Construction – 9 Ways to Get Discounted Material For Your Projects!
The past year has seen notable fluctuations in construction costs, with materials and labor prices for projects shifting across the U.S. According to CoreLogic, material costs in the U.S. increased by just 0.9% over the past 12 months. However, it’s important to note that material costs have risen by an average of 8.4% per year in recent years, emphasizing the need to manage expenses carefully. Labor costs in the U.S. also rose by 3.9% during the same period.
Looking ahead, potential new tariffs proposed by former President Trump on Chinese imports—including steel and other building materials—could drive construction costs even higher. If these tariffs are enacted, real estate investors may see a sharp increase in material expenses, making it even more crucial to lock in the best prices now.
These trends underline the importance of securing the best prices for construction materials to protect your ROI. At Tidal Loans, we know how critical this is for your success. In this email, we’re sharing nine strategies to help you find discounts and source more affordable materials for your real estate projects.
Let’s work together to keep your costs in check while ensuring your projects stay profitable!
Look for cull lumber at Home Depot: This discounted lumber, usually marked with purple paint, is up to 70% off and sometimes even free—perfect for DIY projects if you can work around minor imperfections!
Shop at material resale centers: These “Goodwill of hardware stores” offer discounted items like sinks and flooring, often from warehouse overstock or returns—perfect for budget-friendly renovations! Habitat for Humanity ReStore and Montalbano Lumber are a few options in Houston.
Check construction sites and demolition listings: With a polite conversation, you can often score free or cheap materials like bricks, wood, or metal from site foremen or demolition projects.
Visit local lumber mills and kilns: Build relationships with kiln operators for cheaper, dried lumber compared to big-box stores—perfect if you’re equipped to process rough-cut wood yourself! Craddock Lumber and Richardson Timbers are a few options in the Dallas area.
Use remnants for countertops and vanities: Local stone yards often sell leftover slabs at a deep discount—sometimes as low as 10 cents on the dollar—offering huge savings over full-price stone!
Check scratch-and-dent or open-box deals: Many retailers offer major discounts on appliances with minor cosmetic damage or returned items—great savings for fully functional products!
Buy overstocked or discontinued materials: Ask store managers about surplus or discontinued items—they’re often heavily discounted to clear inventory, saving you big on building supplies!
Rent a dumpster for debris removal: Providing a dumpster for your flip keeps the site clean and lets you negotiate lower contractor bids by removing their waste disposal costs!
Utilize contractor discounts: If you’re working with a contractor, leverage their established relationships to access their potential savings at various suppliers.