On March 11, 2025, the U.S. officially imposed a 50% tariff on Canadian steel and aluminum, escalating trade tensions and sending a ripple through the Canadian economy — particularly the housing and construction sectors. While these tariffs may seem like a political headline, they have real-world consequences for buyers, sellers, investors, and homeowners in Ottawa.
In this blog, we’ll break down everything you need to know:
• A timeline of key 2025 tariff announcements
• Which building materials are affected
• How Ottawa’s housing market is being impacted
• What buyers, sellers, and homeowners should do next
• A direct call to action to help you navigate the market
Timeline: U.S. Tariffs Affecting the Canadian Housing Market in 2025
January 18, 2025 – Softwood Lumber Tariffs Reaffirmed
The U.S. maintained existing ~8% tariffs on Canadian softwood lumber, which has kept costs elevated for framing, decks, fencing, and cabinetry — all critical components in both new construction and renovations.
February 27, 2025 – Trump Signals Tariff Expansion
In a campaign address, Trump suggested that additional tariffs could be applied to Canadian construction inputs such as drywall, cabinetry, insulation, and flooring. While these were not yet formalized, the building industry began pricing in this risk.
March 11, 2025 – 50% Tariff on Canadian Steel and Aluminum Implemented
Trump officially imposed a 50% tariff on Canadian steel and aluminum, effective immediately. These metals are key to everything from high-rise framing to HVAC systems, windows, doors, and major appliances.
Expected Late March–April 2025 – Additional Tariffs on Finished Goods
Trade analysts anticipate the next wave of tariffs could include finished products such as engineered flooring, countertops, tiles, and fixtures — items often used in renovations and mid-to-high-end home builds.
👉 Worried how this affects your home in Ottawa? Book a free home evaluation today
How These Tariffs Affect New Builds in Ottawa
Suburban neighborhoods like Greely, Riverside South, Barrhaven, and Stittsville are experiencing rapid growth through new construction — but rising material costs are threatening that momentum.
Builders in Ottawa rely heavily on:
• Steel framing for multi-unit developments
• Aluminum in windows, siding, HVAC systems, and appliances
• Lumber for framing, roofing, and structural support
With higher input costs, many developers may either increase home prices or delay launching new phases of development. This puts upward pressure on already tight inventory and makes affordable new construction harder to find.
➡️ Exploring resale instead of new builds? View Ottawa Resale Listings
Renovation Costs Are Climbing for Ottawa Homeowners
If you’re planning to renovate your home — whether for personal use, to prepare for sale, or as an investment — expect a noticeable uptick in costs.
Materials affected by the tariffs include:
• Steel studs and structural supports
• Drywall, cabinetry, and insulation (potentially)
• Aluminum window frames and trim
• Stainless steel appliances and HVAC systems
Renovation professionals are already warning clients of revised estimates and longer lead times, especially for major projects like kitchens, basements, or additions.
This hits:
• Homeowners prepping their property for sale
• Flippers and real estate investors
• Multigenerational families planning upgrades or expansions
💬 Thinking about listing but worried about renovation costs? Schedule a Seller Strategy Session
Resale Homes in Ottawa May See a Surge in Demand
As new builds become more expensive or delayed, buyers will naturally shift toward resale homes — especially those that are move-in ready.
Resale-friendly neighborhoods to watch:
• Kanata Lakes – Known for family homes and proximity to tech jobs
• Orleans – Affordable homes with larger lots and community infrastructure
• Alta Vista – Great for professionals, close to the hospital campus and downtown
Sellers in these areas may see stronger buyer activity and offers above asking price, especially if their homes require little to no renovation.
🏡 Own a home in one of these neighborhoods? See what your home is worth now
What Should Buyers and Sellers in Ottawa Do Now?
For Buyers:
• Get pre-approved for your mortgage as rates and prices may rise
• Look at resale homes as a more cost-stable alternative to new builds
• Work with a Realtor who understands neighborhood-by-neighborhood pricing trends
For Sellers:
• List now while demand for move-in-ready resale homes is rising
• Avoid major renovations that could escalate in cost — minor updates may be more strategic
• Take advantage of the current market shift by pricing and preparing your home correctly
Let’s Talk Strategy — And Your Home’s Value
At Bekkers Realty, we help our clients navigate market shifts like this with confidence. Whether you’re preparing to list, thinking about buying, or simply want to understand what this all means for your home equity — we’re here to help.
📞 Let’s talk about your goals and how the latest market moves impact you
👉 Schedule your free home consultation today
