1319 ET - Homebuilders may have no choice but to pass higher costs on to consumers, Realtor.com says, due to the new round of tariffs. "Rising costs due to tariffs on imports will leave builders with few options," says Realtor.com Chief Economist Danielle Hale. "They can choose to pass higher costs along to consumers...or try to use less of these materials, which will mean smaller homes."She noted that while the homebuilding industry and new construction homes will bear the initial brunt of tariffs, they will likely change the landscape of the housing market by changing opportunity costs. The premium on new construction homes that had been shrinking in many markets could begin to rise again. Buyers also may get a lower appetite for major remodeling projects. (chris.wack@wsj.com)
(END) Dow Jones Newswires
March 04, 2025 13:19 ET (18:19 GMT)
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