Why Renovation Costs Are Going Up — and Why Now Is the Time to Act

Nov 19

If you’ve been following the home-improvement scene, you’ve probably heard the same thing we have: Renovation fees are heading upward — many experts are projecting increases of 10 % to 40 % in 2026. If you’re planning a remodel (kitchen, bath, whole-home, etc.), this is more than just news–it’s a strategic call-to-action.

Here’s what’s driving this surge in costs and why working with SheBuilds now to lock in 2025 pricing could save you a lot of money (and headache).

1. Materials inflation & supply chain stress

  • The cost of core building materials has been steadily rising. After the global disruptions post-pandemic, shortages, shipping delays, and raw-material price jumps all piled up.

  • For example: steel, aluminum and lumber have all seen noticeable increases.

  • According to industry reporting, even before the most aggressive tariffs hit, input-costs climbed — for example, lumber and wood products were up 4.8% year-over-year in one measure of mid-2025.

  • What this means: even if you choose “standard” materials, the baseline cost your contractor pays for things like framing, cabinetry, fixtures, etc., is going up.

2. Tariffs, trade policy & import costs

  • Import duties and trade policy shifts are adding another layer of cost pressure. Using the domestic U.S. market for home-remodeling: key materials like softwood lumber, kitchen cabinets, vanities and other components face higher import tariffs.

  • The National Association of Home Builders (NAHB) explains that even though only about 7% of goods used in new residential construction are imported, the ripple effect of tariffs still raises prices for end-users.

  • For example: There’s a 10% tariff on imported softwood timber and lumber now, and some 25% tariffs on things like kitchen cabinets/vanities — with the possibility those could increase to 50% in January 2026.

  • Why it matters: Your remodel-budget is vulnerable to these upstream cost increases. If the cabinets your designer shows you are imported (or have imported components) the price jump may hit you.

3. Labor & subcontractor cost pressures

  • It’s not just materials: the remodel industry is facing labor shortages (especially skilled trades) which drives upward wage pressure.

  • When trades are in high demand and short supply, scheduling becomes trickier, lead times expand, and contractors build contingency into pricing (because they may have to pay more or deal with delays).

  • What this means: even if materials stayed flat, labor and overhead cost increases still contribute to your project cost rising.

4. Inflation and general cost escalation

  • Broader inflation – from fuel, logistics, freight, energy – trickles into construction. The cost to manufacture, transport, store and deliver building supplies rises. Also overhead for contractors (insurance, compliance, equipment, debt costs) increases.

  • Industry-analyst firms are signaling that the construction market in 2025 is one of “greater volatility” and cost growth.

5. Lead-time, backlog and early-booking premiums

  • When everyone expects costs to go up, suppliers raise bids; contractors may build in “escalation” or contingency to protect themselves from future cost spikes.

  • Because of longer lead times, what you sign today could actually get delivered later when costs have already moved — so the “today” pricing advantage matters.

  • In short: delaying a decision may leave you paying next-year’s higher cost, not today’s.


What This Means for Homeowners — and Why 2025 is Your Window

If you’re a homeowner in the Portland / Canby / Willamette Valley market, considering a remodel in the near future (or even just thinking about it), here’s the practical takeaway: Your budget-risk is rising.

  • A quote you get today (in 2025) may still be valid, but if you wait until 2026 — same scope, same finishes — you could easily face a price increase of 10-40% (depending on the mix of imported materials, specialty trades, etc.).

  • The longer you wait, the more the odds stack against you: rising materials, tariffs may bite, labor costs may climb further, supply-chain constraints may deepen, backups may increase.

  • By locking in now you gain downside protection: you get the benefit of 2025 pricing + scheduling priority (since many homeowners will decide later).

  • With SheBuilds as your general-contractor partner, you get our expertise in navigating supply-chain / scheduling issues, shading you from surprises as much as possible.


Your Action Plan — How to Lock in 2025 Pricing

Here’s how to move forward with confidence:

  1. Book your consultation now — Let’s set your project in the queue for 2025/early-2026 so you capture current pricing, secure scheduling and begin your design selections while markets are still more stable.

  2. Define your scope & finishes — The sooner we settle on what you want (kitchen layout, bath finishes, flooring, cabinets, lighting, etc.), the sooner we can lock in bids, order long-lead items and shield you from cost shifts.

  3. Design-to-budget with escalation buffer — We’ll build your budget with margins for the “known unknowns” (tariffs, labor shifts, delivery delays) so you’re not caught off-guard mid-project.

  4. Choose finishes with supply-chain awareness — We’ll steer you toward materials and vendors we trust, including those with solid lead-time records, fewer imported components (when possible), to reduce volatility.

  5. Sign contract & secure start date — Once we’re aligned on budget/finishes/schedule, sign the contract so you lock in pricing, reserve materials and pick up prime spots in the production schedule.

  6. Communicate and track — Because we expect more volatility in the coming period, we’ll stay in close touch about any market shifts, so you’re always informed and we can adapt if needed.


Final Word: Don’t Wait for “Better” Pricing — The Risk Is Waiting

There’s always a chance materials or labor could drop — but the overwhelming signals point upward in 2026, not downward. Tariffs, inflation, labor shortages and supply-chain issues are all stacking in the “higher cost” direction.

By moving now, you’re giving yourself control: you lock pricing, secure a time slot, avoid being squeezed by next-year’s cost escalation. We can choose smart timing, informed selections, solid contracts, and forward momentum.

If you’re ready to map out your remodel — or just want to chat about what locking in 2025 pricing could mean for your budget — call our Wilsonville Showroom and let’s connect for your initial design consultation: 971-350-6990. Or, click here!


Ready to lock in your 2025 pricing before cost pressures take hold in 2026? Schedule your free SheBuilds Remodel Consultation today — let’s turn your vision into a budget-protected plan.

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