home · Tool · Materials for a year. Prices for building materials: expert forecasts. Speech at the Smart-lab spring conference

Materials for a year. Prices for building materials: expert forecasts. Speech at the Smart-lab spring conference

Hi all! WITH I would like to let you know that I have just returned from vacation and had a great time, I hope that you also had a good time and are ready to start trading again. By the way, how was your weekend?

Starting January 11, we resume broadcasts, congratulations to everyone on the past holidays and forward!

Last year, we made many changes to the structure and quality of the broadcast, began writing weekly reviews and a large amount of material with answers to your questions.

In this article we have collected the most popular materials for the year. Be sure to add this one post to favorites, it has everything you need for day trading.

I'll be honest, it takes quite a lot of time to create each material, so you want to spend it only on describing topics that interest you. I look forward to your comments with questions to which you would like to receive a detailed answer.

If you want to thank me and see more articles like this, be sure to like!

The best materials for 2015













Six large lectures on patterns

One of the main weapons of a day trader is the number of formations he knows and an understanding of how to trade them correctly. This year, as before, we continued to make freely available lectures on patterns that were held for subscribers. In them we talk about the most current formations and how to trade them. For many novice traders, these lectures have become an excellent help in learning the features technical analysis and stock selection.

All the best trading sites

A large article that includes practically , used by professional traders. This article is recommended for reading by everyone, regardless of your level of trading, plus comments and short description. This article is one of the most viewed.

Record of Alexey Markov's trade

These videos show a recording of my trading, which is broadcast to subscribers Trading Floor, in online mode. Let me remind you that every Wednesday we conduct free promotional broadcasts on Youtube; by the way, in 2015, more than 20,000 people watched us. The Trading Floor broadcast consists of:

  • Analysis of traders' transactions
  • Discussing news and preparing for trading
  • Direct trading on the NYSE
  • Afternoon debriefing
  • Selections of securities for trading in the afternoon

You can join our broadcast using the following

12 lessons on reading the tape (Time&Sales)

Starting in August, we recorded 12 video lectures on tapereading (lectures on tape reading), in which we explained how to read the order tape, what happens in the order book in certain difficult situations, and how these moments should be traded.

  • All episodes can be watched on our channelTrading Floor with Alexey Markov.

Trader's workplace

Over the past year, we have received a lot of requests to tell us about the trader’s workplace and how it is equipped for me personally. We have dedicated a separate article to this topic entitled .

Main themes :

  • Technical side
  • Comfortable seating and lighting
  • Setting up platform windows
Speech at the Smart-lab spring conference

This year at the Smart-lab spring conference I spoke as a speaker and talked about some of the features of trading and my trading in general.

Lesson on English language: "What is Ben Lichtenstein talking about?"

Every new NYSE trader sooner or later faces the question, “Who is Ben, what does he say, and why is he so important?” Especially for issue 27, we asked our friend, Dmitry Chemankov from the AmericanEnglish4you channel, to answer these questions and explain why this man’s knowledge is so important and valuable for all professional traders on Wall Street.

UTChallenge Mentor

In July, together with the traders' competition, we held a special project UTChallenge Mentor, in which I acted as a mentor. My task was to train and help participants fulfill the conditions of the competition and receive a trading account under management. Several series of classes were conducted with traders, their trading was adjusted, market situations were analyzed, stocks were selected for trading, and much more. We plan to continue organizing similar competitions in the future.

*

*Humorous section

After the crazy events of Black Monday, we decided to ask for your opinion expert opinion the greatest trader of our time, and his answer can be read in the following.

------ END! ------

P.S.

Thank you, we are glad that you are with us, together we will achieve a lot.

If you have questions, ask them in the comments.

Stay up to date with everyone important events United Traders - subscribe to our

Photo: © Stockcentral / Bigstockphoto

The monthly volume of construction work in Russia continues to decline. However, the scale of the decline compared to the same period of the previous year becomes smaller every month. Perhaps the situation will stabilize in the coming months. However, it is still too early to talk about the end of the crisis.

