19 minute read
Ask The Builder
How have the price and supply of lumber and other building materials a ected your home prices?
While lumber prices are down 40% from a record high in May, wood and other building supplies are still selling at far above pre-pandemic prices. One local builder we talked with told us that a year ago, a piece of 4-foot x 8-foot, ¾-inch subflooring sold for “$18 and some change.” Recently, he paid over $80 for the same product.
Advertisement
To compound the situation, builders are having to endure supplychain shortages on many of the items needed for new home construction and remodeling.
We spoke with area builders to find out how higher prices and shortages are impacting their businesses and if they foresee any relief in the near future. Here are their responses:
“Obviously, it has made house prices go up substantially. It’s much more difficult for builders to determine the (final) price of the house, especially with lumber costs as they are.
“There are also a lot of shortages. Appliances are taking about three months for delivery. I’ve had to plan way ahead and have some things delivered earlier than normal. So far, we’ve been able to finish the houses in time, but we’ve cut it close.
“I think lumber prices will settle
Adobe Stock photo The price of lumber soared at the beginning of 2020 as the COVID-19 pandemic caused supply shortages. Coupled with that, the demand for home remodeling projects and new homes surged as employees working remotely felt the need for larger homes or private workspace in their existing homes. Lumber prices hit an all-time high in May, but have since dropped about 40%, which investors and lawmakers hope refl ects the reopening of the economy and a gradual return to normalcy.
down when construction slows or stops. But I don’t know what’s going to happen. If I could tell the future, I wouldn’t be building houses.” Randy Dezern, RS Dezern Construction
our family our family our family caring for yourscaring for yours caring for yourscarefor life
carefor life
“People talk about lumber going up but forget that lumber is more than the framing for the house. It’s the wood floors, wood cabinets and wood trim. In addition to wood, the price of every other thing in the house has gone up – concrete, dry wall, hardware, etc. I can’t think of anything that hasn’t gone up. “(Rising and changing prices) make it hard to price a home. You’re pricing what you can price. Some builders talk about escalation clauses, but I haven’t figured out how that works (when a buyer tries to get a mortgage). “Shortages are another problem. We’re ordering things way earlier than we used to have to – we’re ordering appliances at the start of a job and 20 JUNE 17 - 30, 2021 The Northwest Observer • Totally local since 1996
windows as quick as we’ve got a set of plans. Windows used to take approximately two weeks and now it’s approximately eight weeks. “It’s difficult. You just keep going and doing the best that you can.” Commie Johnson, Johnson and Lee, LLC “The lumber price impact is painful, for sure. We have looked for creative ways to offset some of the impact by using alternative materials, having a higher degree of planning for each framing job and having different vendors quote each house. Our primary care providers have one goal in common: keeping you and your family healthy. As part of a world-class academic medical center, we have access to a broad range of services focused on high quality, affordable care. our family carefor life Our primary care providers have one goal in common: keeping you and “Not only have prices on building materials gone up but there have been shortages as well. We have had to be Same- and next-day appointments often available. caring for yours your family healthy. As part of a world-class academic medical center, we have access to a broad range of services focused on high quality, more intentional in our planning and preparation for when we would need affordable care. certain building elements – windows
Same- and next-day appointments often available. and doors, shingles, framing materials, paint, etc. carefor lifeFAMILY MEDICINE – SUMMERFIELD 4431 US Highway 220 North
Summerfield, NC 27358
Our primary care providers have one goal in common: keeping you and 336-643-7711 | Wakehealth.edu your family healthy. As part of a world-class academic medical center,
A Wake Forest Health Network practice. we have access to a broad range of services focused on high quality, affordable care.
Same- and next-day appointments often available.
Our primary care providers have one goal in common: keeping you and your family healthy. As part of a world-class academic medical center, we have access to a broad range of services focused on high quality, affordable care. Same- and next-day appointments often available. FAMILY MEDICINE – SUMMERFIELD Our primary care providers have one goal in common: 4431 US Highway 220 North keeping you and your family healthy. As part of a world-class Summerfield, NC 27358 academic medical center, we have access to a broad range of 336-643-7711 | Wakehealth.edu A Wake Forest Health Network practice. services focused on high quality, affordable care.FAMILY MEDICINE – SUMMERFIELD Same- and next-day appointments often available. 4431 US Highway 220 North, Summerfi eld, NC 27358 336-643-7711 | Wakehealth.edu/PrimaryCare A Wake Forest Health Network practice.
