Key takeaways

– Permits are down in Snohomish, King and Pierce counties. 

– Construction spending has slightly decreased since the beginning of the year.

– Local home remodelers and builders have had to keep their eyes peeled. 

– Open and constant communication between businesses and clients is key.

Since President Donald J. Trump imposed tariffs on imported goods earlier this year, it has caused uncertainty among local home builders, remodelers and other trades people, as well as their clients.

“You’re seeing buyers on the sidelines right now, and I think tariffs are one of those reasons. They’re also concerned about interest rates, feeling like they may be just a little too high,” Allison Butcher said.

Butcher is a senior policy analyst at the Master Builders Association of King and Snohomish Counties. The Bellevue-based nonprofit has been “the voice for builders for more than 100 years,” according to its website. 

Permit data for Snohomish, King and Pierce counties are down by about a third in the first quarter of this year compared to last year, Butcher said. In Snohomish County specifically, there has been about a 43% drop in single-family permits. 

That means builders have paused on starting new projects because it may be “too risky” to build at this moment, Butcher said. 

According to the Associated General Contractors of America, construction spending decreased by 0.4% from March to April, and it has been down slightly since the beginning of the year.

Butcher said that if plans for tariffs stay on track, the cost for Canadian lumber – one of the biggest components of a new home – is supposed to more than double later this year. 

According to the National Association of Home Builders, lumber mill facilities in the U.S. are operating at just 64.4% of their potential capacity – a number that has continued to drop since 2017. There is not enough domestic lumber to meet the industry’s needs. 

“Ultimately, we’re concerned about tariffs because they end up being a tax on consumers and new home buyers,” Butcher said. 

NorthLight Custom Builders, LLC, a Mukilteo-based remodeling company that serves the Seattle-Everett metro areas, hasn’t made any major changes to its prices due to tariffs. 

“We’re updating our clients weekly,” Dorene Sharpe said. 

Sharpe is the director of sales/marketing and operations support for NorthLight. She said some suppliers had notified them about potentially raising costs by 10-20% due to tariffs, but the suppliers haven’t specified an exact dollar amount.

(NorthLight Custom Builders, LLC is an advertising sponsor of the My Neighborhood News Network.)

Irons Brothers Construction, a Shoreline-based remodeling and construction company that serves north of Interstate 90 and west of Interstate 405 up to Edmonds, tends to source most of its materials in the U.S. 

“Everything will cost more … than a typical year. But how much more really depends on the project,” President and General Manager Joseph Irons said.

For Irons, the cost of fuel is important to monitor. If fuel costs increase, construction costs will increase also because everything on a typical job site is shipped in, he said. 

“In our industry, we’re always adapting … to meet the new regulations,” Irons said.

Butcher said there is already not enough housing. Anything that adds to the cost of housing or creates uncertainty in the housing market could “exacerbate the housing shortage and make it worse,” she said. 

Since tariffs have been up in the air, home remodelers and buildersyers have had to communicate with their prospective buyers and customers about possible price fluctuations.

The Master Builders Association’s Butcher said it is also important for consumers to be in constant communication with their remodeler or builder, and that they understand what is happening at all times. 

Local home remodelers, builders and other tradespeople are resilient and adaptable, Butcher said. They have made it through COVID-19 and the disruptions that came with it. 

“They will withstand any economic headwinds that we’re facing right now,” Butcher said. “Consumers looking for housing – that’s an ongoing challenge.”

Butcher said the Master Builders Association of King and Snohomish Counties plans to keep working with local and state policy makers on ways to make housing more available. 

— By Angelica Relente

Angelica Relente is a Murrow News Fellow covering housing and related issues in South Snohomish County for the My Neighborhood News Network. Contact her at angelica@myedmondsnews.com.