Defined Regions
CoreLogic curates this monthly bulletin of regional construction cost insights, which are reflected in the CoreLogic Claims Pricing Database. We combine the current month’s pricing data with four common loss scenarios to create models illustrating market impacts that are applied across nine regions and compared month over month and year over year.
Our experts provide detailed analyses of changes and trends to provide additional insight into key drivers. View our Construction Database Pricing Methodology white paper to gain additional insight into how we populate cost values.
June Pricing Insights
2024 Updates From the CoreLogic Pricing Analysis and Delivery Team
The CoreLogic Pricing Analysis and Delivery Team continues to research labor costs and industry best practices for all construction categories within the Claims Construction Cost Database. To standardize labor trade assignments in the CoreLogic Pricing Database, CoreLogic will continue implementing incremental monthly changes throughout 2024 for each respective trade category.
For the June pricing database release, we standardized labor trades in the following categories: Antenna and Satellite Dishes; Vents; Cleaning Upholstery; Moisture Protection; Cleaning Lamps and Vases; Cleaning General Items; Demolition; Cleaning Electrical Items; Wall Coverings; Interior Furnishings; Metal Structures; Paneling and Wood Wall Finishes; Interior Lath and Plaster; Contents Packing; Handling and Storage; Fireplace; Temporary Repairs; Outbuildings; Drywall; Masonry; Light Fixtures; Insulation; Stairs; and Fencing.
In July, we will align the following labor trade assignments: Finish Carpentry; Equipment Rentals; Cabinetry; Toilet and Bath Accessories; Concrete and Asphalt; Miscellaneous; Permits and Fees; Fireplaces; Exterior Furnishings; Clean Appliances; and Electrical.
We will continue to increase subcontractor overhead and material markup allowances across all trades during the first half of 2024. This will result in single-digital upward movement of labor trade rates and material prices. These overhead and material markup allowances reflect escalating costs for subcontractors, including increased vehicle acquisition and maintenance; real estate expense; increased software and other general office expenses; and increased job-site material delivery charges. Additionally, customers will notice above-average upward labor rate adjustments in certain markets in the Western region through Q3.
CoreLogic will update the Construction Pricing Database Methodology white paper in the coming months to reflect additional considerations not previously outlined.
Line-Item Updates and Ongoing Refresh
The June 2024 Claims Construction Cost Database release contains refreshes of the Cabinetry and Vents categories. The realignment process will continue on a rolling monthly basis for all categories within the Claims Construction Cost Database. The line-items realignment project is planned to continue through December of 2024. In addition, certain stain-grade trim components are being modified to account for additional putty and associated labor efficiency adjustments.
The July or August 2024, the Construction Cost Database update will begin to include a caulking component within most paint-grade interior trim items. Full details regarding interior trim impacts will be included in that respective Claims Construction Cost Bulletin.
Fire/Lightning (Large Loss) Insights: 12-Month Trend
In this category, large loss claims are modeled from a typical fire loss where all components of a home’s construction are affected. Losses typically exceed $100,000.
- In May 2024, the fire/lightning scenario increased 1.5% on average across all regions. The Northwest region increased by 2.3% over that period. Month-over-month increases in the average drywall (1.9%) and general (2.3%) labor rates contributed to the development of loss scenario pricing.
- Compared to this time last year, this loss scenario averages 8.9% higher. Decreases in framing material pricing helped offset gains in drywall and insulation material costs (see Table 1), as well as drywall labor rates (10.5%) and general labor rates (11.6%).
| Material | Change From June 2023 Pricing |
| Framing | -9.9% |
| Drywall | 8.1% |
| Insulation | 3.7% |
Wind/Hail (Exterior/Roof) Insights: 12-Month Trend
This category represents losses due to wind and/or hail weather activity. Restoration from this damage requires roof replacement, partial siding replacement, and accompanying accessories.