Summerfield, NC 27358 336-643-7711 | Wakehealth.edu ...continued on p. 22
“These changes in the marketplace have led to home prices increasing. Thank goodness we have recently had historically low interest rates, which have allowed for buyers to still be able to purchase new homes and essentially have a similar mortgage payment as they would have prior to the pandemic.”
Ray Bullins, Ray Bullins Construction Co.
“In years past we would typically see increases in building materials the first of the year. They would be 1 to 3% on some, not all materials. Now we’re seeing increases every week in various building materials and with some of them, multiple times in the past year. These increases are ranging from 10 to 50%.
“It’s all a matter of supply and demand. Due to the long-running low interest rates, everyone is refinancing and adding on, remodeling, upgrading or building. This huge demand at a time when materials are difficult to come by due to the shortage in the workforce caused by the pandemic is wreaking havoc in the building industry.
“With all the price fluctuations, we have had to change the way we price our homes to work in this kind of environment. We can’t control the costs, so rather than lock in a set price at the time of the contract, we’re doing cost plus a percentage or cost plus a set builder fee.
“We just can’t risk locking in prices and having the costs go up to the point that we’re losing money. No business can survive like that. We’re also dealing with such short supplies and delays in delivery that as soon as buyers make their selections, we’re placing our orders.”
Kathy Dumas, R&K Custom Homes
email your builder questions to:
editor@nwobserver.com
Thank you to the businesses, organizations and individuals who advertise in the Northwest Observer and make it possible to provide this community resource at no charge to our readers. Purple Wagon Events
Owner: Nicki Wagoner
Nicki Wagoner said she was looking for an outlet to sell her home décor when a friend approached her about planning her own events for artists and craftspeople.
“I bought her business and have made it on my own ever since,” Wagoner said of her business, which gives her the opportunity to bring craftspeople and artists together in one place to promote their items.
Describing herself as a “people person,” Wagoner said she enjoys helping promote others and seeing them succeed.
Borrowing a quote from the late Steve Jobs, Wagoner operates on the philosophy, “The only way to do great work is to love what you do.”
On a personal note, Wagoner said she grew up in Virginia Beach, Virginia, but is happy to be a North Carolina transplant.
“I love how you can visit the mountains and the coast all in one day if you want to,” she said of North Carolina.
Wagoner said she is a mom, a “bonus mom,” and a mom to three fur babies.
To learn about Wagoner’s upcoming event at Stokesdale Elementary School on June 26, see ad on p. 14; questions may be directed to purplewagonevents@gmail.com.
Autumn Creek Vineyards
Owner: Bill Stanley
Autumn Creek Vineyards, located in Mayodan, North Carolina, is owned by Bill Stanley. Bill and his son Scott, who is a professional landscaper/designer, ... continued on p. 26
Brought to you by Smith Marketing
STILL
Rated
walravensignaturehomes.com
(336) 442-8657 (Matt Walraven) (336) 207-7790 (office)
Like us on Facebook
We Build Quality Homes (336) 420-8555
Mike Lee (336) 362.4462 Rick Lee (336) 362.4461 www.JohnsonandLeeLLC.com
Call us today building your to talk dream abouthome
Ray Bullins started in the construction business in the 1970s; he was 12 at that time and helped his father with renovations and restorations around Kernersville. “My father often told me, ‘Come on, let’s go learn how to do something,’” Ray said. “I made cement, brick and mortar mix, drove nails, just whatever he told me to do around the site.” Ray and his wife, Lisa, started Ray Bullins Construction Co. in 1993 and sold their first house a year later for $83,000. Ray figures they have built more than 200 homes since then, most ranging from $350,000 to $1,000,000 and between 2,500 to 7,000 square feet. The company welcomed its next generation of builders last year with the addition of the couple’s 25-year-old son, Mitch, who graduated from Appalachian State University in December 2019. While also learning the construction side of the business from the ground up, Mitch primarily focuses on the business side, especially on incorporating technology and social media. “He’s been assigned the task of bringing us into the 21st century,” Ray joked. “He’s doing a remarkable job in getting our name out and improving our communication processes, and we’re happy to have him with us.” Mike Lee (336) 362.4462 The ability to work so closely with Rick Lee (336) 362.4461 clients has largely contributed to the www.JohnsonandLeeLLC.com company’s success, Ray noted, while
CUSTOM BUILD “My wife and I never had a house built before, but we decided to build our retirement home. Many of our friends warned us about the stress and frustration that they experienced when they built their own houses. I can tell you we never went through these issues because of Johnson and Lee’s communication and the quality of their workmanship. They are honest people who do what they say they will do and are incredible schedulers who always show up and consistently work methodically. Everything is done so professionally and with such craftsmanship that you will be completely amazed. Our house signifi cantly exceeded our expectations. We are fortunate we found Johnson & Lee to build it.” - Ken & Sallie Hall, Stokesdale Casey Johnson (336) 706.1887 Commie Johnson (336) 706.2658 Ray Bullins Construction Co. The legacy continues Ray Bullins started in the construction business in the 1970s, when as a 12-year-old boy he helped his father with remodels, renovations and restorations around Kernersville. “My father often told me, ‘Come on, let’s go learn how to do something,’” Ray said. “I made cement, brick and mortar mix, drove nails, just whatever he told me to do around the site.”
