Each Monday, we'll let you know what's coming in the week ahead, including important residential and commercial report releases, as well as our feature articles.
"The Dotted Line" contract series: General conditions — April 12
In January, we launched our year-long series, "The Dotted Line," exploring facets of construction contracts each month. Our first installment delved into the pros and cons of guaranteed maximum price contracts, our second installment looked at construction bonding, and our third installment investigated the intricacies of the design-build method.
On Tuesday, April 12, we will publish the fourth installment in the series and explore the need-to-know general conditions of a construction contract. The fine print can contain potential landmines for contractors, but it's still common for some contractors to skim over certain conditions before signing, leaving issues to be worked out legally afterward. We'll talk to experts about which common provisions of a contract's general conditions can cause the most problems for contractors, and how they can protect themselves.
Producer Price Index — April 13
The monthly Producer Price Index report from the Bureau of Labor Statistics will be released on Wednesday, April 13. That afternoon, the Associated Builders and Contractors will offer their take on the data, and we'll cover both reports in a combined story.
Last month, construction material prices fell another 0.6% between January and February and 3.7% year-over-year. February was the eighth consecutive month of declines in construction industry inputs in the Producer Price Index.
ABC Chief Economist Anirban Basu attributed the continued decline in commodity and material prices to "weak global growth and the prospects of a strengthening U.S. dollar." He predicted that construction material prices will rebound in March, but he added that a major price surge in the coming months is unlikely.
Will the ongoing pattern of price declines continue, or will material prices rebound this month?
Spring housing market predictions article — April 14
Heading into the spring buying season, the residential construction and real estate industries are keeping a close eye on market activity. Recent housing market reports have been mostly positive, as builder confidence held steady at a score of 58, housing starts rose 5.2% in February to a 1.18 million annualized rate, new single-family home sales increased 2.0% in February, and pending home sales swelled 3.5%. However, on the negative side, existing home sales dropped 7.1% last month.
Will the slow and steady growth in the housing market pick up the pace as the weather heats up? In our feature article on Thursday, April 14, we'll look back at recent market indicators and talk with residential experts about their predictions for the spring buying season.
