NEW REPORT: Trump Tariffs and Economic Uncertainty Exacerbate the U.S. Housing Crisis

Report Details How Current Tariff Policy is Harming the Future of U.S. Housing Supply

WASHINGTON – U.S. Senator Maggie Hassan (D-NH), Ranking Member of the Joint Economic Committee, issued a report today that details the ways in which the Trump administration’s tariff policy —  and the resulting uncertainty for businesses in the housing sector — has slowed construction of housing in the United States, which will, in turn, exacerbate the affordable housing shortage.

“The housing crisis hurts New Hampshire families, stretches budgets thin, and denies people the stability that owning their own home can provide — and the President’s reckless tariffs are only making matters worse,” said Senator Hassan.  “Home builders are sounding the alarm about the ways in which the President’s tariffs are driving construction costs higher. This report shows how the President’s policies are leading to fewer houses and apartment buildings being built in America, which is the last thing we need when facing a severe shortage of affordable housing.”

For the report, the Committee conducted outreach to home builders, multifamily housing developers, and realtors, who detailed the impact that tariffs and economic uncertainty are having, making it more difficult to build and sell homes. In addition, key new Committee calculations in this report show that:

• Materials and other products that are used to build and furnish homes have become more expensive over the past year.
• Following Trump’s tariffs on steel and copper, the price of copper and copper products in February 2026 was 25 percent higher compared to the year before, and the price of steel mill products – including steel bars, wire, pipes, and plates – increased by 21 percent.
• Necessary home appliance prices are also increasing. The most popular ovens at key retailers increased in price by $70 on average, or 9 percent.
• The rate of new home construction has fallen. By the end of the first year of Trump’s second term, the rate at which builders secured construction permits and started construction had sunk below late 2024 levels.
• August 2025 had the lowest issuance rate for residential permits since May 2020, one of the worst months of the pandemic-era slowdown in construction.
• Amid the decline in industry activity, there were 60,000 fewer jobs in home construction in February 2026 compared to December 2024.

You can read the full Joint Economic Committee – Minority report here. 

Ranking Member Hassan has worked to address affordability and availability of housing in New Hampshire, including by pushing to expand the Low-Income Housing Tax Credit to help increase the supply of affordable housing. Her most recent visit to an affordable housing community was in January when she visited a senior housing community in Newmarket that prioritizes low-income Granite State seniors.