360Value Quarterly
Reconstruction Cost Analysis
Q3 2023: United States
360Value Quarterly Reconstruction Cost Analysis
Q3 2023: United States
The 360Value® Quarterly Reconstruction Cost Analysis is derived from monthly building cost updates and research conducted
by Verisk using the industry-leading Xactimate estimating solution. This report provides reconstruction cost trends at the
national and state levels.
Quarterly reconstruction cost increases
continue to steady
Total reconstruction costs, including materials and retail labor, increased 4.3% from July 2022 to July 2023. This uptick
follows the 3.1% increase from April 2022 to April 2023. Quarterly reconstruction costs increased by 1.0%, a slight shift from
the 1.4% increase last quarter. Costs continue to slow down and steady, with increases ranging close to pre-pandemic levels.
Lumber continues its negative streak, decreasing nearly 29% in July 2023. Interior trim and drywall serve as key material
drivers, increasing 14% and 10%, respectively. Concrete mason costs increased 11.5%, the highest of the labor categories.
Recent Canadian wildfires may soon influence reconstruction costs as lumber production and access experiences impact.
Residential Reconstruction Costs
Every state saw higher residential reconstruction costs. Florida had the largest increase at 7.8%, followed by Utah (6.1%)
and Rhode Island (6.0%). South Dakota’s rank changed most significantly, decreasing from the 9th-highest cost increase in
April 2023 to the 32nd-highest in July 2023; costs were up 2.6% in the state. Costs decreased the least in Iowa at 0.7% yearover-year. Residential costs, in total, increased 3.1% from July 2022 to July 2023 and 0.8% from April 2023 to July 2023.
NH
WA
MT
VT
ND
OR
MN
ID
NY
WI
SD
MI
WY
UT
CA
AZ
CO
PA
IA
NE
NV
IL
KS
OK
NM
TX
OH
IN
VA
KY
NC
TN
AR
MA
RI
CT
NJ
DE
WV
MO
MD
DC
SC
MS
HI
ME
AL
GA
LA
FL
AK
3.94%–7.80%
3.05%–3.88%
2.62%–2.98%
2.19%–2.61%
0.66%–2.06%
Changes in reconstruction costs by state
States are grouped in quintiles; each range/color in the legend includes 20% of the total number of states.
*All rates, percentages, increases, decreases, etc., are calculated as percentage changes from July 2022 to July 2023 unless otherwise noted.
2 / © Verisk / verisk.com/360Value
360Value Quarterly Reconstruction Cost Analysis
Q3 2023: United States
Commercial Reconstruction Costs
Every state saw higher commercial reconstruction costs. Utah had the largest increase at 10.1%, followed by Florida at 9.9%.
Rhode Island had the largest shift in rank, up from the 32nd-highest cost increase in April 2023 to the 3rd-highest in July 2023,
with prices rising 9.1% year-over-year. Alaska remains in last place, with costs increasing 3.5%. Commercial costs, in total,
increased 5.6% from July 2022 to July 2023 and 1.2% from April 2023 to July 2023.
NH
WA
MT
VT
ND
OR
MN
ID
NY
WI
SD
MI
WY
UT
CA
AZ
CO
PA
IA
NE
NV
IL
KS
OK
NM
TX
OH
IN
VA
KY
NC
TN
AR
MA
RI
CT
NJ
DE
WV
MO
MD
DC
SC
MS
HI
ME
AL
GA
LA
FL
AK
6.59%–10.11%
5.51%–6.56%
5.09%–5.46%
4.75%–5.09%
3.51%–4.63%
Changes in reconstruction costs by state
States are grouped in quintiles; each range/color in the legend includes 20% of the total number of states.
*All rates, percentages, increases, decreases, etc., are calculated as percentage changes from July 2022 to July 2023 unless otherwise noted.
