Are US Tariffs Driving Up Housing Costs?

By Shani Lokhnath

Are you shopping for a new home? Or are you considering remodeling your kitchen or adding a new deck before selling? Before doing these things, you might want to know first what’s happening with our market and how it could affect you. The recent U.S. tariffs on imported goods from Canada, Mexico, and China are starting to affect construction costs. This means higher prices for both home buyers and renovators. Here’s everything you need to know:

Are construction costs affected by tariffs? Home construction costs are rising. The National Association of Home Builders estimates that tariffs will add between $7,500 and $10,000 to the cost of building a single-family home. Prices for materials like lumber, steel, and aluminum are climbing, and some suppliers have already raised prices by 7% to 12% just to keep up.

Builders are struggling with this uncertainty. With tariffs constantly changing, companies are unsure how to plan costs, so they’re passing the increases on to buyers.

What does this mean for you? Homebuyers should expect higher prices, especially for new construction. Renovators will likely face increased material costs and potential delays. For home builders and contractors, securing affordable materials is becoming more difficult, which could tighten profit margins.

So, what can you do about it? Consider buying sooner rather than later. With prices unlikely to drop anytime soon, locking in a deal now may help you save. It also helps to look into alternative materials. Many builders are switching suppliers or stockpiling to offset rising costs.

Partnering with an experienced real estate or construction professional can make it easier to navigate pricing changes and explore your financial options.

Whether you’re planning to buy, sell, or renovate, now is the time to act strategically. If you have questions or need guidance, please reach out. You can call me at 786-925-7708 ** ** or send an email to shani@elevatedunitedrealty.com. I look forward to hearing from you.