Federal Reserve Chairman Jerome Powell recently outlined a series of challenges facing builders, including tariffs and a strict immigration policy, CNBC reports.
In response to questioning from Sen. Tina Smith, D-Minn., Powell said, “What we hear from the homebuilders is that it’s a series of factors that are holding them back and challenging affordability.”
“Now you have a shortage of skilled labor, so it’s hard to get people on the job, electricians, plumbers, carpenters and other people. No matter what you pay them, just finding people to do that work,” said Powell.
Smith responded, “Would you say our immigration policy might have something to do with that?”
Powell replied, “That’s what we hear from homebuilders. That’s part of it for sure.”
Then he added, “Material costs too have gone up, and some of that is tariffs for sure. The homebuilders feel almost like they’ve been hit by a perfect storm here.”
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