Residential Reconstruction Costs
© Verisk / verisk.com/360Value / 3
360Value Quarterly Reconstruction Cost Analysis
Q3 2023: United States
Material Cost Analysis
Combined costs for material composites decreased 1.6% from July 2022 to July 2023—a shift from the 4.2% decrease
recorded from April 2022 to April 2023. Lumber composite costs declined consistently over the 15 months—the only negative
composite this quarter at 28.9%. However, the composite still stands 38% higher than pre-pandemic levels.
Interior trim was the primary driver of materials, increasing 14.2%. Drywall and paint composites followed behind at 10.4%
and 6.8%, respectively. Concrete, a heavily used commercial composite, increased at 5.4%.
Positive Percentage
Negative Percentage
Percentage change in costs
Interior Trim Composite
14.2%
Drywall Composite
10.4%
Paint Composite
6.8%
Roofing Composite
6.4%
Concrete Composite
5.4%
Metal Roofing Composite
4.4%
Carpet Composite
2.2%
Lumber Composite
-28.9%
-40%
-30%
-20%
-10%
0%
10%
20%
Percentage change in costs by month
Roofing Composite
Paint Composite
Interior Trim Composite
Drywall Composite
Carpet Composite
Lumber Composite
Concrete Composite
Metal Roofing Composite
20%
14.2%
10%
6.4%
0%
-8.2%
-10%
-20%
-28.9%
-30%
-40%
JUL
2022
AUG
SEP
4 / © Verisk / verisk.com/360Value
OCT
NOV
DEC
JAN
FEB
MAR
APR
MAY
JUN
JUL
2023
360Value Quarterly Reconstruction Cost Analysis
Q3 2023: United States
Labor Cost Analysis
Combined hourly retail labor costs increased 8.6% from July 2022 to July 2023, on par with the 8.6% increase from
April 2022 to April 2023. Labor costs have remained on a steady incline for the last few years.
Concrete mason costs increased the most at 11.5%. Drywall installer/finisher (8.4%), electrician (7.8%), and carpentergeneral framer (7.3%) costs followed behind. Plumber, heating/AC mechanic, and steel worker costs all hovered in the
6% range.
Positive Percentage
Negative Percentage
Percentage change in costs
Concrete Mason
11.5%
Drywall Installer/Finisher
8.4%
7.8%
Electrician
7.3%
Carpenter–General Framer
Roofer
7.1%
6.7%
Plumber
6.4%
Steel Worker
6.1%
Heating/AC Mechanic
-5%
0%
5%
10%
15%
Percentage change in costs by month
Carpenter–General Framer
Drywall Installer/Finisher
Roofer
Plumber
Electrician
Heating/AC Mechanic
Concrete Mason
Steel Worker
15%
11.5%
9.7%
10%
8.4%
6.1%
5%
0%
-5%
JUL
2022
AUG
SEP
OCT
NOV
DEC
JAN
FEB
MAR
APR
MAY
JUN
JUL
2023
© Verisk / verisk.com/360Value / 5
360Value Quarterly Reconstruction Cost Analysis
Q3 2023: United States
About this report
The 360Value Quarterly Reconstruction Cost Analysis is
derived from building cost research conducted by Verisk
using the industry-leading Xactimate estimating solution.
Our comprehensive research process includes real-time
feedback on reconstruction costs from tens of thousands
of contractors and claims adjusters, extensive material
and labor cost surveys, and analysis of more than 5 million
actual damage repair estimates for claims each year.
Verisk also updates reconstruction costs monthly to support
providing reliable and timely pricing information. The data
contained in this report should not be used as the basis
for underwriting, coverage, rating, or renewal decisions,
as changes in replacement costs vary dramatically at the
individual property level.
+1.800.888.4476, option 3 / info@verisk.com / verisk.com/360Value
© 2023 Insurance Services Office, Inc. Verisk Analytics, the Verisk Analytics logo, and 360Value are registered trademarks and Verisk and the Verisk logo are trademarks of Insurance Services Office, Inc. Xactware is a registered
trademark of Xactware Solutions, Inc. All other product or corporate names are trademarks or registered trademarks of their respective companies. z230169 (7/23)