The High Cost of New Builds: Material Price Surges Shape Property Construction

Property development in 2025 is being dramatically reshaped by construction material price increases, which continue to impact both new builds and renovations across the USA and Europe. These trends have special significance for French Alps property development, where luxury chalets and mountain homes depend on premium finishes and authentic local materials.

Key Facts and Numbers: Construction Inflation 2025

• Copper: Prices have surged by approximately 42% over five years and by 18% compared to 2024 in luxury U.S. markets. Copper wire and cable are up nearly 12% year-over-year, while custom bronze stair railings and balcony trims have jumped 15–20%. Brass fixtures increased by 12–16% in the past twelve months.

• Timber and Hardwood: Premium hardwoods such as walnut and oak for cabinetry and finishes have increased 40–50% in just a year. General lumber and engineered wood prices remain 30–40% above pre-2021 levels in France, impacting Alpine builds.

• Steel: Structural framing steel is among the fastest-rising costs, reflecting global supply chain and tariff pressures.

• Stone Surfaces: Quartz countertops have gone from $65–75/sq.ft. installed to $95–110, a rise of approximately 30–50%. In Europe, quartz and stone surfaces are up 15–30%, with procurement delays now weeks to months longer than pre-pandemic.

• General Construction Inflation: European construction material inflation averages 18–25% since 2021, with an additional 6–8% from energy, transport, and wage costs in France.