Construction costs fell in 0.8 percent December due to steep declines in fuel prices but grew 3.8 percent compared with December 2017 costs, according to an analysis by the Associated General Contractors of America.
“Most materials and services posted higher year-over-year increases than in 2017,” AGC Chief Economist Ken Simonson said in a statement. “The price index for new building construction outpaced the input cost index at the end of the year, but many contractors were probably caught by unexpected cost increases in 2018.”
Energy costs fell 11.5 percent during December and 3.9 percent year-over-year, according to the report. Meanwhile, the price of other goods used in construction increased 0.1 percent from November and 4.8 percent year-over-year.
New nonresidential building construction costs remained unchanged during the month, but grew 5.3 percent compared with December 2017.
The full AGC report can be viewed here.
