sheets, parquet flooring, particleboard, laminated wood, and builders’ joinery and carpentry. Forestry, logging, and processing wood into ready-to-use materials are important industries in the Canadian economy. High price growth rates of building materials impact negatively the construction industry as their activities become more expensive. However, the forestry and logging industry benefited from the cost of lumber rising in 2020 and 2021. In the past years, the price of lumber, however, has fallen again.

In 2024, the construction cost of non-residential buildings in the United States has increased by six percent. The cost index for that type of construction projects amounted to 1,199 in 2021, but it reached 1,426 in 2024. Construction costs have increased almost every year, except for 2009 and 2010.

In the fiscal year 2023, the Japanese construction cost deflator for buildings stood at 123.6 index points, increasing from 121.2 points in the previous year. The construction cost deflator is a weighted index estimating the inflation-adjusted price development of construction in Japan, considering expenditures for materials, labor, and investment. What are features of the construction cost deflator? Since 1951, the government has been compiling a deflator for construction costs. It helps, for example, to determine contract prices for public works like roads. Today’s version includes various sub-indices, such as the one for buildings; they may be residential or non-residential, and their structural frames may be either wood, steel, or reinforced concrete. While the deflator considers all of Japan, other price indices give more detailed insight into specific buildings, materials, and regions. Rising energy-prices have spilled over to materials Japan has not been spared by recently inflating energy prices. Accordingly, the domestic construction industry is monitoring the monthly construction material price index. Unlike the deflator, it also provides regional-specific data, showing that although inflation impacted all materials throughout the country, some materials and places were more affected than others. In Tokyo, cement prices have increased by over 42 points since fiscal year 2021 – in Osaka, by around 50.

Colombia Construction Cost Index: Buildings: Hospital & Care Center: Barranquilla data was reported at 103.126 Dec2021=100 in Feb 2022. This records an increase from the previous number of 101.752 Dec2021=100 for Jan 2022. Colombia Construction Cost Index: Buildings: Hospital & Care Center: Barranquilla data is updated monthly, averaging 102.439 Dec2021=100 from Jan 2022 (Median) to Feb 2022, with 2 observations. The data reached an all-time high of 103.126 Dec2021=100 in Feb 2022 and a record low of 101.752 Dec2021=100 in Jan 2022. Colombia Construction Cost Index: Buildings: Hospital & Care Center: Barranquilla data remains active status in CEIC and is reported by National Administrative Department of Statistics. The data is categorized under Global Database’s Colombia – Table CO.EA007: Construction Cost Index: Buildings: Dec2021=100.

Taiwan Construction Cost Index: Building Construction (BC) data was reported at 110.660 2021=100 in Feb 2025. This records an increase from the previous number of 110.300 2021=100 for Jan 2025. Taiwan Construction Cost Index: Building Construction (BC) data is updated monthly, averaging 78.500 2021=100 from Jan 1991 (Median) to Feb 2025, with 410 observations. The data reached an all-time high of 110.770 2021=100 in Jul 2024 and a record low of 49.270 2021=100 in Sep 1991. Taiwan Construction Cost Index: Building Construction (BC) data remains active status in CEIC and is reported by Directorate-General of Budget, Accounting and Statistics, Executive Yuan. The data is categorized under Global Database’s Taiwan – Table TW.EA019: Construction Cost Index: 2021=100.

Construction Output Price Indices (OPIs) from January 2014 to December 2024, UK. Summary.

Compared to the overall average of 30 different major cities in the United States, building materials in San Francisco were more expensive than in Chicago. Opposed this is a city like Detroit, Michigian, where the price index of building materials was slightly below the average. What this overview tries to do, then, is compare the major cities against each other and whether one was relatively more expensive than the other when it comes to construction costs. This is especially visible for installation - such as HVAC. The city of New York reached an index of 174 in May 2021, meaning installation costs here were around 74 percent higher than the average cost for the 30 cities combined. Cities found in the state of Texas made up the other end of that spectrum: Installation costs in San Antonio, Houston and Dallas were between 30 to 40 percent lower than the overall average.

Romania Construction Cost Index: 2021=100: NACE 2: ow Civil Engineering data was reported at 145.800 2021=100 in Dec 2024. This records an increase from the previous number of 141.800 2021=100 for Nov 2024. Romania Construction Cost Index: 2021=100: NACE 2: ow Civil Engineering data is updated monthly, averaging 68.250 2021=100 from Jan 2005 (Median) to Dec 2024, with 240 observations. The data reached an all-time high of 145.800 2021=100 in Dec 2024 and a record low of 39.000 2021=100 in Feb 2005. Romania Construction Cost Index: 2021=100: NACE 2: ow Civil Engineering data remains active status in CEIC and is reported by National Institute of Statistics. The data is categorized under Global Database’s Romania – Table RO.EA008: Construction Cost Index: 2021=100.

The cost of engineering and architectural services in the United States increased in both 2021 and 2023. During the past years, the price of engineering services grew faster than that of architectural services. In 2023, producer prices of engineering services increased by 3.5 percent.

