BILLINGS — As the Billings community continues to grow and expand, so does the need for housing.
Along with the price hikes felt on the average Billings home, construction costs have also increased since the COVID-19 pandemic.
Watch this video to hear why prices are increasing:
Local builder Steve Wells, president of Wells Built Incorporated, said it's a growing trend that has continued even after the pandemic wore off.
"We saw tremendous growth during Covid," Wells said Friday morning. "2021 is when we really saw the prices shoot through the roof, but there's still a good demand for new homes in Billings."
It's a demand Wells is attempting to help meet. He is currently building a new 170-home subdivision in west Billings near 54th Street West. The new subdivision will be called Wild Rose, and Wells said he's aiming to build smaller, more affordable homes for first-time home buyers.
"We've really noticed the need for a smaller footprint for these new home buyers," Wells said. "So, we're kind of hoping to fill some of those needs that apartments or duplexes have covered."
Wells said expenses have increased for building companies just like it has for buyers.
"Our materials have increased nearly double, and labor is up 50 percent," Wells said.
While many believe that President Trump's tariffs play a part in the hike, Wells said that hasn't been the case.
"We were prepared at the start of the year for much worse price increases, but it hasn't been noticeable," Wells said.
Framers such as Tanner Adams and Mark Butler have enjoyed the increase in revenue and jobs.
"Our labor has gone up," Adams said. "I mean, we're all making $30 plus per hour."
They too said that the tariffs aren't to blame for the increase in costs.
"It's pretty much the same," Butler said. "It fluctuates so bad anyhow that you can't tell anything with the tariffs."
Wells, Adams and Butler all attribute the rise in costs to a growing need of homes. Adams and Butler said that's on full display while framing houses in Wild Rose.
"Some of these houses we're selling before they're even built," Adams said.
"Most of these houses we're selling before they're built," Butler corrected.
Wells said mass-producing homes has been his company's attempt at limiting costs, adding that he can order materials in bulk much easier than for a custom build.
"In doing that, it saves around 20 percent of the cost," Wells said.
Most importantly, Wells said they're focused on building quality homes ready for those in the market.
"We focus on building a really good home for the best price we can," Wells said.
And it's certainly keeping framers busy, and they definitely aren't complaining.
"We're way more worried about running out of work than having too much," Adams said with a smile. "So, the more they give us, the more we'll build."
