Solutions

Commercial Product Bulletin

1st Quarter 2018

Overview

Commercial Bulletin Highlights

CoreLogic® monitors a wide variety of construction materials for the commercial and agricultural building industry. A few of this quarter’s highlights are:

  • From Q3 2017 to Q4 2017, the average for U,S, building materials increased by 1.6%, For labor, the average wage rate increased by 0.4%, based on construction trade contracts that were renewed during the quarter.
  • The average change for Canadian building materials increased by 1.6% over the quarter, For labor, the average wage rate increased by 0.1%, based on construction trade contracts that were renewed during the quarter.
 

CoreLogic® monitors a wide variety of construction materials for the residential building industry. A snapshot of some of the most common material elements is listed below:

Q1 2018 Overview Index

National Average

From  Q3 2017 TO Q4 2017

Q1 2018 Commercial  National Average Index

We monitor demographics and econometric statistics, government indicators, and localization requirements, including market trends from nearly 3,000 unique economies in the United States, and over 100 in Canada.

About CoreLogic® Data Research

To ensure that our clients receive the most current building material and labor costs, the CoreLogic data team continuously researches hard costs such as labor, material and equipment , including mark-ups. Our research also covers soft cost such as taxes and fringes for reconstruction work performed for the insurance industry in the United States and Canada. We monitor demographics and econometric statistics, government indicators, and localization requirements, including market trends from nearly 3,000 unique economies in the United States, and over 100 in Canada.

  • Other factors in this process include the following:
  • Wage rates for more than 85 union and non-union trades
  • Over 100,000 line items of construction data
  • Productivity rates and crew sizes
  • Local cost concerns, such as building code requirements and other localized variables

In addition, we validate cost data by analyzing field inspection records, contractor estimates, phone surveys and partial and full loss claim information. For more information, or for further explanation, please contact your sales consultant or account manager.

NOTE: The cost information in this bulletin is only intended to give you a general sense of reconstruction cost trends in North America.  You should NOT advocate using these factors when adjusting renewal values for specific locations or across your book of business.  Please note that the building material and labor cost trends presented in this bulletin are broad averages derived from our research of construction trades and building materials.

United States

U.S. Regional Weighted Commercial Cost Changes

 

From Q3 2017 to Q4 2017, the average for U,S, building materials increased by 1.6%, For labor, the average wage rate increased by 0.4%, based on construction trade contracts that were renewed during the quarter.

CoreLogic monitors a wide variety of construction materials for the commercial and agricultural building industry. A snapshot of some of the most common material elements is listed below:

Q1 2018 US Quarterly Material Comparison

 

U.S. State by State Cost Changes

The table below provides a state by state snapshot of the changes in reconstruction costs for commercial and agricultural buildings.

Q3 2017 compared to Q4 2017

Q12018 US State Comparison

Canada

Canada Regional Weighted Commercial Cost Changes

 

The average change for Canadian building materials increased by 1.6% over the quarter, For labor, the average wage rate increased by 0.1%, based on construction trade contracts that were renewed during the quarter.

CoreLogic monitors a wide variety of construction materials for the commercial and agricultural building industry. A snapshot of some of the most common material elements is listed below:

Q12018 US State Comparison

 

Canada Province by Province Cost Changes

The table below provide a province by province snapshot of the changes in reconstruction costs for commercial and agricultural buildings.

Q3 2017 COMPARED TO Q4 2017

Q12018 US State Comparison