Think that big Supreme Court tariff ruling means your dream kitchen just got cheaper? You might want to hold that sledgehammer. While headlines are swirling, the real impact on your wallet—and on San Diego home prices—is far more complicated.
A stable trade policy could ease costs long-term, but it’s not a light switch. Remodeling costs will remain elevated in the near term.
The Problem: A Glimmer of Hope in a High-Cost World
For years, you’ve watched the cost of everything from cabinets to countertops climb relentlessly. This was the normal: putting off that much-needed kitchen update or bathroom refresh because the quotes were simply astronomical. For many homeowners thinking about selling house in San Diego, this created a frustrating catch-22. Do you spend a fortune to update, or sell for less?
Then came the explosion: news that the Supreme Court struck down a set of sweeping tariffs in a 6-3 decision. Finally, a break!
But the initial excitement is quickly fading into a confusing new normal. Contractors aren’t lowering their prices. Supply houses are still quoting high. The price relief you were banking on hasn’t materialized, leaving you wondering what this ruling actually means for your bottom line.
Unpack the ruling’s real impact on your project
The court’s decision was a big deal, but it wasn’t a silver bullet. The ruling specifically targeted tariffs imposed under the International Emergency Economic Powers Act (IEEPA). However, it left other key tariffs untouched.
What does this mean for your remodel?
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Normal: For years, tariffs inflated the costs of nearly all imported building materials and home goods.
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Explosion: The Supreme Court invalidates a major set of tariffs, sparking hope for lower prices.
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New Normal: A complicated reality sets in. Tariffs under Section 232—which cover key materials like steel and aluminum—remain firmly in place, according to the Tax Foundation. This continues to prop up prices on many essential construction components.
This complexity has thrown the supply chain into a state of confusion, as noted by industry analysts. Your contractor isn’t trying to pull a fast one; they’re navigating the same uncertainty.
Quantify the cost lag for your San Diego remodel
Even for materials affected by the ruling, you won’t see price drops tomorrow. Think of the supply chain as a massive pipeline—it’s still full of products purchased at the old, higher prices.
Here’s a data-driven look at the timeline you can expect:
■ Inventory Lag: It typically takes a minimum of 90-120 days for cost changes to filter through the supply chain. Today’s warehouses are full of goods imported under the now-invalidated tariffs, and that high-cost inventory needs to be sold first.
■ Metal Costs Remain Fixed: Don’t expect a discount on rebar, HVAC components, aluminum gutters, or steel appliances. These items fall under different tariffs that are still active. As one residential remodeling expert, Perry Szpek, might tell you, these metal components can account for 5-7% of a roof remodel and 3-6% of a kitchen project. Those costs aren’t budging.
■ Cabinet and Appliance Delays: Retailers and wholesalers buy goods at least six months in advance. Because of this, industry pros like Greg Wade and Andy Schafer agree that it will likely take at least two fiscal quarters before any potential savings on imported cabinets or appliances reach you.
So, that industrial-chic sink you’ve been eyeing isn’t getting a discount anytime soon. Sorry to be the bearer of bad news… I’m a real estate agent, not a financial wizard who can magically lower material costs. Though I certainly try.
Decide your next move: Renovate or sell as-is?
With renovation relief still months away, you have a critical decision to make. Do you wait in uncertainty, or do you make a strategic move in the current San Diego marketplace pulse?
▶ Option 1: Renovate with a focus on ROI.
If you decide to move forward, be strategic. Not all renovations are created equal. In the current San Diego housing market trends, a minor kitchen remodel often yields a higher return on investment than a full gut job that costs $75,000+. Focus on high-impact, lower-cost updates like new paint, modern hardware, and updated light fixtures. This is especially true if you’re a first time home buyer San Diego looking to build equity without over-leveraging.
▶ Option 2: Sell as-is with a powerful playbook.
Consider this: instead of sinking $50,000 into a remodel with a questionable and delayed ROI, you could sell now. Many buyers, especially those with specific tastes, prefer a home they can customize themselves. Selling “as-is” doesn’t mean selling for a lowball price. It means leveraging a sophisticated go-to-market playbook to attract the right buyers.
At The Cassity Team, we help homeowners navigate this exact decision. By analyzing your specific property and the latest hyper-local data, we can show you the potential sale price of your home as-is versus after certain renovations. This allows you to make a purely data-driven choice that maximizes your net profit. And for those looking at buying home in San Diego after they sell, our access to a network of 30,000+ agents provides exclusive looks at off-market properties you won’t find anywhere else.
Get clarity on your home’s value
Stop guessing what your property is worth in today’s complex market. Schedule a complimentary, no-obligation strategy call with The Cassity Team. We’ll help you analyze your home’s current value and map out the most profitable path forward—whether that’s renovating, selling, or something in between.