According to IndexBox, the market for construction and finishing materials in January - May 2016 developed under the influence of the following trends:

Reduction in residential construction volumes (-16.1% y/y);
Slight increase in non-residential construction volumes (+3% y/y);
Decrease in the production of construction raw materials and production of basic building materials (-4.3% and -8%, respectively);
Growth in production volumes of finishing materials (+5.3%);
Decrease in investment in construction by 1.6% from the 2015 level.

What's happening with the construction site now?

Housing construction

The real estate market is very inertial. A year or more may pass between crisis events and their consequences. According to developers, the latest peak in sales primary market housing fell in December 2014, when, with the onset of the currency shock, citizens who had available funds invested them in the purchase of apartments. Already in the first months of 2015, sales fell by 30 - 35% and now remain at approximately the same level.

Most housing in Russia is sold at the construction stage upper floors, but before the official entry of the object according to documents. The record housing commissioning in 2015 (85.3 million sq. m., + 1.4% y/y) was due to the fact that throughout the year, but mainly in the first months, the market absorbed funds that had arrived earlier. The decline began in June 2015. Construction showed its worst values ​​in February current year(-23% y/y), then in March and April the decline slowed down somewhat, amounting to -14% and -6%, respectively. Just 1 sq. In 2016, 15.6 million sq. m. were built. m of housing (-16.1% y/y).

The decline in sales occurred mainly due to individuals who bought apartments with personal savings, without attracting any additional funds. During the current crisis, their share has decreased from 65% to 55%. Against this background, the state is making the maximum available efforts to stimulate the housing market, including in order to keep banks and the construction complex afloat. I found useful information on the Internet about the newest slot machines.

Thus, when purchasing an apartment within the framework of the subprogram “Providing housing for young families” of the federal target program “Housing” for 2015 - 2020, a subsidy of at least 30% of the estimated cost of housing is provided. In February it was extended until the end of this year. At the same time, there is a Mortgage Loan Rate Subsidy Program, within which the preferential rate should not exceed 12%. During the period from March to December 2015, 211 thousand loans were issued under the Program in the amount of 374 billion rubles. (35% and 37%, respectively, of the total number and volume of all ruble mortgage loans). Taking into account the supply chain, these measures indirectly maintain demand for construction and Decoration Materials from a deep fall.

In the consumer retail segment related to finishing and building materials, the situation is now a little better. The number of consumer loans issued, which include loans for minor repairs, in January - May 2016 decreased by 31% y/y, real incomes of the population fell by 4.7% y/y. Against the backdrop of inflation, the average purchase size is decreasing, and interest in cheap materials, including domestic ones, is growing.

Non-residential construction

Based on the results of the 1st quarter. In 2016, the volume of commissioned non-residential buildings increased by 3% YoY and amounted to 4.8 million sq. m. m. Compared to 1 sq. 2015 the share of agricultural and industrial buildings(up to 26.5% and 14.3%, respectively), the share of commercial buildings decreased to 32.7%.

In our opinion, these are the first signs of profound shifts. If in the 2000s and after the 2009 crisis the market experienced some shortage of retail and office space, now the demand has already been largely satisfied and, apparently, there will be no growth in this segment for a long time. The decline in the construction of social facilities is associated with budget spending cuts. On the contrary, counter-sanctions created conditions for development Agriculture. As will be shown below, in the medium term there may be a slight recovery in the industrial construction sector and sales of materials for the b2b segment.

Investments

In Russia, almost 2/3 of investments in fixed assets are associated with the construction industry, and during periods of crisis, the share of construction in investments grows. In 2015, 5,945.5 billion rubles were invested directly in construction, which is 40.8% of all investments in fixed capital for the same period.

