The lumber crisis of 2021 was a result of skyrocketing demand for lumber coupled with supply chain disruptions caused by the COVID-19 pandemic. The shortage of lumber led to a steep increase in prices, making it difficult for contractors, homebuilders, and consumers to afford essential construction materials. As a result, construction projects were delayed or put on hold, causing job losses and financial strain for those in the industry. Home prices also rose significantly, making it harder for first-time homebuyers to enter the market. The crisis had a ripple effect on the economy, impacting various sectors and ultimately leading to a slowdown in construction activity.
