Tariffs, a buyer's market, and your renovation: what London homeowners should know this fall
September brought two things that matter if you're planning a renovation in London: a new round of tariffs between Canada and the United States, and a housing market that has tilted firmly toward buyers. Here's what happened, what it means for material costs, and how to plan around it.
What changed in the last five weeks
On August 22, 2026 the United States put a 50% tariff on about $27.6 billion worth of Canadian goods. Canada answered on September 8 with counter tariffs of 15%, 25% and 50% on the same dollar value of American imports, matched rate for rate.
Several items on Canada's list land squarely in renovation territory:
- Plywood and laminated wood: 50%
- Softwood lumber from the US (pine, fir, spruce, SPF): 25%
- Flat rolled steel and semi finished steel: 50%
- Carpets and floor coverings: 25%
- Steel fasteners, pipe and structural components, and aluminum products: 50%, according to the Canadian Construction Association
- HVAC and mechanical equipment: 15% to 25%
Ottawa also carved out 179 steel products that aren't made in Canada, and announced $7.5 billion in support, including $1.5 billion for small and medium sized businesses.
Why it matters: the Canadian Construction Association estimates only about 60% of manufactured inputs used in Canadian construction are made here, and about 25% come from US producers. When a quarter of your supply chain gets more expensive, prices at the counter follow, usually with a lag of a few weeks to a few months as older stock sells through.
What it means for a typical renovation
Labour is still the biggest share of most bathroom and kitchen jobs, so a tariff on one material doesn't raise your whole project by the same percentage. Where you'll feel it most:
- Framing and subfloor: plywood, OSB alternatives and dimensional lumber for basements and wall changes
- Steel: metal studs, fasteners, some fixtures and hardware
- Flooring: imported carpet and some vinyl and laminate lines
- Mechanical: furnaces, air conditioners and water heaters with US content
Tile, most paint, drywall made in Canada and many cabinet lines are less exposed. It's worth asking your supplier where a product is made before you commit.
Meanwhile, London's housing market has cooled
August saw 526 sales against 1,403 new listings. For homeowners, a softer market changes the math between moving and improving. If selling now means taking less than you hoped, renovating the home you have (a second bathroom, a finished basement, a kitchen refresh) can look more attractive. For landlords, a well kept unit stands out when renters have more choice.
Five practical moves this fall
- Ask for quotes that split labour and materials. You'll see exactly where price changes land, and you can compare suppliers.
- Lock material prices early. Once you've approved a quote, buying key materials up front can protect you from increases while the job waits in the schedule.
- Choose Canadian made where it's easy. Many tile, drywall, paint and cabinet options avoid the counter tariffs entirely.
- Use allowances for finishes. Set a dollar allowance for fixtures and flooring so you can swap to an alternative if a product jumps in price.
- Book interior work for winter. Bathrooms, basements and painting are ideal in the colder months, and scheduling tends to be easier than in spring.
Tariff lists and rates have changed several times in the past two years and may change again. We'll keep tracking it here. If you're planning a project and want a quote that shows exactly what's in it, get in touch.
Planning a renovation in London?
Send us a few details or photos and we'll get back to you within one business day.
Department of Finance Canada: products subject to counter tariffs effective September 8, 2026
Canadian Construction Association: Tariff members bulletin, September 2026
WOWA: London housing market report, September 9, 2026 update
This post is general information, not financial or legal advice.