New Tariffs, Higher Costs — Who Really Pays the Price?

Feb 19, 2025

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As the U.S. waits for the final decision on the fresh tariffs imposed on Canadian, Mexican, and Chinese imports, the housing industry is bracing for the impact of this policy decision. With material costs already a growing concern, these new trade policies could send ripples through supply chains, development timelines, and affordability.

Tariffs on steel, lumber, concrete and other key building materials have the potential to drive up construction costs, exacerbating an already tight housing market. Builders and developers may need to rethink sourcing strategies, while policymakers weigh the broader economic consequences of trade restrictions on inflation and consumer spending.

From rising home prices to shifting supply chains, host Maiclaire Bolton Smith sits down with industry experts Pete Carroll CoreLogic's, EVP of Public Policy and Industry Relations, and Jay Thies CoreLogic's Vice President of Pricing Analysis and Delivery to explore the immediate and long-term effects of these tariffs. Tune into this episode of Core Conversations to listen to the break down on what thse tariffs could mean for homebuilders, affordability, and the future of the housing market.

In This Episode:

2:10 – What are Trump’s tariffs and how will they affect the property industry — particularly construction?

5:50 – What are the preliminary estimates on how much tariffs could increase homebuilding costs?

9:12 – Will adding additional cost to homebuilding conflict with Trump’s executive order to provide affordability relief to the housing market?

13:58 – How will material and labor costs be affected?

16:32 – Erika Stanley does the numbers in the housing market in The Sip.

17:32 – Canadian lumber tariffs, they’re not new, but these tariffs will make them substantial.

19:22 – Could the U.S. domestically supply the necessary materials for home construction? Are there alternative materials that could be used?

22:30 – Will the tariffs have long-term consequences on U.S. home affordability?

24:54 – How will these tariffs affect rebuilding efforts following January’s Los Angeles wildfires?

28:30 – Will these tariffs affect the future of the U.S. property market?

Up Next: What Will a Second Trump Presidency Mean for U.S. Housing?

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