Home builders brace for increased costs, even with tariff pause

JACKSONVILLE, Fla. — Housing prices have obviously been skyrocketing in recent years and homebuilders say tariffs only stand to make the cost of constructing new ones more expensive.

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Even with today’s news of a 90-day tariff pause for many countries, builders are still anticipating price increases.

Costs to construct new homes are expected to rise due to national tariffs imposed by President Donald Trump.

The Northeast Florida Builders Association told Action News Jax materials like roof shingles and appliances are just two types of products that are likely to see price increases.

Early calculations suggest the total impact to direct construction costs could be anywhere between $9,500 to $12,000 per home.

But as Association President Seth Kelley explained, due to the constantly shifting tariff situation, it’s difficult to pinpoint exactly how prices will be impacted.

“What we’ve been seeing in the residential construction industry is basically folks preparing for the worst, but not necessarily knowing where things are going to settle out,” said Kelley.

Now, with Wednesday’s announcement tariffs on 75 countries would be paused, Kelley argued things are even less certain.

But given the announcement also included increased tariffs on China, his expectation is construction costs will still likely go up.

“Upwards of seven to eight percent of what goes into a house is exclusively sourced from China and it could be things as small as a door hinge to things as significant as a microwave,” said Kelley.

But Kelley noted the full impact might not be known for a few months.

“And we’re hoping that the things and changes that the administration is doing, that those evaporate and no longer continue to be an issue,” said Kelley.

As far as advice goes for those looking to construct new homes, Kelley argued it’s never the wrong time to buy, as even without the tariffs, construction prices aren’t likely going down any time soon.

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