Solutions

Residential Product Bulletin

2nd Quarter 2021

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Overview

RCT Express® Product Bulletin Highlights

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

  • From Q4 2020 to Q1 2021, the average for U.S. building materials increased 2.6%. For labor, the average wage rate increased 1.1%, based on construction trade contracts that were renewed during the quarter.
  • The average change for Canadian building materials was an increase of 1.1% over the quarter. Based on the construction trade contracts that were renewed during the quarter, the average labor wage rate increased 0.7%.
 United StatesCanada
 Quarter  Year   Quarter  Year   
Aluminum Conduit3.7%5.7%0.7%1.8%
Asphalt Shingles0.6%2.0%0.3%0.7%
Concrete Block-0.11.4%-0.1%1.7%
Drywall0.1%0.7%0.2%1.1%
Felt Paper0.5%1.2%0.6%2.7%
Galvanized Pipe0.7%1.6%1.5%6.2%
Lumber5.3%54.0%1.2%74.4%
Plywood5.6%42.6%2.4%33.9%
Ready Mix0.6%3.8%1.7%8.6%
Rebar1.0%1.5%0.4%-0.5%
Steel Deck0.6%1.9%0.5%3.6%
Steel Stud0.6%2.8%0.3%2.8%
Structural Steel0.4%0.3%0.3%1.4%
1/2″ Copper Pipe3.0%3.2%1.1%3.0%

National Average

Residential Reconstruction Costs
1Q21 to 2Q21

 Quarterly Variance
United States1.44%
Canada0.82%

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 costs 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. RCT Express® Cost Changes

The tables below provide a snapshot of the changes in reconstruction costs for residential buildings in the 1st quarter.

From Q4 2020 to Q1 2021, the average for U.S. building materials increased by 2.6%.  For labor, the average wage rate increased 1.1%, 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:

 

United States2Q193Q194Q191Q202Q203Q204Q201Q21
1/2″ Drywall0.0%0.4%0.4%-0.6%0.0%0.5%0.2%0.1%
Asphalt Shingles0.7%1.0%0.4%0.7%0.5%0.5%0.4%0.6%
Romex Wire-0.5%-1.6%-3.0%-1.1%-0.8%1.2%2.4%5.6%
1/2″ Plywood-5.0%-4.5%-3.0%-1.9%1.4%4.7%27.1%5.6%
2×4 Lumber-5.7%-2.8%-1.0%1.2%3.3%4.6%35.4%5.3%
R-13 Fiber Batt Insulation1.6%0.8%1.7%1.7%2.6%1.8%1.7%1.7%
1/2″ Copper Pipe0.5%-1.0%-1.2%-0.1%-0.7%0.0%1.0%3.0%
Ready Mix2.3%1.1%0.7%0.6%0.9%0.5%1.8%0.6%
Felt Paper-0.7%-0.1%0.4%0.1%0.2%0.3%0.1%0.5%

United States Cost Variances by State

Residential Reconstruction Costs
1Q21 to 2Q21

StateQuarterly Variance
Alabama2.53%
Alaska1.13%
Arizona1.16%
Arkansas1.24%
California0.07%
Colorado1.11%
Connecticut0.84%
Delaware1.02%
Florida1.54%
Georgia1.27%
Hawaii0.88%
Idaho1.04%
Illinois1.76%
Indiana1.71%
Iowa1.64%
Kansas1.48%
Kentucky1.47%
Louisiana1.59%
Maine3.26%
Maryland1.29%
Massachusetts1.98%
Michigan1.82%
Minnesota1.86%
Mississippi1.47%
Missouri1.48%
Montana1.23%
Nebraska1.51%
Nevada1.23%
New Hampshire1.84%
New Jersey0.68%
New Mexico1.04%
New York0.74%
North Carolina1.72%
North Dakota2.26%
Ohio2.23%
Oklahoma1.24%
Oregon0.92%
Pennsylvania1.55%
Rhode Island2.08%
South Carolina2.40%
South Dakota2.58%
Tennessee1.96%
Texas1.51%
Utah1.10%
Vermont0.96%
Virginia1.66%
Washington1.00%
West Virginia1.26%
Wisconsin1.24%
Wyoming1.54%

 

Q2 2021 Residential Product Bulletin US

Canada

Canada RCT Express® Cost Changes

The tables below provide a snapshot of the changes in reconstruction costs for residential buildings in the 1st quarter.

From Q4 2020 to Q1 2021, the average change for Canadian building materials was an increase of 1.1% over the quarter. For labor, the average wage rate increased 0.7% based on the 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:

 

Canada2Q193Q194Q191Q202Q203Q204Q201Q21
1/2″ Drywall2.7%1.1%0.4%0.2%0.3%0.2%0.4%0.2%
Asphalt Shingles1.0%1.5%1.9%0.9%0.2%0.1%0.1%0.3%
Romex Wire-0.2%0.6%-0.6%0.0%0.4%0.6%0.5%3.6%
1/2″ Plywood-3.1%-3.2%-2.1%-1.4%-1.3%1.3%30.8%2.4%
2×4 Lumber-5.9%-4.4%-2.4%0.3%2.0%3.8%62.7%1.2%
R-13 Fiber Batt Insulation1.5%2.1%2.3%2.3%1.7%2.6%1.9%1.6%
1/2″ Copper Pipe1.8%0.4%1.4%1.7%1.2%0.4%0.4%1.1%
Ready Mix2.5%1.0%0.8%0.7%2.1%1.5%3.0%1.7%
Felt Paper0.8%1.3%1.5%1.2%1.1%0.6%0.4%0.6%

Canada Cost Variances by Province

Residential Reconstruction Costs
1Q21 to 2Q21

ProvinceQuarterly Variance
Alberta0.60%
British Columbia1.15%
Manitoba0.55%
New Brunswick1.36%
Newfoundland0.50%
Northwest Territory1.23%
Nova Scotia0.23%
Ontario1.15%
Prince Edward Is.0.94%
Quebec0.34%
Saskatchewan0.69%
Yukon Territory1.28%

 

Q2 2021 Residential Product Bulletin Canada

Whats New

Note: CoreLogic recommends a full program install whenever possible to ensure use of latest data and program enhancements.

Cost Data Changes:

  • The 2nd quarter 2021 cost data update reflects reconstruction cost changes in both labor and material. Standardized costs in this release reflect localized, updated costs representing the impact of emerging markets and economic trends on construction costs.
  • After conducting research in zip code 18335 (Pennsylvania), the default soft costs have been reduced to more accurately reflect the current market conditions in this zip code.

Non-Cost Data Changes:  RCT Express 4.x

  • There are no Non-Cost Data changes for 2Q21.

Non-Cost Data Changes:  RCT High Value

  • There are no Non-Cost Data changes for 2Q21.

Non-Cost Data Changes:  RCT Mainstreet and Mobile/Manufactured Housing (MMH)

  • There are no Non-Cost Data changes for 2Q21.