Home building costs are reaching record highs in San Jose, California, and it reflects a larger problem across the United StatesA new report from San Jose found builders are facing numerous challenges due to economic pressures, from high interest rates to skyrocketing material and labor costs.The cost of building one unit of affordable housing in San Jose grew by 24 percent over the past year, surging from $757,900 to $938,700, the city said.
1 percent year-over-year increase in construction costs at the end of 2022.'The construction industry thrives on predictability, but we continue to grapple this year with numerous challenges and volatility, making estimating and managing costs more difficult.' Nicolas McNamara, director of cost consultancy for CBRE, said in last year's statement.