Say what, lumber prices, yes, lumber prices back to reality. We’re going to talk about that right now. We’re going to show you some charts and pull that up here for you in just a moment. But isn’t it amazing how busy things got with lumber and how they just, like, spiked up and everyone’s like, oh, no. And now we’re kind of back to reality. So thank you for joining us. My name Mike Acquisto.
I’m a real estate broker. We do this each morning with TNT. We go over three different topics each morning and we’re bringing you just a couple this morning. So let’s go ahead and split the screen and we’ll chat in a link to you guys and share that for you. So off we go.
Splitting the screen. Nice transition, Omkar like that. I’m going to grab the mouse and kind of show us some stuff. What we’re pulling up right now is a one year chart that’s going on. And with this one year chart, what we have is lumber prices hit a high of almost sixteen hundred and seventy. Right. For lumber prices. That’s like really high, guys. So that was way up there.
And now we’ve seen it come back to reality. Previous close as of yesterday was five hundred and sixty. So as we look kind of back out in recent history, that number over the last couple of years is not all that far off what it kind of should be.
So if I look back into kind of an average trading range for between twenty, seventeen and twenty twenty and kind of like Skåne back out here a little bit, I look at the average trading range in here and I’m kind of like four and a quarter is kind of the average that we saw from twenty seventeen, a low of three of like three and a quarter all the way up here kind of to six hundred. It kind of peaked there for just a little while. But if we look over that reasonable time frame, we’re kind of at four and a quarter.
So that’s kind of normal for that extended period of time. The fact that we’re at five sixty now and we’re back down to that means it is inflated, but not like super, super inflated like we had here for a very brief time frame. So what does that mean for you? That means good things. Ladies and gentlemen, let’s scroll this chart back out even further and kind of look and realize that maybe three fifty is a ten year range.
So there is inflation and there are things that go on. Right. So should prices go up just a little bit over a period of time? Should they fluctuate? Sure. But should they do something like this? I don’t know. Right. So now you’ve seen a chart.
We’ve kind of looked at it and now we’re back to reality. Just odd touch, right. So thank you guys for taking a look at the chart. Now, we’re going to kind of discuss it real quick and discuss what that means for you. So that means that home prices as far as new builds should be stabilizing just a bit. Right. There’s a lot of uncertainty when there’s uncertainty. Home builders have to build that into their price.
Right. Uncertainty is scary. So we need to mark up what’s going on in that situation to kind of hedge against something going even crazier. Right, because they’re like, what if it went from this number to even higher? Right. And just kept going. So all these different invoices kept going up for the homebuilders and they were just a little nervous. So now that we have prices come back right now, now could be the right time to kind of take a look. So we didn’t really have a supply issue.
We just had like temporary shortages. We had a a supertight glut on the market. I think overall we are healthy in that market. And I do think long term that we’re going to be totally fine as far as inputs for new construction goes. So if you’ve been on the sideline for just a little bit because of lumber prices and you’re scared, don’t be anymore. We’re here for you. You can jump back in. The water is totally fine. We’ll get you with that right. Home builder will do all those right things for you.
That’s what we do, is a brokerage and care for you. The other commodities also had similar type issues. So just showing this one example of lumber should also illustrate that other things are getting worked through as well. Ladies and gentlemen, it’s time. Let’s do it. Give us a call. We’ll help you out. Thank you.