The ramifications of international trade wars are being felt in the housing industry on a local level. From builders and remodelers to prospective home buyers, everyone in the market has been affected by the escalating tariffs the Trump administration has placed on many Chinese imports.
Products and materials including light fixtures, countertops, steel, aluminum and more than 450 items ubiquitous in homebuilding and remodeling are among the Chinese goods to first receive a 10% tariff that has since risen to 25%. According to a National Association of Home Builders analysis, those tariffs represent a $2.5 billion annual tax increase on a housing sector already experiencing rising land and labor costs.
Unfortunately, Executive Homes isn’t immune to the rising costs of materials. But thanks to the relationships we’ve built with our longstanding trade partners and suppliers — some spanning more than two decades — we’re able to work within your budget and keep your home in line with your vision. While some internationally purchased supplies are unavoidable, if, for example, a particular quartz countertop or wood flooring you’ve selected is subject to a dramatic price increase, we can look for comparable American-made options unimpacted by tariffs.
While all of us in the housing market are hopeful for a timely repeal of all tariffs to return material supplies to normal, there is a silver lining to the situation for home buyers.
Rising trade wars weaken the overall economy to an extent, leading to lower U.S. Treasury, interest and mortgage rates to give home buyers some financial relief, let them borrow a larger amount or stretch their dollar further.
At Executive Homes, we strongly believe in establishing authentic, transparent relationships with our partners. We’ll honor your budget and lock in your price once a contract is signed, absorbing any effects and protecting you from any future tariffs we know you weren’t expecting.
Throughout an uncertain housing landscape partially reliant on international treaties and developments, we promise to be good stewards of your resources and guide you through your building experience with integrity and honesty.