Mention construction costs in a room of developers and owners and you're sure to be met with growls and frustrated sighs. We all know materials and labor are through the roof (or more accurately, through the budget that funds the roof). But new research from CBRE shows that in DFW, it could be much worse.

Although construction wages in the Southwest have grown due to supply-demand imbalances, labor costs here are only 68% of the national average, compared to NYC at 168%. More jobs and lower wages remain good news for builders, but not-so great news for laborers who could get paid more elsewhere.

But all that cheaper labor hasn't helped offset steep increases in glass, cement, construction sand, gravel and stone rose. Asphalt, diesel, iron and steel prices decreased, but not enough to make up for an overall materials increase.

Construction cost increases outpaced the national average in several major metro areas since January 2011. In the last 12 months, DFW saw an increase of 2%, just above the national average of 1.8%.