In 1993, Ray and his wife, Lisa, started Ray Bullins Construction Co. Photo by Annette Joyce/NWO They sold their first house in 1994 Mitch Bullins, (center) recently joined his parents, for $83,000. Ray figures he’s built Lisa and Ray Bullins, at Ray Bullins Construction Co. more than 200 homes since then, Ray Bullins Construction Co. most now ranging from $350,000 to has established a reputation $750,000 (or more) and between 2,500 to for building quality homes with 7,000 square feet. a unique feel. (Right) Located
The company recently welcomed the in Greensboro’s Owl’s Roost next generation of builders with the addi- community, this Ray Bullins tion of the couple’s 24-year-old son, Mitch, who graduated from Appalachian State Spring Parade of Homes entry. University in December. While also learning the construction side of the business from the ground up, Mitch’s primary focus is on the business side, especially on incorporating technology and social media. and the upgrades. The floorplan was a big seller, too. Ray is also easy to work with as well as fair. We’d let him build another house for us in a heartbeat.” “He’s been assigned the task of bringing us into the 21st century,” Ray joked. “He’s already done a remarkable job in getting our name out and improving our communication processes, and we’re happy to have him with us.” Part of what has enabled Ray Bullins Construction Co. to be so successful is its ability to work so closely with clients, Ray noted, while crediting the company’s emphasis on customer service and communication to Lisa, who is not only his wife but his business partner. Ray and Lisa Bullins believe building a “Most custom builders in northwest Guilford use custom features,” Ray acknowledged. “The way we incorporate features into the final design and look of the house is what really stands out to our clients.” Ray Bullins Construction Co. is currently building homes in the Owl’s Roost community in northwest Greensboro and the Knight’s Landing community in Oak Ridge, and is preparing to begin construction in Angel’s Landing in Summerfield. Ray also mentioned that he and a small group of custom home builders custom home should be “an exciting event filled with hope and expectation for the (336) 345-3263 | buildmanbrb@aol.com |
entire family,” and they’re committed to ensuring their homeowners experience this crediting the emphasis on customer as the company builds living spaces that service and communication to Lisa, are both elegant and comfortable – without who is also his business partner. sacrificing quality. Ray and Lisa believe their home-
When Karen Smith and her husband, owners’ involvement in building a Gary, met Ray and Lisa at last year’s custom home should be “an exciting Parade of Homes, they already had a house event filled with hope and expecplan and were simply looking for a builder. tation for the entire family,” and
“We walked into their house, met Ray they remain focused on this as the and Lisa and threw away our plans,” Karen company builds high-quality living said, explaining she and Gary chose to spaces that are both elegant and duplicate the Parade home plan on the comfortable. couple’s 16-acre farm in Walkertown.When Karen Smith and her
“Ray built houses as a young man workhusband, Gary, met Ray and Lisa ing with his dad. He knows what he’s doduring a Parade of Homes tour, ing,” she added. “We trusted him, and he they already had a house plan and were was open and willing to talk things through simply looking for a builder. with us. I can’t complain about one thing.”“We walked into their house, met Ray
Things went so well, in fact, that Ray and Lisa and threw away our plans,” Karis now working with Karen’s daughter in en said, explaining she and Gary chose to the construction of her home on the family duplicate the Parade home plan on the property. couple’s 16-acre farm in Walkertown.
