Residential construction costs impacted by energy prices
Energy input prices increased in March at their fastest pace since June of 2020, in response to the conflict in Iran. Building material prices, excluding energy, rose for the eleventh straight month, resulting in higher residential construction costs. On a monthly basis, the price of input goods to new residential construction was up 1.8% in March.
The price index for inputs to new residential construction rose 1.2% in March and was up 3.8% from 2025. The price of goods used in new residential construction was up 1.8% over the month and up 4.3% from last year, while the price of services was up 0.3% over the month and up 3.1% from last year.
