In 2015 we saw steel building prices drop as a surfeit of low-priced imports came to bear on the United States market. A high volume of imports and oversupply combined to pressurize prices.
Read this blog to learn why 2016 is the right time for steel as the industry continues to grow into innovative new markets.
Lower Steel Prices
While this has not been a favorable development for market giants like US Steel, which saw its stock price hit a new 52-week low in September, lower prices have created more opportunities for consumers to explore the functionality and practicality of steel.
Economical steel construction has been a boon for homeowners and business owners that are looking to create more durable structures while preserving visual appeal. Once the sole domain of large-scale projects, today it’s not uncommon to find metal building products of many dimensions in metropolitan and rural settings alike.
The Strength and Appeal of Steel
There appears to be a growing trend, especially among homeowners, to construct more durable buildings.
Whether it be to withstand the elements in locales noted for their harsh environments or simply to provide added peace of mind, builders are looking to create homes, businesses, and even farm structures that last. The economic benefit of this approach given lower steel prices is obvious, but safety is often quoted as a motivation for building with steel.
Retaining aesthetic appeal, however, is sometimes mentioned as a concern.
It may be that some individuals maintain a perception that steel is strong but does not necessarily lend itself to exquisite design choices. The reality is that improvements in girts and purlins as well as a greater availability of panels and partitions has exponentially increased the creative choices that can be made in steel construction.
For example, in the past the application of paint to steel could present difficulties. Today, the availability of pre-painted girts provides a smooth and attractive appearance that does not sacrifice durability and adhesion. The same can be said for other steel parts such as purlins which are finished with a red oxide primer that eliminates most paint-sticking problems.
2016 could very well see a continued interest in hybrid construction that merges steel and wood to transcend society’s idea of how a home can be constructed.
These improvements are important in the sense that they provide access to many design elements that were previously suited to traditional wood homes and other framed structures. 2016 could very well see a continued interest in hybrid construction that merges steel and wood to transcend society’s idea of how a home can be constructed.
Hybrid Construction Continues to Boom
It is difficult to pinpoint a singular reason for why many individuals and business owners decided to explore non-traditional, hybrid construction last year, but the merging of steel and wood to create everything from homes to barns to workshops can reasonably be expected to continue in 2016.
A likely explanation could be that some small business owners working from home have used hybrid construction to create workshops that remain attached to the home, while providing the separation of business and personal interests that are important to many entrepreneurs.
Lower prices in steel have helped in this regard, making a steel add-on to an existing home very affordable. Homeowners are more willing to consider this type of addition now, too, because secondary framing options for steel buildings are extensive and do not restrict design choices.
The added incentive for individuals to consider hybrid structures now is that prices could rebound going into the latter part of the decade.
A few minutes spent looking at Pascal Steel project photos online will provide ample evidence that hybrid structures are becoming more popular. This surge in popularity goes far beyond the construction of a steel garage, single self storage, or a multi story storage facility. Builders are choosing steel for everything from gymnasiums and office complexes to sprawling homes, many of which stand as innovative approaches to hybrid construction.
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The added incentive for individuals to consider hybrid structures now is that prices could rebound going into the latter part of the decade. Some analysts are already heralding a rebound in the demand for steel, and some economic indicators such as the reported increase in construction employment during the last quarter of 2015 appears to support a gradual increase in the price of steel. Savvy builders are regarding steel construction now as a wise investment.
The Time is Right for Steel
Those who have long recognized steel as a superior method of construction are hopeful that lower steel prices combined with a greater variety of modular elements will encourage long-term change in perceptions of what a steel building can be.
That growing awareness could certainly portend a rebound for steel prices but, for the time being, those considering a new building still have an opportunity to exercise their economic advantage.
Contact Us for Current Steel Building Prices
With over 30 years of experience in all types of steel structures, we feel confident sharing this news with our valued customers.
Contact us to discuss why 2016 is the right year for steel and how we can help you explore the combinations of durability and appeal that steel provides.