Investments and the volume of construction work have been experiencing negative dynamics since mid-2012, with investment activity in this moment concentrated primarily in the housing construction sector. According to the forecasts of the Ministry of Economic Development, the dynamics of investment in fixed capital will return to the positive area in 2017, and on average the increase in investment in 2017 - 2019. will be 2.7% per year. However, at the same time there will be a significant reduction in public sector expenditures, primarily in government agencies. federal authorities. Already in 2016, the volume of FAIP expenditures decreased by 23% to 860 billion rubles, with ¼ of their amount being defense expenditures, which have relatively little connection with the rest of the economy.

Another one important feature The “new normal” is the refusal of organizations to attract large credit funds. Experts expect that the share of investments from non-financial organizations due to own funds in 2017 - 2019 will exceed 50%. The sensitivity of investment projects to the profitability and payback periods of real production is increasing. As a result, the non-residential construction and engineering market faces demand for few and inexpensive objects intended for long-term use.

The situation on the building materials market

According to economists' forecasts, the structure of investments in the Russian economy will change minimally in the coming years - a little more than 21% of the annual volume of invested funds will be spent on the construction of real estate, but their volume in 2016 - 2017 will be will be significantly reduced. As a result, even in 2019, after the expected resumption economic growth, the money in the construction industry, minus inflation, will be 10% less than in the “fat” 2014 (see figure).

Construction Materials belong to investment goods, that is, the demand for them is associated with the construction and repair of facilities. The table below summarizes data on the dynamics of production of the most important goods used in construction, which we divided into the following groups:

Construction raw materials;
Basic building materials;
Decoration Materials.

During the period from January to May 2016, the production of construction raw materials (-4.3% y/y) and basic building materials (-8%) decreased. The production of cheap goods decreased especially sharply sand-lime brick(-40.5% y/y), reinforced concrete products(-20%), cement (-13.7%) and ceramic bricks(-13.5%), that is, materials used in the construction of walls, bridge supports and load-bearing structures. At the same time, production is growing paving slabs(+5.4%)%), used in landscaping, and tiles (+19.6), often purchased for renovation purposes rather than construction. While the production of flat glass (+5%) and parquet (+1.9%) is growing, in the first case the profitability of the products is not fully clear.

In January - May 2016, an increase in the production of finishing materials was recorded (+5.7%), actively used in repair work. There was a significant increase in production volumes of paints and varnishes (+23.3% y/y) and wallpaper (+19.5%). In our opinion, as in the case of parquet, it is caused by a reorientation of demand from more expensive imported products to Russian ones.

It should be noted that capacity utilization at enterprises in the construction materials industry at the end of 2015 was only 50 - 60% due to lack of demand; previously it was at the level of 70% and above.

We predict the following developments in the construction and finishing materials market:

1. end consumers remain an attractive segment for manufacturers of building materials ( retail sales building materials) - renovation of apartments and suburban real estate is carried out by the population almost constantly, including on their own, and does not require the mobilization of such large funds as the purchase of housing;
2. the devaluation of the ruble will have Negative influence on the development of the industry: due to the lack of a machine-building base for the building materials industry, there will be a significant increase in the cost of purchased imported equipment and technologies;
3. The worst year for the residential real estate market will be 2017, since by this time the current shortage of new projects on the market will begin to affect;
4. however, it is at this time that the demand for building materials will gradually begin to recover, and somewhat earlier - in the capacious markets of brick, sand and cement;
5. demand for all groups of construction and finishing materials from the public sector will be reduced by at least 20%.

At the same time, at the moment it is not yet completely clear what the mechanisms for the country’s exit from the current situation of cessation of growth will be.

The production of building materials is falling, the real estate market predicts a decrease in sales volumes of up to 30%, and prices for building materials are rising. What opportunities does the construction market provide to participants? Let's try to find the answers together. The purpose of our article is to outline trends in the construction market and the building materials market, sum up the results of 2015 and try to identify both possible points of growth and new development opportunities. After all, a crisis is a reason to make money when everyone gives up. Let's start with an axiom: the building materials market directly depends on the number of square meters sold and repaired. Therefore, it is impossible to do without analyzing the residential real estate market.