Building construction price indexes (BCPI) by type of building. Quarterly data are available from the second quarter of 1982. The table presents quarter-over-quarter and year-over-year percentage changes for various aggregation levels. The base period for the index is (2017=100).

Brazil Construction Cost Index: ICC-RJ: H4: 3, 4, 5 & 6 Floors data was reported at 835.781 Aug1994=100 in Jan 2021. This records an increase from the previous number of 828.168 Aug1994=100 for Dec 2020. Brazil Construction Cost Index: ICC-RJ: H4: 3, 4, 5 & 6 Floors data is updated monthly, averaging 167.593 Aug1994=100 from Jul 1975 (Median) to Jan 2021, with 547 observations. The data reached an all-time high of 835.781 Aug1994=100 in Jan 2021 and a record low of 0.000 Aug1994=100 in Oct 1982. Brazil Construction Cost Index: ICC-RJ: H4: 3, 4, 5 & 6 Floors data remains active status in CEIC and is reported by Getulio Vargas Foundation. The data is categorized under Brazil Premium Database’s Construction and Properties Sector – Table BR.FGV: Construction Cost Index.

Construction Cost Index: Building: Oct2007=100: Ahmedabad data was reported at 144.660 Oct2007=100 in Jul 2021. This records an increase from the previous number of 144.640 Oct2007=100 for Jun 2021. Construction Cost Index: Building: Oct2007=100: Ahmedabad data is updated monthly, averaging 144.000 Oct2007=100 from May 2012 (Median) to Jul 2021, with 111 observations. The data reached an all-time high of 144.660 Oct2007=100 in Jul 2021 and a record low of 125.260 Oct2007=100 in May 2012. Construction Cost Index: Building: Oct2007=100: Ahmedabad data remains active status in CEIC and is reported by Construction Industry Development Council. The data is categorized under Global Database’s India – Table IN.EB003: Construction Cost Index: Construction Industry Development Council: Ahmedabad.

The price of multifamily units under construction in the United States increased significantly more than that of single-family homes in 2024. While the price of single-family houses was two percent higher than in the previous year, those figures amounted to over four percent for multifamily residential units. The overall cost of construction materials in the U.S. increased noticeably in 2021 and 2022.

Hungary - Construction cost index was HUF106.90 points in December of 2021, according to the EUROSTAT. Trading Economics provides the current actual value, an historical data chart and related indicators for Hungary - Construction cost index - last updated from the EUROSTAT on March of 2025. Historically, Hungary - Construction cost index reached a record high of HUF106.90 points in December of 2021 and a record low of HUF26.70 points in March of 1999.

Colombia Construction Cost Index: Bldg: Non Social Interest Housing: Manizales data was reported at 125.140 Dec2021=100 in Jan 2025. This records an increase from the previous number of 122.630 Dec2021=100 for Dec 2024. Colombia Construction Cost Index: Bldg: Non Social Interest Housing: Manizales data is updated monthly, averaging 118.540 Dec2021=100 from Jan 2022 (Median) to Jan 2025, with 37 observations. The data reached an all-time high of 125.140 Dec2021=100 in Jan 2025 and a record low of 101.789 Dec2021=100 in Jan 2022. Colombia Construction Cost Index: Bldg: Non Social Interest Housing: Manizales data remains active status in CEIC and is reported by National Administrative Department of Statistics. The data is categorized under Global Database’s Colombia – Table CO.EA008: Construction Cost Index: Buildings: by Domain: Dec2021=100.

The annual price growth rate of hardwood lumber in the United States fluctuated significantly between 1970 and 2023. During that time, the highest increase was observed in 2021 when hardwood lumber prices increased by 34.9 percent. The producer prices for hardwood lumber fell by 15 percent in 1975.

Between 2018 and 2021, the cost of construction materials mostly increased in the United Kingdom. There was only a small decrease in their price in 2020. In 2021, the costs reached a 4.8 percent growth rate. Moreover, building materials costs are expected to grow by 17.6 percent in 2022. Nevertheless, these figures were calculated at the end of 2021, and therefore do not reflect the developments seen afterwards.

There were approximately 982,000 building permits for single-family housing units granted in the United States in 2024. That number was lower than in 2021, when the number of building permits peaked. However, those figures increased again in 2024. The numbers still remain considerably lower than its 2005 peak with 1.68 million building permits.

What is considered a single-family home? Single-family homes are detached, independent properties built as the residence for one person, family, or household. In 2025, it is expected that the number of single-family housing units under construction in the United States will increase to over 1.1 million. In 2024, New York was one of the cities in the U.S. with the highest construction costs for residential single-family buildings. However, there were significant differences between the costs of a multi-family and a single-detached home. What is the price of a single-family home in the United States? Price is one of the main factors in deciding whether to buy an existing or new home. In 2023, the median sales price of an existing single-family home in the United States increased slightly, reaching 389,300 U.S. dollars. However, the price of single-family houses can vary a lot depending on its location and other factors.