[–><!–>
–><!–>
[–><!–>He doesn’t hire the crews or select the materials — Mr. Anderson, the owner of Rebuild the Block, signs a contract with a trade partner who handles those details. But he keeps a detailed budget that accounts for his costs — totaling about $1.29 million.–><!–>
–><!–>
[–><!–>
–><!–>
[–><!–>
–><!–>
[–><!–>To examine the potential effects of tariffs on Mr. Anderson’s budget, The Times turned to the Observatory of Economic Complexity, a tool that analyzes trade flows and tariff data.–><!–>
–><!–>
<!–>
–><!–>
[–><!–>
–><!–>
[–><!–>
–><!–>
[–><!–>
–>
How the costs of home building could increase
| Item | Base cost | Labor | Material |
|---|---|---|---|
| Concrete foundation | $58,200 | +25% | +18% |
| Framing | $107,400 | +25% | +4% |
| Exterior windows and doors | $49,400 | 0% | +11% |
| Roofing | $38,875 | +20% | +21% |
| Siding | $64,540 | +26% | +7% |
| Plumbing, electrical and mechanicals | $138,000 | 0% | +8% |
| Insulation and drywall | $45,000 | +35% | +20% |
| Flooring | $105,700 | +30% | +2% |
| Painting and wall coverings | $45,400 | +19% | +11% |
| Cabinets and countertops | $99,000 | +30% | +17% |
| Appliances | $26,000 | 0% | +11% |
| Other | $511,000 | +16% | +31% |
<!–>The Foundation–>
<!–>
–><!–>
[–><!–>Last September, once the architectural drawings were complete, the building permits approved and the site prepared for construction, a crew arrived to lay the foundation, costing about $59,000. On the busiest days, as many as eight workers were on site. Some days, as few as three or four. Almost 70 percent, or $40,000, of the foundation budget, went to labor. About 90 percent of the crew were immigrants. Without them, his labor costs could swell to $49,800.–><!–>
–><!–>
[–><!–>In 2023, the United States became the world’s largest importer of cement, a key ingredient for concrete. Conservatively, tariffs could drive up the costs for the house construction by 18 percent.–><!–>
–>
<!–>The Framing–>
<!–>
–><!–>
[–><!–>By the middle of October, with the foundation laid, the framing got underway. Framing is a labor intensive job, and about 75 percent of this crew were immigrants. About 62 percent of his $107,400 framing budget — $67,000 — was spent on labor. Without those workers, labor costs could cost Mr. Anderson another $16,000.–><!–>
–><!–>
[–><!–>With tariffs, the lumber for the framing could add $1,760 to his budget.–><!–>
–>
<!–>The Windows and Doors–>
<!–>
–><!–>
[–><!–>
–>
<!–>The Roof and the Siding–>
<!–>
–><!–>
[–><!–>By March, work began on the roof and siding, and 90 percent of the roofers were immigrants. (Nearly half of roofers in the United States are not citizens.) Without them, labor costs could rise by 30 percent.–><!–>
–><!–>
[–><!–>
–>
<!–>Plumbing, Electrical and Mechanicals–>
<!–>
–><!–>
[–><!–>
–><!–>
[–><!–>But his material costs could rise significantly, with tariffs. Electrical materials could increase by more than $4,800, while his HVAC system could cost him another $1,350.–><!–>
–>
<!–>The Insulation and Drywall–>
<!–>
–><!–>
[–><!–>
–><!–>
[–><!–>A crew of two workers insulated the house, while eight to 10 workers hung the drywall. If Mr. Anderson had to replace all those workers, his labor costs could rise by 35 percent, a $12,570 increase.–><!–>
–><!–>
[–><!–>Tariffs would increase material costs noticeably, too. In 2023, America imported more Gypsum, the material for drywall, than any other country, and so drywall is a material that could be particularly sensitive to tariffs. The price of drywall could rise by 22 percent, adding $1,540 to the $27,600 bill.–><!–>
–>
<!–>The Flooring–>
<!–>
–><!–>
[–><!–>
–><!–>
[–><!–>But the crew laying the floors was almost entirely immigrant workers, and without them, Mr. Anderson anticipated that his costs could rise by 30 percent, to $51,000.–><!–>
–>
<!–>
–><!–>
[–><!–>Painting and wallcoverings cost $46,000, with labor accounting for 80 percent of the cost. More than 47 percent of painters working in construction are not U.S. citizens, and immigrants made up nearly the entire crew for the Phoenix home. Mr. Anderson estimates his labor costs could rise by $7,400.–><!–>
–><!–>
[–><!–>Tariffs could add 10.5 percent to the cost of house paint, raising the price from $8,400 to $9,300.–><!–>
–>
<!–>Cabinets and Countertops–>
<!–>
–><!–>
[–><!–>The kitchen is the showpiece of any house, and the materials are expensive. Of the $96,000 spent on cabinets and countertops, 85 percent of that went to materials. Tariffs could drive those material costs up by more than $13,000.–><!–>
–><!–>
[–><!–>However, cabinet and countertop installation relies heavily on immigrant labor, and the $19,000 labor costs could rise by 30 percent.–><!–>
–>
<!–>The Appliances–>
<!–>
–><!–>
[–><!–>Mr. Anderson said it was unlikely that his $2,000 appliance installation costs would change with a loss of immigrant labor. However, the $24,000 he spent on materials could go up by $2,620, with tariffs.–><!–>
–>
<!–>Design, Management, Landscaping and Other Costs–>
<!–>
–><!–>
[–><!–>
–><!–>
[–><!–>
–><!–>
[–><!–>
–>