In general, 2015 showed a drop of only 0.5% in terms of the volume of completed housing (Fig. 1).

So minor change Experts attribute this to the fact that the effect of deferred demand worked: houses that began to be built 2 years ago were put into operation. The Institute for Development of the Construction Industry made a forecast that the volume of housing commissioning in 2015 could reach 88 million m2. However, stopping the construction of 1.5 million m2 and postponing the commissioning of at least 3 million m2 in 2016 did not allow the projected figures to be achieved. In addition to these factors, the real estate market was, of course, affected by a sharp drop in demand for housing, a stop in the mortgage lending market at the beginning of the year (due to an increase in the key rate), a significant decrease in the commissioning of individual housing and, as a consequence of the above reasons, a drop in the solvency of the population.

If we talk only about Moscow, then it broke a kind of record: in 2015, 3.8 million m2 were put into operation in the capital, the increase was mainly due to construction in New Moscow.

Capital in last years consistently ranks among the top 3 regions of Russia in terms of the volume of housing being built. Krasnodar region also entered the top three: in 2015, 4.62 million m2 of housing were built in Kuban.

But these figures speak about completed (that is, put into operation) housing, but how much was actually purchased? After all, these figures reflect real data related to the volume of repaired square meters and purchased construction and finishing materials.

RBC refers to open data from the two largest developers. On the graph you can see how much the difference between the volume of housing built and the volume of housing sold has increased. At LSR - with a decrease in construction volumes of only 5% - sales fell by 39%. “Etalon” has a lower gap - 13% and 16%, respectively (Fig. 2).


According to experts, in 2015 the residential real estate sales market fell - from 15 to 30%.

In general, in 2015 the residential real estate market behaved extremely unstable. The period January–February 2015 turned out to be very successful; experts attribute the jump in purchasing activity to a sharp change in exchange rates. But over the past 1.5 years, this was already the third wave of a currency storm, which almost washed away the main share potential buyers. Therefore, according to experts, further growth of the dollar will not provoke any rush demand.

Forecast for 2016 In 2016, developers plan the volume of housing commissioning at the level of 2014 and 2015, but the forecast for sales volumes is pessimistic. First of all, it is associated with a fall in household incomes, a decrease in purchasing power and an increase in production costs. square meter. In the construction of economy-class housing, the share of imported materials is less than 10%, in the business and premium segments it can reach 30%, and when finishing works sometimes it reaches 90%.

KEY TRENDS IN DECREASING DEMAND FOR CONSTRUCTION AND FINISHING MATERIALS

Construction Materials: cement, brick, thermal insulation materials.

The first factor is a reduction in the volume of construction and installation work. The fall in demand for building materials is directly related to the decrease in the volume of construction and installation work. The volume of work performed in the “construction” type of activity at the end of 2015 amounted to 5.946 trillion rubles. and decreased by 7% compared to 2014 (Fig. 3). At the same time, according to Rosstat, in December the rate of decline in the volume of work slowed to 1.5%.


The second factor is the reduction in lending. According to the head of the Ministry of Construction M. Men, in 2015 lending to the construction industry decreased by 40%.

The third factor is rising prices. According to Rosstat, from January to December 2015, compared to the same period the year before, prices for building materials increased by 10.4%.

