Lumber Prices Are Rising Again — What Denver Homeowners Should Know and How to Stay Ahead

New Tariffs and Market Shifts Are Driving Up Costs

If you’ve been following construction or housing news lately, you’ve probably seen the headlines: lumber prices are going up again.

In late September 2025, the federal government announced new tariffs on imported lumber and wood products under Section 232 of the Trade Expansion Act. According to Reuters, the new policy includes a 10% tariff on imported lumber and up to a 25% tariff on cabinets, vanities, and wood furniture, taking effect October 14, 2025.

While these tariffs are intended to protect domestic producers, they’re already causing ripple effects across the construction industry. The Wall Street Journal reported that lumber futures rose sharply after the announcement, and the National Association of Home Builders estimates these cost increases could add roughly $9,000 or more to the average new home.

That might not sound catastrophic—but for homeowners planning a remodel, addition, or ADU, these fluctuations can make a real difference in budgets and timelines.

What This Means for Denver-Area Homeowners

Here in Denver, Wheat Ridge, Lakewood, and Littleton, we’ve seen material pricing bounce around before. But the new tariffs add extra uncertainty heading into 2026. Here’s what to expect:

• Material costs will stay elevated. Wood framing, trim, and cabinetry are all likely to rise in price over the next several months.

• Supply chains may tighten. Importers and suppliers need time to adjust, which can lead to delivery delays.

• Contractor bids may include contingencies. Many builders will add buffers into quotes to protect against ongoing volatility.

On the flip side, there’s still good news. Homeowners who start planning now can take proactive steps to lock in pricing and minimize the effects of market swings.

How Design-Build Firms Help Control Costs

When markets are unstable, the project delivery method matters more than ever. Working with a design-build firm—where the architect, designer, and builder collaborate from day one—helps reduce waste, improve coordination, and avoid expensive delays.

At Sustainable Design Build, we see these benefits firsthand:

• Smarter material use. Integrated design allows us to plan framing layouts and order materials efficiently, minimizing off-cuts and waste.

• Earlier procurement. Our in-house team tracks lumber trends and can pre-order framing packages or cabinetry before larger price hikes hit.

• Shorter timelines. With design and construction under one roof, changes are handled quickly—no back-and-forth between separate firms.

• Better supplier relationships. As a Denver-based builder, we work directly with local lumberyards and distributors, helping ensure steady supply even when national markets tighten.

This streamlined approach is especially valuable right now. Instead of managing separate architects, engineers, and contractors—all quoting in different phases—a design-build model keeps the process transparent and responsive when material costs shift.

What You Can Do Now

Here are a few practical ways to get ahead of these changes:

1. Start design work early. Projects that begin planning this fall can move through permitting and be ready to build when prices stabilize or before the next round of increases.

2. Ask about supplier sourcing. Learn whether your builder uses domestic or imported wood products—some local suppliers are less affected by the tariffs.

3. Consider material flexibility. Engineered lumber, steel framing, or alternative finishes can offer similar aesthetics with less volatility.

4. Work with experienced local teams. Firms familiar with Jefferson County and Denver permitting processes can save months of delay—and potentially thousands in carrying costs.

As Investopedia notes, builders who plan carefully and adjust early are best positioned to absorb new tariffs without passing major costs to homeowners.

Why It’s Still a Great Time to Plan

Even with tariff-driven price pressure, the Denver housing market remains strong. Renovations, home additions, and ADUs continue to add long-term value—especially in communities like Wheat Ridge and Littleton, where larger lots and flexible zoning create room to grow.

Partnering with a local, integrated design-build firm ensures you get not just a beautiful finished home, but also a smarter process—one that manages cost, waste, and time efficiently in any economic climate.

Sources

• Trump sets 10% tariff on lumber imports, 25% on cabinets and furniture — Reuters

• Trump takes actions to increase lumber supplies and curb wood imports — Associated Press

• Homebuilders Face Rising Costs: Tariffs Could Add $9,200 Per Home — Investopedia

• NAHB: Section 232 Tariffs on Wood Products — National Association of Home Builders

• Lumber Prices Rise on New Tariffs — Wall Street Journal