The total cost of lumber and panels for construction of a 2,116-square-foot home has decreased by 35 percent since April, according to Crow’s Construction Materials Cost Index (CMCI).

The wholesale cost of lumber and panels for framing an average home has dropped to $4,951.44 from $7,511.80 on April 30. The drop is the result of a steep, supply-driven run-up in prices during the first quarter of the year, according to Crow’s.

"Once buyers filled up inventory needs and production volumes became more in line with demand, prices began a continuous decline to the point we are at today," said Ken Tennefoss, executive editor of Crow’s Weekly Market Report. "The market dynamic can change in a very short period of time. That’s why it is imperative that lumber and panel users and producers have the most accurate and up-to-date market intelligence available."