BYRON CENTER, Mich. — Rising tariffs on imported materials are raising concerns for U.S. homebuyers, but West Michigan builder Eastbrook Homes says its market is weathering the changes without major price hikes.
On Monday, President Donald Trump announced a 10% tariff on softwood timber, adding to an existing 35% tariff on imports from Canada, the country’s largest wood supplier. Steel and aluminum imports already face a 50% tariff. Economists warn that these measures could increase the cost of a typical new home by nearly $11,000, according to the National Association of Home Builders.
Despite these new tariffs, Eastbrook Homes reports that the West Michigan market has not seen significant price increases in its homes.
“We look at markets all over the country, where there is a lot more volatility,” said Michael McGraw, president of Eastbrook Homes. “We don’t see that in West Michigan.”
The region’s strong schools, solid job market, and attractive communities have kept demand for housing robust. Eastbrook Homes plans to develop between 700 and 850 new home sites in 2026, representing the highest number of new sites in McGraw’s 20-year tenure with the firm.
“One of the advantages of being a larger builder is that much of our product is bought on contracts and commitments for certain volumes, which has certainly helped keep our costs more stable,” McGraw added.
While contracts and bulk purchasing help stabilize costs, McGraw acknowledges that some expenses have risen. “Costs have continued to increase, both for the vertical construction of homes and for the horizontal infrastructure, including water, sewer, and roads,” he said.
In response, Eastbrook Homes has adjusted its approach to development, particularly for first-time homebuyers. “Often, that means something other than a large single-family lot,” McGraw explained. “Their first house might be a townhome they own.”
New neighborhoods now feature smaller lots, more townhomes, and downsized homes tailored to empty-nesters. McGraw noted that nearly 30% of buyers this year are cash buyers, many in the empty-nest phase, selling their previous homes and reinvesting equity into new builds.
Despite the challenges posed by tariffs and rising materials costs, McGraw said Eastbrook Homes remains committed to growth across West Michigan, with strong activity in communities such as Wyoming, Grandville, Allendale, and Caledonia.
“The cost difference between new single-family homes 20 years ago and today is approximately $200,000,” he said. “Even with rising costs, our market and strategic planning allow us to continue delivering quality homes to West Michigan families.”
As tariffs and inflation continue to influence the broader housing market, Eastbrook Homes demonstrates how proactive planning, bulk purchasing, and adaptive home designs can help builders maintain stability and meet local demand.
Originally reported by Elliot Grandia in Fox 17 Online.
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