There is no question that the construction industry is facing unique challenges that couldn’t have been predicted a few years ago. As a party involved in the funding of construction loans, it is important for you to stay up to date on the latest construction news.

Keep reading to learn some of the most pressing challenges in the industry, as well as some of the solutions that are being used. Remember that Fund Control is here to help with unique fund control software that can truly change the way you fund loans.

Low Supply and High Demand Continues to Have an Impact

It does not take a financial expert to know that any time there is a low supply and high demand, prices will go up. However, when it comes to materials like steel, it is currently more complicated than that. Steel mills in the United States can only make a fraction of the steel that’s needed, and getting it overseas can be a complicated issue both due to supply chain issues related to COVID-19 and because of tariffs.

As a result, this is not a problem as simple as ramping up production. In fact, in some areas overseas, there is a wealth of steel (as one example) that they cannot get moved. There are many moving parts in this problem, and time will tell how it gets solved – or when. In the meantime, construction experts are getting creative in finding new construction options.

Budgeting Challenges Are Occurring in Relation to Many Factors

Proper budgeting is a challenge right now for a number of reasons. For example, the labor supply in some markets is extremely low, which makes it both more expensive and more difficult to get labor – and everyone knows that if you do not have generally accurate labor costs, then you will not be able to accurately budget a project.

As mentioned above, there are many product supply and supply chain challenges, which not only make projects more challenging but are also making them more costly – and difficult to price. Allocation amounts are in flux, and there are also timing issues that cannot be figured out. All of this comes together to make it very difficult to budget for certain projects.

Contact Fund Control to Learn How We Can Help

When you work with Fund Control, you can take advantage of fund control software created by award-winning software developers. Other companies make general products that your companies can then personalized for their use. We create software specifically for the construction industry yet still allow you to customize it further.

If you would like to learn more, we invite you to contact us at 800-625-5972 to set up a free demo and see how we can help you control your funds.