New homes in the United States are on track to be more expensive due to President Donald Trump’s tariff policies, according to a new report.

The tariffs are expected to raise the cost of supplies to build homes at the same time that the U.S. is facing a housing crisis consisting of rising rent, the increasing cost to buy a home, and low supply.

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A report from the Canadian Chamber of Commerce estimated that the cost to build a new home in the U.S. will increase by $14,000 by the end of 2027 if Trump’s tariffs on Canadian imports remain in place.

Canada is the third-largest importer of materials used to build homes in the U.S., behind China and Mexico. In 2023, the country accounted for 69% of lumber imports to the U.S., 25% iron and steel imports, and 18% of copper imports. Additionally, around one-third of all U.S. lumber supply is imported.

While Trump’s tariff policy frequently changes, he has imposed a 35% tariff on all Canadian goods not compliant with the U.S.-Mexico-Canada Agreement beginning Aug. 1, a 50% tariff on all steel and aluminum imports, and has threatened a 50% tariff on copper imports.

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While the report from the Canadian Chamber of Commerce did not include the expected impact that Trump’s tariffs on Mexico and China would have on the cost of building a home, it noted that the policies will worsen the U.S. housing crisis.

A report from NBC News found that the tariffs across the three countries would increase the total cost of materials to build a typical 1,800-square-foot home from the current $86,516 to $90,921, which is consistent with the findings from the Canadian Chamber of Commerce.