In 2015, the share of imports of basic building materials, such as bricks and cement, decreased by approximately 5 times against the backdrop of mutual sanctions and plans for a further reduction in imports. Russia has a sufficient raw material base to produce any type of building materials - cement, brick, concrete panels. The depreciation of the ruble has increased the attractiveness of Russian building materials and increased demand from construction companies for products domestic production. Paradox: against such an optimistic background, they began to produce less for import substitution! Analysts from the Construction Industry Rating Agency (RASK) and Rosstat provide the following figures:

Brick production for the year decreased by 8%, in December - by 16.6% compared to December 2014;

Cement production, including Portland cement, fell 9.9% for the full year and 18.1% in December;

Concrete wall blocks produced at 39.2%

Less for December and 2.3% for the whole of 2015;

The production of gypsum in December 2015 decreased by 5.6% year-on-year, and for the whole year - by 5.5%.


Forecast for 2016 It is expected that the share of imports of basic types of building materials will continue to decline. Experts predict that imports of bricks and cement may approach zero.

But Russian factories are unlikely to produce any more.

In a situation with a cheap ruble, exports can become a significant stimulus for the growth of sales volumes of Russian manufacturers. As a result, the reorientation of sales channels will lead to a further increase in prices for domestic building materials by up to 25%.

Finishing building materials: plaster mixtures, floor coverings, different types tiles, paints and varnishes.

In recent years, the sales channel for construction materials has completely changed. Until 2008, the bulk of finishing materials were sold on open construction markets; today 75% of sales volumes belong to DIY networks.

According to INFOLine data, in 2015 the volume of DIY retail amounted to 1.46 trillion rubles. (Fig. 5). This is almost 5% less than in 2014, in which sales of household goods and repairs reached RUB 1.54 trillion. (Fig. 5). In total, there are more than 600 general and specialty DIY chains operating in the market, and the top 10 largest DIY retailers account for more than 30% of the market.


Forecast for 2016 The finishing materials market can be considered one of the most stable segments of the construction industry. This can be explained simply: people are buying less new housing, but are investing more actively in renovations. Of course, the sector is not experiencing better times, but as a positive factor we can note the reorientation of supply and demand for products of domestic producers.

GROWTH POINTS

HOMA Group - Russian manufacturer polymer dispersions and adhesive materials, including for the construction industry. It is worth noting that we, like most market players, are affected by unpredictable changes in exchange rates, a decrease in buyers’ incomes, and a decline in the real estate market. But despite the negative external factors, we are the company that decisively moves forward, using all development opportunities during a crisis.

In conclusion, I present to our readers our vision of growth prospects in 2016.

Despite the general drop in demand for residential real estate, the demand for housing in the “economy” and “economy-comfort” classes, as well as small apartments with finishing grows. The cost of such apartments is 15% higher than apartments without finishing. In the “economy” segment, the cost of 1 m 2 of turnkey renovation from the developer averages 15 thousand rubles. for 1 m 2.

The benefit is in price: purchasing building materials and repairs on your own will cost 2–3 times more than similar repairs carried out by the developer. Average cost of work and materials for finishing in Moscow - 9500 rubles. per 1 m 2 + cost of finishing.

Possibility one. Developers are ready to work directly with local manufacturers of finishing materials to reduce the cost of 1 m 2 of finished housing.

Not the last opportunity- reorientation of consumers to domestically produced products. Over the past couple of years, in the b2b and b2c segments, the attitude of consumers towards products made in Russia has changed dramatically. The fact has finally been recognized that in Russia they can and are able to produce high-quality goods, and the existing macroeconomic indicators can contribute to the development of Russian industry, despite the crisis.

Living conditions in modern world, undoubtedly, are becoming more and more comfortable every day, but society also has to pay the bill for “comfort” with “tips”. The current state of the economy in the world, and in Russia in particular, is very different from the ideal. Primarily because problems in this area have a colossal impact on the cost of almost all necessary goods human life. Construction materials are one of the most interesting items to predict price changes. Why?

The global market is currently going through difficult times, primarily due to the changing relations between importers and exporters in connection with recent political events. The construction market is subject to price modernization due to large quantity connecting factors, such as: resource extraction, processing plants, transport logistics, etc. The established system of cooperation in this area had to remain in the past, and everything new, as a rule, requires considerable additional costs.

