Are Tariffs Making Jackson County's Housing Market Worse?

Medford, OR | April 2025

The Southern Oregon housing market — particularly in Jackson County — feels the squeeze. Home prices remain high, inventory is tight, and new construction can’t meet demand. However, tariffs on building materials are a hidden factor driving up housing costs in the Rogue Valley.

If you’re wondering why home construction is slowing or remodeling your Ashland bungalow is more expensive than ever, tariffs might be part of the answer.

In this article, we’ll explore how tariffs are impacting real estate in Jackson County, why it matters for buyers and builders, and what changes could help the local housing market recover.

How Tariffs Are Hurting Jackson County’s Housing Market

1. Higher Building Costs Across the Rogue Valley

Tariffs on imported Canadian softwood lumber and steel have raised the cost of construction materials throughout Jackson County — from Medford and Ashland to White City and Talent. These added costs trickle down to homebuyers and renters.

“We’ve seen project estimates rise by 15–20% in the past few years, largely due to increased material costs,” said Medford-based homebuilder Travis Johnson. “Tariffs are a factor.”

📊 Local Data Spotlight

According to the Jackson County Assessor’s Office, the average construction cost per square foot for single-family homes rose from $144 in 2020 to over $173 in 2024 — a 20% increase. Much of that growth is linked to supply chain issues and tariffs on lumber, appliances, and other imported goods.

2. Slowdown in New Housing Starts

When construction becomes more expensive, fewer homes are built. This directly impacts the housing supply, a major issue in Jackson County, where population growth continues to outpace new development.

“We’re trying to get more affordable units into the market,” said Andrea Cooper, a regional planner with the Rogue Valley Council of Governments. “But between permitting delays and material costs — some of which are tied to tariffs — it’s difficult to break ground.”

📉 In 2022:

Jackson County saw a 12% decline in new housing starts compared to the previous year.
Multifamily construction (like apartments) slowed even more despite growing demand in cities like Phoenix and Central Point.

3. Impact on Home Renovations and Rebuilds

Wildfire recovery efforts—especially after the Almeda Fire—have also been hard hit by tariffs. Thousands of homes in Talent and Phoenix were lost in 2020, and rebuilding them has proven more expensive than anticipated.

From drywall and insulation to cabinets and kitchen appliances, many common home materials are subject to tariffs or impacted by global pricing fluctuations.

“Even with insurance, people are struggling to rebuild. The cost of everything is just higher — and tariffs are part of that equation,” shared Janae Morales, a housing advocate with Unete in Medford.

Why This Matters for Buyers and Renters

First-time homebuyers in Medford, Eagle Point, and Ashland are facing fewer affordable options.
Renters are seeing price hikes as construction slows and inventory shrinks.
Developers are pulling back or repricing projects, reducing overall market momentum.

Every added cost from tariffs ripples through the system — making housing less accessible for everyone.

What Can Be Done?

If state and federal policymakers are serious about tackling the Oregon housing crisis, revisiting trade policies and construction tariffs should be considered.

🔧 Possible solutions:

Suspend or reduce tariffs on critical homebuilding materials
Support local lumber and steel production to ease reliance on imports
Provide subsidies or tax credits for builders to offset tariff-related costs

Final Thoughts

The housing shortage in Jackson County is complex, but tariffs on construction materials are a silent driver of rising costs. Builders can’t build, buyers can’t buy, and renters are stuck with higher monthly bills.

As Medford and the broader Rogue Valley look for answers, it’s time to include tariff reform in the conversation.

💬 Want to Learn More?

Whether you’re a real estate agent, builder, or first-time homebuyer in Jackson County, understanding how global trade impacts local housing is key. Contact me for more insight, resources, and updates on policy changes that affect our market.