Melanie Huffman said quality of “Ray built houses as a young man construction was evident in the home she working with his dad. He knows what and her husband, Ricky, purchased in he’s doing,” she added. “We trusted Oak Ridge’s Knight’s Landing. him, and he was open and willing to talk
“Ray’s quality really stands out,” she things through with us. I can’t complain said. “We loved the extras, the details, about one thing.”
Ray Bullins Construction Co.
The legacy continues Photos courtesy of Ray Bullins Construction Co. File photo At Ray Bullins Construction Co., Lisa, (left) Mitch and Ray Bullins focus on building great houses and strong relationships.
Ray Bullins Construction Co. has established a reputation for building quality homes with a unique feel. (Right) Located in Greensboro’s Owl’s Roost community, this Ray Bullins home was the company’s Spring Parade of Homes entry. Ray Bullins Construction Co. strives to build high-quality, unique homes that provide a haven for their owners.
Time-tested reputation of excellence in quality home building for 40 years
Established 1981
Designed and built just for you! Now building and developing in some of northwest Guilford County’s finest neighborhoods or wherever you want to be! Belews Ridge • Birkhaven Knights Landing North Ridge • Wolf Ridge North Ridge • Wolf Ridge
From our family to yours –
Now is the time to make the investment in home ownership. We would enjoy partnering with you to build it. – Francis, Mark and Patti Disney Ray Bullins Construction Co., Inc. 336-643-4219 • disneycustomhomes.com (336) 345-3263 | buildmanbrb@aol.com | raybullinsconstruction.com houzz.com/pro/disneyconstructionco
When only the best will do
and the upgrades. The floorplan was a big seller, too. Ray is also easy to work with as well as fair. We’d let him build another Custom home building isn’t just our job, it’s our house for us in a heartbeat.” passion. With attention to detail at every step
“Most custom builders in northwest of the way, we’ll strive to make your Guilford use custom features,” Ray home building process smooth acknowledged. “The way we incorporate and stress-free. features into the final design and look of the house is what really stands out to our clients.” Ray Bullins Construction Co. is currently building homes in the Owl’s Roost community in northwest Greensboro and the Plus, we back every new home with a 1-year warranty. We hope you’ll work with us to build your next home – you won’t regret it! Knight’s Landing community in Oak Ridge, and is preparing to begin construction in Angel’s Landing in Summerfield.
Ray also mentioned that he and a small group of custom home builders www.naylorcustomhomes.com (336) 382-9085 • naylorcustom@gmail.com
Photos courtesy of Ray Bullins Construction Co. are looking at an exciting opportunity in Oak Ridge. Besides building in some of the area’s newest communities, the company works with future homeowners who’ve purchased their own lots throughout the Triad. A regular participant in the Greensboro Builders Association’s fall and spring Parade The company has since completed of Homes, Ray was pleased with the two-a second home on the property for the weekend event that ended June 14. Smiths’ daughter and her husband, who relocated from Raleigh. “We sold our Parade house the first weekend and attracted some other clients who came through the house,” Ray said, confirming the company’s “best form of advertising” comes from prospective homeowners being able to walk through one of Melanie Huffman said quality of construction was evident in the home she and her husband, Ricky, purchased in Oak Ridge’s Knight’s Landing. “Ray’s quality really stands out,” their homes and see for themselves the care that goes into its design and construction. Huffman said. “We loved the extras, the Ray Bullins Construction Co., Inc. (336) 345-3263 | buildmanbrb@aol.com | raybullinsconstruction.com
details, and the upgrades. The floorplan was a big seller, too. Ray is also easy to work with as well as fair. We’d let him build another house for us in a heartbeat.” “Most custom builders in northwest Guilford use custom features,” Ray acknowledged. “The way we incorporate features into the final design and look of the house is what really stands out to our clients.”
Ray Bullins Construction Co. is currently building homes in Knight’s Landing in Oak Ridge, with prices beginning at $550,000; Angels Landing in Summerfield, from $600,000; and North Ridge in Stokesdale, from $540,000. The company also has custom projects underway on individuals’ private land outside of these neighborhoods.