How much have the construction materials used become more expensive compared to last year’s prices? What are the forecasts for price changes? Which building materials will become especially expensive in 2015? Will the rise in prices for building materials affect the cost of the final product? If yes, then how?

We asked speakers from leading companies and experts in the country real estate market to answer these pressing questions.

Dmitry Speransky, head of the Real Estate Market Analytics Bureau, analyst at the Association of Realtors of St. Petersburg and Leningrad Region

"Rising prices for different groups construction materials amounted to 10/30. The price of metal building materials (including fasteners) increased especially strongly, as well as everything related to imports: roofing and paint materials, insulation materials, etc. It is worth noting that the rise in real estate prices will provoke not only an increase the cost of building materials, but also the instability of the ruble currency, rash political decisions, and economic difficulties. At the same time, the number of transactions will decrease.”

The expert notes that in the economy segment, developers will have to raise prices more significantly: the difference between construction costs and final cost There is very little product here, and companies will have to raise prices to stay in the black. In the business or elite class, developers can do without raising prices for some time, since the margin in this sector is much higher.

Dmitry Mayorov, CEO company "Rus: New Territories"

“Prices for imported goods have increased significantly, and this is understandable. But, what is more interesting, we note an increase in prices for exports, in particular for timber (because of this, for example, laminated veneer lumber has become significantly more expensive). Other materials have also risen in price, but not so much yet. In addition to laminated veneer lumber, we purchased everything necessary for construction in “Special Status” at the end of last year, so this rise in price did not affect us. Of course, rising prices for materials will increase the cost of houses. But declining demand will prevent prices from skyrocketing. Yes, materials will remain expensive, but construction works will become cheaper. In our segment, I assume that by the beginning of the construction season, the price increase will be approximately 20% compared to the prices of the last construction season.”

Alexey Barinov, commercial director of Aidadom Group of Companies

“Today, construction materials have risen in price by 20% on average. Prices for imported materials (for example, engineering systems, roofing and paint and varnish materials) and the most popular goods, the stock of which is no longer left from last year, such as metal tiles (+50%), plywood (+30%), insulation (+20%). And along with the rise in prices for foreign goods, Russian analogues follow them and raise prices according to the general trend. According to our forecasts, against the backdrop of rising currencies (mainly, the suppliers of most building materials are foreign companies), the price increase will continue and reach 50%. Someone has already reached this limit, and someone else will reach it in the near future.”

The expert notes several areas that will become especially expensive in 2015. Firstly, high-tech systems ( pumping stations, engineering, control systems, VOCs), the producers of which are mostly foreign companies. Secondly, the forest. With changes and tightening of legislation, it is more difficult to extract, which means its value will increase. Thirdly, plastic. As an example: even seemingly simple sewer tanks use plastic made in Italy.

“Increasing prices for materials, as one of the main expense items when building a house, will certainly affect the cost of the final product. Competition is increasing and construction companies compensate for rising prices for building materials by reducing the cost of work and their own profits. In the business or elite class, developers can do without raising prices for some time, since the margin in this sector is much higher. The overall increase in construction costs in the economy segment, according to our calculations, will be 20/25. to last year. Increase of 5/10. We have already seen that by the season an increase of up to 15% is expected. Therefore, against the background of the general trend, it makes sense to build and purchase materials now. Overall, we can predict a reduction in construction volumes for the foreseeable future.”


Konstantin Evtikhiev, sales director of the Alpino club village

“Since the beginning of the year, all imported materials (gas and electrical equipment, plumbing, finishing materials). The price increase ranged from 10 to 30%. Fortunately, our Alpino village has been fully built and put into operation, and this practically does not affect us. In addition to imported ones, domestic building materials have also become more expensive: metal (reinforcement), lumber, cement. Increase in price metal products averaged 10/15."

