#140 The rising costs of construction material – Jim and Manny share some insights on the critical mass.
A minor technical glitch at the start of the show, 2 mins and then we get back to normal. Must be Manny with way too much on his plate these days. We discuss the rising costs of material, from lumber to metals, to everything is seeing increases and we begin with the why.
We begin the show with stats on how high lumber prices have gone from the 80’s to as recent as 2020 and how the USA is Canada’s #1 customer followed by China as #2 and that leaves next to nothing for the Canadian industry. Canada is a world leader when it comes to softwood and our government officials made deals to give it all away and that is the real reason why we are now paying for an $8 2X4.
Time for a RENOLUTION!!!
At the beginning of 2020 Jim and Dan of Caruk Hall decided to downsize after they invested into a new office space and they even had to let a few people go and consider where things were heading and Jim feels it will not be “normal” until 2022. As contractors we have to anticipate where the markets are heading and consider standing your ground with your labour rates but you also have to consider reducing your profit points, maybe lower 1 or 2 even 4 points that way we can still get the job and everyone has work.
We end today’s show on an interesting question, more of a four/five part question…how would you describe the perfect client and how would you describe a bad client? How would you describe a good or bad GC and what is your threshold for staying or walking away from the scope?
Thank you to everyone for adding their comments and two cents for this show.
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To all of our listeners, old and new, thanks for all the support, the kind words, the emails and messages about our little podcast. The word is spreading, tell your friends, family, subtrades, suppliers, tell everyone and anyone about The Construction Life.
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Don’t forget to find Jim @jimcaruk @carukhallconstruction www.carukhall.com info@carukhall.com 416 546-8602. Lastly, find Manny @hardcorerenos www.hardcorerenos.com and info@hardcorerenos.com 416 433-5737
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