Delayed by 42 days because of the government shutdown, the Census presented their August construction spending report this week. The overall construction in August bounced back a bit, 0.2 percent, above the revised July estimate. However it is 1.6 percent below the August 2024 estimate. Looking at private construction projects, spending rose 0.3% in August compared to July. Residential construction remains in the positive, with a reported 0.8% increase in investment. However a report from Reuters suggested, “But outlays on new single-family housing projects dropped 0.4%. Spending on multi-family housing…
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The Best-Paying Cities for Construction Workers
The U.S. construction industry in 2025 faces growing uncertainty amid shifting trade policies, high interest rates and stricter immigration enforcement. New tariffs on steel and aluminum have increased material costs, delaying projects and tightening budgets, while labor shortages continue to challenge contractors nationwide. Inflation has further eroded wage gains, and elevated borrowing costs are cooling new development, especially in housing. Despite these pressures, construction workers remain relatively well-paid, earning a median annual wage of $58,360—about 18% above the national median. Wages have climbed 15.4% in the past two years, more…
Read MoreFed cuts rates again, though mortgage rates are already down
The Federal Reserve announced another 25-basis-point cut to the federal funds rate on October 29, marking its second consecutive quarter-point reduction this fall. Though the Fed doesn’t directly control mortgage rates, these decisions influence borrowing costs across the economy. Anticipating the move, mortgage lenders had already begun lowering rates throughout October, with 30-year averages nearing 6%, the lowest level in more than three years. Despite this decline, housing demand remains muted, as mortgage applications have continued to fall. The Fed’s latest rate cut reflects its attempt to balance a slowing…
Read MoreNine major housing markets see price declines in August
U.S. home prices rose just 1.5% in August compared to a year earlier, marking the slowest pace of growth since 2023, according to the S&P CoreLogic Case-Shiller Home Price Index. This slowdown, down from July’s 1.7% increase, signals that the post-pandemic housing boom continues to lose momentum. In fact, nine of the 20 major metro areas tracked saw year-over-year price declines, and for the fourth consecutive month, home values failed to keep up with inflation. With inflation rising 2.9% during the same period, homeowners effectively lost purchasing power, while potential…
Read MoreCalifornia leans into the trades
California has approved $25 million in grants to fund 88 apprenticeship programs through the state’s Employment Training Panel (ETP), aiming to train more than 22,000 workers in skilled trades. The initiative, supported by employer-paid taxes rather than the state’s General Fund, focuses on building long-term, high-quality careers in industries like construction. State leaders emphasized that apprenticeships are key to developing sustainable career paths and strengthening California’s economy. According to officials, these programs align directly with industry needs and will provide participants with the tools to secure stable, well-paying jobs that…
Read MoreHow construction companies can solve the workforce shortage
The construction industry faces a growing labor shortage that’s expected to intensify over the next two years. An estimated 439,000 additional workers will be needed in 2025—and nearly 500,000 in 2026—as construction spending rises. This shortfall threatens to slow project timelines, raise costs, and compromise safety and quality. The industry’s long-term health depends on attracting new talent, especially younger workers and career changers and investing in their training and mentorship. Building proficiency in the trades takes time, making early and sustained investment in workforce development essential. The shortage is most…
Read MoreNew tariffs on building material and cabinet imports
The U.S. Commerce Department released a notice that they are implementing a 10% tariff on all timber and lumber imports and an additional 25% tariff on kitchen cabinets and furniture. They announced that imports of these materials and products pose a national security risk. The tariffs go into effect on Oct. 14. The tariffs on furniture products are expected to rise to 30% on Jan. 1, 2026. The kitchen cabinet levies are scheduled to double to 50% on the same date. Lumber America does not produce enough soft lumber to…
Read MorePMI Introduces Women of PMI Program
Plumbing Manufacturers International introduces their new program, Women of PMI. This initiative is created to support and showcase women PMI members in the plumbing manufacturing industry. This program provides members with networking opportunities, information to help develop career and leadership skills, and a platform to highlight the accomplishments they have received. Director of Programs and Administration Jodi Stuhrberg, who manages the initiative, said, “We’re excited to deliver this program to our women members, many of whom have expressed appreciation for our annual women’s breakfast and interest in a broader program.…
Read MoreContractor insights into industry trends
Findings from the Home Improvement Research Institute (HIRI) show that contractor activity has held steady throughout Q2 despite market growth softening. Current concerns include tariff and labor impact, but the outdoor materials market and demand for energy-efficient projects saw gains higher than anticipated. With data pointing to an increase in home improvement projects under $5k and a decrease in projects over $100k, the findings suggest homeowners are prioritizing inexpensive summer projects that take advantage of sunny weather or optimize efficiency in expecting the heat wave. Read More
Read MoreMacArthur Co. Acquires Sprenger Midwest
MacArthur Co announced that they have acquired the building products wholesaler, Sprenger Midwest. Sprenger Midwest was established in 1979 and headquartered in Sioux Falls. MacArthur Co., is also the parent company of Weekes Forest Products, a wood and building products material distributer. “We look forward to partnering with Weekes Forest Products,” said Steve Sprenger, president of Sprenger Midwest Wholesale. “Both companies have the same values of honesty, along with high levels of customer service and trust. We do what we say we are going to do. I am proud of…
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