In the coming year, according to Konstantin Evtikheev, we should expect a rise in prices for all imported materials (regardless of whether they are European or Chinese), as well as all finishing materials, cement, metal and lumber. And, of course, an increase in the price of the final product, which is associated with the cost of construction itself

Andrey Sushkov, project manager “ Cottage village WRIGHT PARK"

“Starting from the fall of 2014, we have seen a steady increase in the cost of all types of materials without exception: domestic, including local, and imported. Some suppliers are trying to keep prices down during the low season using old stocks, but the most popular items have already risen in price. Imports are growing almost in proportion to the increase in the exchange rate, with some adjustment for changes in producer prices: for example, Europeans, for the most part, traditionally raised prices by 1.5/5.5% after the Christmas holidays. With domestic materials, everything is more complicated: in this segment we are seeing growth from 5 to 80%, depending on the material.

Import prices will follow the upward trend in currency value. By domestic materials It’s very difficult to say: political directives, market mechanisms, and seasonality can all play a role here. But we do not predict any significant reduction in prices. Moderate, predictable price increases are included in optimistic budget options for the current year.”

The Wright Park project manager predicts that the leaders in price growth will be foreign high-quality finishing materials that have no Russian analogues and are localized within the Customs Union.

“Will the final product cost more? I won’t speak for all market players, including because the price of properties from a number of developers is denominated in yuan. That is, but the majority of those working in rubles will include the increased costs in the cost of the final product. And this is natural, since in the construction industry, one of the few in our economy, there is real competition, which forces developers to work with a minimum level of profitability - there is simply no margin for price maneuver. An advantage will either go to those who managed to create a stock of materials in warehouses before November 2014, or who have already completed all material-intensive work at the sites. Such developers will be able to maintain the price level of 2014, but the question is: will they?”

Summarizing the information received, we can conclude that all experts note an increase in the cost of building materials by an average of 20%, both for imported goods and for domestic ones (not so significant yet). And, as a consequence, an increase in the cost of the final product, a reduction in construction volumes and possible “unfinished construction”.

Dubious prospects, but this is the real situation today. And now, perhaps, is the right time to remember the words of F.I. Tyutchev “... you can only believe in Russia.” We've been doing this well for a long time, and 2015 will be no exception!

The economic life of the modern world is very different from ideal, since its problems in many ways affect the cost of a number of products, supplies and many other factors. Construction materials from this plan are the most unique item to predict price surges. Why? The global market is currently undergoing difficult better days primarily due to the geopolitical situation that unfolded between importing and exporting countries.

The construction market suffers from this first of all, since there are many connecting factors. This includes the metal rolling industry, cement factories, resource extraction such as marble, limestone, sand, that is, from many indicators. If you remove some of them from the market, in terms of simply moving them to lower positions or making their value lower, then the whole construction market, or rather, building materials will also begin to fall in price.

These were once just forecasts, but now most of happens in real life. For example, marble began to fall sharply in value due to the closure of mining companies in Russia. Investors simply abandoned their developing industry because they lost European investors. It goes without saying that supplies to the world market have stopped, and this despite the fact that demand has remained at the same level. Prices jumped by 20% in just one month. The same applies to the extraction of sand, crushed stone, and stone, that is, resources that are necessary to create buildings and, in particular, concrete structures.

Forecasters say that the situation could stabilize if the growth in demand for real estate remained at the same level, but this is not possible since the geopolitical situation hits in almost all directions. Real estate is falling in price, which means the purchase and extraction of resources for building materials in Lately became simply unprofitable.

In 2015, average cost standard building materials for the construction of high-rise buildings will increase by 20-25%, and this applies to frame and slab buildings. In addition, prices will rise not for wood, but rather for rounded wood for building houses. Here prices may rise by the end of 2015 by almost 50%. Naturally, in such conditions, most construction projects will either be partially suspended or frozen completely until the cost of building materials on the market is restored.

Similar materials