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  #1  
Old 12/19/06, 06:34 PM
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Heads up Lumber Prices

Was at the BIG mill today picking up lumber. We talked about prices. Right now they are at an almost all time low. Mills are closing all over and expect the price of framing lumbe and plywood to double in the next two months. As soon as current supplies run through the pipeline. This is no different that oil. Plenty of oil and lumber out there. Just a matter of manipulating the market.H
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  #2  
Old 12/19/06, 07:18 PM
 
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  #3  
Old 12/19/06, 07:20 PM
 
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I wonder if that is because the housing market has slowed and probably will continue to slow?
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  #4  
Old 12/19/06, 07:45 PM
 
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If new home construction is down and there is a surplus of lumber on the market, why would prices go up?
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  #5  
Old 12/19/06, 08:02 PM
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I would venture a guess that will ALL the rebuilding in NO after Katrina that it has made the market short and they have not caught up to it yet. Just think of how much new lumber was and still is needed all over the Southern States after that summer of such terrible weather.
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  #6  
Old 12/19/06, 08:11 PM
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Quote:
Originally Posted by TnAndy
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  #7  
Old 12/19/06, 08:15 PM
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Quote:
Originally Posted by cfabe
If new home construction is down and there is a surplus of lumber on the market, why would prices go up?
one reason we got into the discussion was because Weyerhaeuser has closed two or three of its plywood plants. One big one in KY and I forget where the other two are.
Doesn't make any difference how much logging is out there. They can buy and stock up. But if they don't turn it into lumber then it gets scarce and price goes up. No different than oil or any other commodity. Right now I presume it cost more to store the stuff than to get rid of it and then drive the price back up.
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  #8  
Old 12/19/06, 08:19 PM
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Quote:
Originally Posted by TNHermit
Was at the BIG mill today picking up lumber. We talked about prices. Right now they are at an almost all time low.
I can attest to that. We do sustainable lumbering and the prices have been low for almost all species of wood for quite a while now. It predated the housing slump by a lot.
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  #9  
Old 12/20/06, 04:59 AM
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I work in a lumber mill in Washington state. Last month, we were laid off for a week (management called it a "curtailment") because of the low lumber prices. I guess they haven't been this low since the 1970's. The curtailment we went through was the first ANYONE that's worked there for years and years can remember.

Apparently, we ("my" mill) have commitments from a couple of big distributors (Home Depot, Leow's) that will keep us working (at least that's what they're teling us). Also, supposedly, the company I work for is still willing to purchase other mills that are closing......I don't understand it, but the Plant Manager says now is the best time to pick those up. Hope they know what they're talking about, because I sure don't want to lost my job (not until I have something else lined up, anyway).

Management says the lumber prices are low, but the log prices are still high.

We produce 2X4's, 2X6's and 4X4's.
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  #10  
Old 12/20/06, 05:21 AM
 
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A lot of cheaper importrs coming into the US from Canada drive the market as well. I saw a few bundles of something or other that had an overseas stamp on them as well. Once they start logging the great Siberian forests and shipping it worldwide, lumber men in our country will really be in trouble Im afraid.
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  #11  
Old 12/20/06, 06:08 AM
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It's strange but I have 18 foot 2/6s on the yard for $8.20 a peice. The same as last year
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  #12  
Old 12/20/06, 06:46 AM
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Quote:
Originally Posted by FrankTheTank
I wonder if that is because the housing market has slowed and probably will continue to slow?

If demand is lower the prices typically go down in any commodity. What usually raises prices are a boom in building and natural disasters such as hurricanes etc. I ahve been building for three years and have seen prices wildly swing from high to low based on these factors. For instance..sturdi floor 3/4 T&G sub flooring...when I put my first floor in it was 19.97 a sheet..6 weeks later and at the height of the building boom it was 29.97. It is back down to around 20.00 a sheet now.. After katrina...Drywall has risen significantly since in a flood that all has to be replaced...I was paying 6.50 a sheet...now I am paying 10.00 a sheet. Copper piping had a huge jum ( thankfully after I bought what I needed) when the prices of metal rose on the Stock market. Now when I see something low...I buy it if i think i might need it for some future building.
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  #13  
Old 12/20/06, 07:22 AM
north of the lift bridge
 
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DW works for a lumber company in se michigan,they do pressure treating
composit lumber and injected molding of decking and trims
they have been really slow on moving products[2-6 trucks a day from 20+]
2007 doesent look any better
closing plants and reducing staff
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  #14  
Old 12/20/06, 07:22 AM
 
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I've been looking at the sturdi-foor T&G subflooring, too. Bought some a couple of years ago, around $22 a sheet, then after Katrina it was near $30, almost bought some when it got down to $25, but glad I didn't. Last week it was on sale for $14, this week still $14 but not on sale. I'm using it to cover/repair my hayloft floor, so will end up using quite a bunch of it (30x40+ feet area).
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  #15  
Old 12/20/06, 07:41 AM
 
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Quote:
Originally Posted by WisJim
I've been looking at the sturdi-foor T&G subflooring, too. Bought some a couple of years ago, around $22 a sheet, then after Katrina it was near $30, almost bought some when it got down to $25, but glad I didn't. Last week it was on sale for $14, this week still $14 but not on sale. I'm using it to cover/repair my hayloft floor, so will end up using quite a bunch of it (30x40+ feet area).

That's about the way it is here also.. The prices went up and we quit buying lumber. Now we have been seeing it come down and may start to buy again..
I have been using used lumber salvaged from shipping crates and skids.. the cost for this lumber is the time to pick it up and the time to plane it down.. I also find I enjoy working with this lumber more...it's mostly oak or pine..
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  #16  
Old 12/20/06, 08:22 AM
 
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Just had a guy stop by intrested in my timber, but for what he offered I am better off trying to borrow a mill and use em or burn em myself!
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  #17  
Old 12/20/06, 10:14 AM
 
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Quote:
Originally Posted by tnhomestead
Just had a guy stop by intrested in my timber, but for what he offered I am better off trying to borrow a mill and use em or burn em myself!
That sort of guy is gonna lowball you. If you are interested in selling your timber, the smart money says to hire a forester who will get you the best price. (S)he will more than earn her/his commision. (I feel SO politically correct!)

Personally, I would never sell my trees, but that's just me. They are worth more to me than I could sell them for.
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  #18  
Old 12/20/06, 11:22 AM
 
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Well I know where I'll be for the rest of the day! Lumber has been so high for sooooo long that I rarely even venture into the lumber section of the local home improvement place. Sorry for ya'll that work in the industry. Merry christmas to meeeeeeeee, merry christmas to meeeeee (humming while dashing out the door).
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  #19  
Old 12/20/06, 01:35 PM
 
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Quote:
Originally Posted by TnAndy
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Heads up   Lumber Prices - Homesteading Questions

Yep Its Nice to Have a Mill-----I have a LT40hyd, but mine just sits--rarely use it because I got over 30,000 BF cut and air stacked----Maybe I need to put up a Sign and start selling some---get the mill out and cut some more---------I can see it now------------Fire-Man's Lumber--------Hmmmmm, sounds ok. Randy
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