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Timber framing dominates U.S. housing market despite rising material costs

 Friday, August 29, 2025

Timber framing dominates U.S. housing market despite rising material costs

Timber framing continues to dominate the U.S. housing market, with more than 93% of single-family homes built in 2023 using this method. According to data from the National Association of Home Builders (NAHB), this equates to around 930,000 new homes constructed using timber framing. Concrete-framed homes accounted for only 7% of new completions, amounting to about 65,000 units, while steel-framed homes remained rare, at just 3,000 units.

This trend is consistent with past years, highlighting the enduring popularity of timber framing in residential construction. Jing Fu, Senior Director of Forecasting and Analysis at NAHB, attributes the dominance of timber framing to both its cost-effectiveness and widespread availability. However, there are some notable regional variations.

Regional Preferences for Concrete and Steel

The use of non-wood framing methods is more concentrated in the Southern United States. “Non-wood framing methods are largely concentrated in the South, where resilience requirements drive demand for concrete and steel,” explained Dr. Fu. In 2023, 11% of homes built in the South were concrete-framed, and two-thirds of steel-framed homes were constructed in this region. This preference is largely driven by the region’s need for increased resilience against extreme weather, which has made concrete and steel framing more desirable for builders in these areas.

Despite the ongoing shift in some regions, the use of timber framing for single-family homes has remained steady across the United States. The material continues to offer a combination of cost-effectiveness, ease of use, and speed of construction, which are crucial for builders working to meet the growing demand for new homes.

Impact of Rising Material Costs and Tariffs

While timber framing remains the dominant choice, rising material costs are beginning to impact the affordability of new homes. The NAHB has raised concerns about how ongoing trade negotiations, especially with the European Union, could lead to a 15% tariff on lumber. In March, the association warned that these proposed tariffs are already having an effect on lumber prices, which, in turn, is driving up the overall cost of construction.

In addition to the proposed tariffs on lumber, broader uncertainty regarding the costs of other essential materials such as drywall, steel, and aluminium has added an estimated $9,200 to the total cost of a new home. As a result, builders are feeling the pressure.

In response, 29% of builders have lowered the prices of new homes, while 59% are offering sales incentives to move stagnant inventory. These strategies reflect the industry’s attempt to balance rising costs with the need to maintain competitiveness in the market.

The Ripple Effect on Secondary Components

The rising costs of primary building materials are also impacting secondary components of homes. Products like cabinets, windows, doors, and trusses are all affected by the increase in material costs. The NAHB highlighted how sawmill prices for the lumber used in these components are being marked up due to the difference between receipts and the cost of goods in the wood product manufacturing industry.

The price changes in softwood lumber, which is a key component in these secondary products, directly impact the overall price of a new home. As a result, builders must account for these shifts in pricing when planning new projects.

The Future of Timber Framing in the U.S.

Despite the challenges presented by rising material costs and tariff uncertainty, timber framing remains a strong choice for most homebuilders. The benefits of timber, including its malleability, speed of construction, and cost-effectiveness, make it a preferred material for the majority of single-family homes in the U.S.

The ongoing uncertainty in the housing market has forced builders to adjust their pricing and strategies. However, timber framing continues to be the most popular option, accounting for over 930,000 homes in 2023.

As the industry looks ahead, timber framing will likely remain at the forefront of U.S. residential construction, although builders and consumers will need to adapt to rising material costs. The demand for affordable housing and sustainable building practices will continue to drive the conversation around framing methods, with timber leading the way for now.

Conclusion

Timber framing continues to dominate the U.S. housing market, accounting for over 93% of all new single-family homes built in 2023. Despite challenges such as rising material costs and trade uncertainties, this method remains a popular choice due to its affordability, construction speed, and versatility. As regional variations continue to influence framing choices and external factors like tariffs affect pricing, the framing landscape will evolve, but timber’s strong position looks set to endure for the foreseeable future.

Source- https://woodcentral.com.au/

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