How the “Liberation Day” Tariffs Might Hit Closer to Home Than You Think - Central Oregon
If you’ve been following the news, you might’ve heard about the new “Liberation Day” tariffs that just went into effect. In short, the U.S. has placed a 10% tariff on all imports—with even higher rates (up to 54%) on materials coming from countries like China and Vietnam. These policy changes are already beginning to ripple through several industries—including real estate.
One of the first areas we’re feeling the shift? Renovation and building costs.
How does this affect us here in Central Oregon?
A lot of materials we rely on to build or remodel homes—steel, wood products, aluminum, glass, appliances—are sourced internationally. According to reporting from AP News, the National Association of Home Builders (NAHB) expects the tariffs to increase the cost of constructing a single-family home by $7,500 to $10,000 across the U.S.
Locally, home renovation costs in Central Oregon are already pretty substantial. Manta.com estimates that remodels in Deschutes County typically fall between $10,150 and $81,200, depending on the size and scope of the project. With tariffs pushing material prices higher, we’re likely to see those upper-end numbers grow even more.
This doesn’t just affect homeowners—it’s also something sellers, buyers, and investors need to keep in mind. Higher renovation costs can impact everything from a flip budget to a buyer’s renovation wish list after closing. It can also impact the motivations behind requested buyer concessions during a pending real estate transaction!
"If there are blanket higher tariffs on all goods crossing the border, then there will be higher inflation. If there are tariffs on a few select products, which are done in phases spread over many years, then there will be less upward pressure on inflation. It also depends on how much and how fast U.S. factory production can ramp up,"
A few things you can do to stay ahead:
Shop Local When You Can – Locally sourced or American-made products may help avoid import-related price spikes. Plus, it supports small businesses here in Central Oregon.
Plan Ahead – Expect longer wait times and higher shipping costs. If you’re planning a project, try to lock in materials sooner than later.
Lean on Pros You Trust – Whether it’s a contractor or a real estate agent (hi 👋), working with someone who knows what’s happening behind the scenes can help you avoid surprises.
