Will Tariffs Crash the Real Estate Market? What Buyers & Sellers in Hingham, MA and the South Shore Should Know

As the real estate market across the country adjusts to new economic policies, many homeowners and buyers in Hingham, MA, and the greater South Shore, MA area are asking: Will tariffs cause the housing market to crash?

The short answer: Not likely — but they could have an impact.

Let’s break down how the latest tariffs could affect the local housing market in the Boston suburbs, and what you should know if you're thinking about buying or selling real estate in Hingham or nearby towns.

Rising Costs for New Construction in Hingham and South Shore

The recent round of U.S. tariffs, especially on imported building materials like lumber and gypsum, is already pushing up the cost of new home construction. According to the National Association of Home Builders, tariffs could add over $9,000 to the price of an average new single-family home.

For communities like Hingham, Norwell, Scituate, and Cohasset, where new builds are part of the local inventory, this means buyers could see price increases or delayed construction timelines. Builders may also shift focus away from more affordable homes, reducing options for first-time buyers across the South Shore.

What About Mortgage Rates?

There’s a bit of a silver lining here. Mortgage rates have dipped slightly in recent months due to broader economic uncertainty. But if tariffs begin to fuel inflation, that could change quickly. If the Federal Reserve responds with higher interest rates, mortgage rates could rise—making it more expensive to finance homes across the Boston suburbs.

Buyer Confidence May Dip—But Hingham’s Market Is Resilient

Tariffs and economic policy shifts can create uncertainty, and that can spook buyers. But the Hingham real estate market has proven time and again to be resilient, thanks to strong schools, coastal charm, and its proximity to Boston.

Local demand across the South Shore suburbs continues to be driven by Boston-area professionals looking for more space and better quality of life. While the national housing market may slow in response to economic headwinds, hyperlocal markets like Hingham, Duxbury, and Marshfield often outperform national trends.

Final Thoughts for South Shore Buyers and Sellers

While tariffs are unlikely to crash the housing market, they may cause shifts in pricing, construction, and buyer sentiment—especially in places like the Boston suburbs where prices are already high. If you’re planning to buy or sell in Hingham, MA or throughout the South Shore, it’s more important than ever to work with a knowledgeable local agent who can guide you through these changing conditions.

Thinking about making a move on the South Shore?
Reach out anytime to talk about what’s happening in the Hingham real estate market and how you can make smart decisions in 2025 and beyond.