HIGH POINT, N.C. (WGHP) — If your summer plans include relocating, prepare to pay up.
Moving companies are upping their prices due to the rise in fuel costs.
“We’re probably spending just as much money as we’re making in fuel right now,” said Justin Lassiter, Director of Operations for City Transfer and Storage Company in High Point.
The company has moved people to and from the Piedmont Triad for more than 100 years. Recently those moves are getting more expensive as the cost of fuel climbs.
“Companies are probably taking a bigger hit than the customer is,” said Lassiter.
The average price of a gallon of diesel was $5.53 in Greensboro on Wednesday. Moving companies are bearing the brunt of the increase.
“You’re looking at about $1,500,” said Lassiter. “That’s just one truck for a week. You’d be lucky to bring that home in a couple of jobs, maybe depending on how long they last.”
If you’re looking at moving less than 35 miles away, the companies can’t implement a fuel surcharge. They can only charge an hourly rate. Even those are going up. Space to Space Moving, Inc. in Greensboro now charges $140 per hour. That’s a $30 an hour increase from 2021. They’re also putting a two-hour minimum in place to ensure they make a profit.
“If the guys come in here and they get the job done in one hour, they’ve lost money at this point,” said Jeffrey Smith, operations manager at Space to Space Moving.
If you’re moving more than 35 miles away, companies are passing the cost to you. It’s an extra t$2.14 per mile traveled. That’s about three times more than this time last year in North Carolina.
“Even the surcharge isn’t paying for a whole day of fuel,” said Lassiter. “We’re still eating fuel prices as well, but we’re trying to get some money back to where we aren’t going in the hole by the end of the job.”
The moving companies are losing money on their trip back from your move. You’re only responsible for the cost from point A to point B. They have to fill up their trucks on their dime on the way home.
“You really have to plan it out logistically pretty well to make sure you’re not traveling empty as much as possible,” said Smith.
They’re losing about $500 for every 300 miles without a load and losing customers who don’t want to pay the new rates.
“There’s not much profit right now,” said Lassiter. “Sometimes we do see jobs taken away because a customer was able to find a better rate.”
Many moving companies in the Piedmont Triad are booked up months in advance because lots of people are relocating right now. The movers ask you to reach out at least two months before your move. Don’t be surprised when the cost is more expensive than the last time you packed up.