What do toilet paper and lumber to build a home have in common? Wood. And prices of everything that use wood are heading up sharply.
Think toilet paper is a bit pricey now — even since last year’s shortage? It’s going up again.
Kimberly Clark has just announced it will be hiking prices on Cottonelle and Scott toilet paper sometime in June.
The reason? Wood pulp prices, which have jumped 20% in the past year due to shortages and soaring demand.
And in a bizarre way, it is connected to the price of lumber. It’s also dependent on the price of raw wood.
The National Association of Home Builders says that’s adding $24,000 to the cost of a new home.
So from the “doesn’t that stink” file, how home building or any sort of major home improvement project will cost homeowners a lot more in 2021.
Home builders say it’s almost impossible to build a home for under $150,000 in materials anymore. When will it end? The Builders Group hopes lumber prices ease in fall 2021 as supply re-balances.
But the price of that wipe with toilet paper will probably not be coming down — and that stinks.
As with all pandemic-related price hikes, the price goes up quickly but will take months — if not longer — to fall again.