Reality of Realty: International Tariffs - An Unexpected Ripple Effect on the Housing Market

By: Valerie Davenport

[TRANSCRIPT]

Hey future homeowners, welcome back to my channel, Reality of Realty; I’m Valerie Davenport. And, as your trusted real estate guide, Today, we're talking about something that might surprise you: how international tariffs can actually impact the housing market.

So If you like videos like this and other behind the scenes peeks into what it’s like to be a realtor, don’t forget to like, share and subscribe so you’ll be notified when new videos are published.

And,whether you’re moving across the nation or across the street, tap into my resources by emailing me today using the email in the description box below. Now let’s get into the video.

Hey everyone, welcome back to my channel! 

Now, you might be thinking, "Tariffs? How does that affect my home?" Well, it's a bit of a chain reaction. Many of the materials used to build homes or fill homes – things like lumber, steel, and even furniture and appliances – come from other countries.

When tariffs are imposed, these materials become more expensive.

This can lead to a few things:

• Higher Home Prices: Builders may pass those increased costs onto you, the homebuyer, making that dream house a bit pricier.

• Construction Slowdown: Builders might see smaller profit margins, which could slow down new construction projects.

• Supply Chain Issues: Tariffs can sometimes disrupt the flow of materials, leading to delays and potentially even halting projects.

And it doesn't stop there. Tariffs can also impact consumer confidence. When people are worried about the economy, they might be less likely to make big purchases, such as a home.

This can create a bit of a slowdown in the housing market overall.

So, what does this mean for you, whether you're a buyer or a seller?

• Homebuyers: Be mindful of potential price increases. And keep an eye on the bigger economic picture when making your homebuying decisions.

• Sellers: Stay informed about how these trade policies might be affecting your local market. You might need to adjust your pricing strategy accordingly.

Remember, this is a simplified explanation. The actual impact of tariffs can vary greatly depending on the specific market and the types of tariffs in place.

The impact of international tariffs on the housing market can have significant implications for both homebuyers and sellers. Increased costs of construction materials, supply chain disruptions, and reduced consumer confidence can all contribute to higher home prices, slower construction, and potentially static housing market.

And, while the extent of these impacts has yet to be revealed, it's crucial for both buyers and sellers to remain informed about the evolving housing market. Understanding how tariffs might influence local conditions can help establish whether homebuyers and home sellers make informed decisions and adjust their strategies appropriately.

As always, I'm here to help you navigate the ever-changing housing market. Feel free to reach out with any questions. 

So that’s it for today’s video. I’ll wrap it up here by saying thanks for tuning in to the very end! If you found this info helpful, don't forget to like, share and subscribe, and hit that notification bell for more real estate insights. Until next time, happy house hunting!