- This category experienced the largest gains of all loss scenarios, with an average year-over-year increase of 15.1%. Increases in roofing materials (3.2%), roofing labor (11%), and siding labor (26.3%) fueled this upward movement. Reductions in fencing (8%) and siding (5.1%) material costs helped to offset the increases in year-over-year pricing.
- Over the last month, the wind/hail loss scenario increased by 1.5% as roofing (2.5%) and siding (2.3%) labor rose. This was tempered by a 1.3% reduction in fencing material costs.
- Early season storms from May 6- May 10, 2024, impacted 24 states across the U.S. CoreLogic Weather Verify™ reports estimated that more than 973,400 homes may have been affected by hail greater than 1 inch. The hardest-hit states include Texas, Missouri, and Illinois.
Water (Interior Reconstruction) Insights: 12-Month Trend
Moderately complex losses are modeled for the interior water loss scenario using the bathroom as the origin of loss where a combination of replacement and repair of common household finishes is required.
- Year-over-year, this loss scenario’s average pricing is up 10.1%. Table 2 lists some of the labor and material categories, with significant changes affecting the overall pricing for this scenario.
| Material | Change From June 2023 Pricing |
| Painting Labor | 11% |
| Cleaning Labor | 10.9% |
| Cabinetry Materials | 16.3% |
| Finish Carpentry & Trim Work Materials | -2.3% |
- Month-over-month, this loss scenario rose 1.5% on average. Cleaning labor rates (2%) and painting labor rates (2.1%) also increased over that period.
Water Mitigation (Drying) Insights: 12-Month Trend
Typical drying costs for a residential structure include water extraction, removal of wet material, and drying equipment usage.
- Since June 2023, the water mitigation loss scenario experienced significant price development, rising an average of 10.3% across all regions.
- Between May 2024 and June 2024, the loss scenario pricing increased by 1.6%.
- Water mitigation technician labor rates, which increased an average of 10.8% year over year and 1.9% month over month, played a crucial role in both the yearly and monthly development of the water mitigation loss scenario.
About CoreLogic Data Research
CoreLogic develops this report using up-to-date materials and labor costs. CoreLogic’s team of analysts continuously researches hard costs such as labor, material, and equipment, including mark-ups. CoreLogic updates its database every month accordingly.
Our research also covers soft costs, such as taxes and fringe benefits, for reconstruction work performed as part of the insurance industry. CoreLogic monitors demographics and econometric statistics, government indicators, and localization requirements, including market trends from thousands of unique economies throughout the U.S.
Other factors in this process include the following:
- Wage rates for more than 85 union and non-union trades
- Over 100,000 construction data points
- Productivity rates and crew sizes
- Building code requirements and localized cost variables
Additionally, we validate cost data by analyzing field inspection records, contractor estimates, phone surveys, and both partial and complete loss claim information.
Please complete the online form to provide feedback or request information on any items in our construction database. Please contact your sales executive or account manager for additional explanations or questions. A more detailed methodology explanation can be found in our Construction Database Pricing Methodology white paper.
About CoreLogic
CoreLogic is a leading global property information, analytics and data-enabled solutions provider. The company’s combined data from public, contributory and proprietary sources includes over 4.5 billion records spanning more than 50 years, providing detailed coverage of property, mortgages and other encumbrances, consumer credit, tenancy, location, hazard risk and related performance information. The markets CoreLogic serves include real estate and mortgage finance, insurance, capital markets, and the public sector. CoreLogic delivers value to clients through unique data, analytics, workflow technology, advisory and managed services. Clients rely on CoreLogic to help identify and manage growth opportunities, improve performance and mitigate risk. Headquartered in Irvine, Calif., CoreLogic operates in North America, Western Europe and Asia Pacific. For more information, please visit www.corelogic.com.
NOTE: The building material, labor, and other cost information in this bulletin is generated using research, sources, and methods current as of the date of this bulletin and is intended only to provide an estimated average of reconstruction cost trends in the specified general geographic regions of the United States. This cost information may vary further when adjusting claim values for specific property locations or specific business conditions.
