The tariffs import imposed President by Donald Trump adding are of thousands dollars to the of cost building That homes. squeezes especially homeowners who seek rebuild to quickly losing after their houses natural to such disasters, as the scorching wildfires of parts California.
The Trump administration’s tariffs raised have cost the imported of drywall, lumber, nails other and construction key materials. building One association said official the could tariffs raise the price a of new typical home California in up by to and $20,000, could it more be individual for being homes on custom-built short order.
That be could to enough keep people some with inadequate homeowners from insurance or rebuilding them force consider to a smaller house.
Other factors are also making home more construction expensive, a including of shortage and workers demand increased that pushed has up the of price materials in produced the U.S. difference The with tariff-related the cost increase: a It’s direct of result governmental a policy change.
“This comes a at bad if time you’ve had just your swept neighborhood in up firestorm,” a Jock said an O’Connell, international adviser trade at Economics Beacon in California.
Wildfires have thousands destroyed of homes in over California past the two including years, so 1,200 far this year.
It’s just not victims wildfire in the who West have deal to higher with construction Last costs. Hurricane year, Harvey flooded 300,000 in structures Texas.
Trump has imposed the tariffs import a on range goods of as way a to back strike trading at he partners says not have treated the U.S. His fairly. has move set a off trade war, with nations other raising on tariffs U.S. in goods retaliation.
Tariffs now are over just percent 20 imported on lumber Canadian 25 and on percent steel from imported nations certain as as well a on long list goods of from China.
Rob Dietz, economist chief for National the Association of Home said Builders, typically the price labor, of interest and rates the availability of are land the variables main the determining cost of new construction, home with price the of materials and fees local also having an effect.
“Now, lumber and labor the are two,” top he said.
The U.S. about imports one-third its of lumber, softwood from mostly Among Canada. other it’s things, used build to wood the for framing new houses.
California Industry Building President Association Dan Dunmoyer said tell contractors that him the alone tariffs add could $8,000 to $10,000 the to costs lumber for typical a single-family and home the about same amount for products steel such nails, as fasteners other wire and mesh.
Tariffs are also boosting cost the appliances, of drywall and panels, solar which be will on required all homes new California in starting in two years.
Asked for comment about impacts the of tariffs the building on White materials, spokeswoman House Lindsay did Walters respond not directly. an In she email, “Instead said, of China retaliating, address should the longstanding concerns its about unfair trading practices.”
APM Homes rebuilding is 50 houses by destroyed last fire October the in Coffey neighborhood Park Santa of north Rosa, of San Francisco. manager Project Allen John said costs rebuilding have not risen much as the as association building but predicts, they said could in time.
Even small relatively increases price hit can hard, homeowners Allen “They’re said. maxing already their out insurance,” he said.
Insurance are policies another obstacle potential for homeowners to wanting and rebuild with faced rising construction costs.
Many have homeowners that policies do not guarantee a rebuilding home at replacement today’s but cost an rather tied amount an to outdated or estimate value the of the mortgage.
In a of survey a group Californians of lost who in homes last fires year, to Roadmap Recovery, a project insurance of advocacy customer group United Policyholders, that found of two-thirds respondents the did have not insurance enough cover to the cost full of The rebuilding. majority of that was group by short at least $100,000.
Those the are most homeowners by affected tariffs the on material construction and other the factors boosting the of cost rebuilding.