Across the board, property managers in office, industrial, retail, multifamily, and even hospitality will feel the pain from these tariffs. Even the most budget-conscious folks are feeling immense pressure on several fronts; all of these circumstances beyond one鈥檚 control.
But there is one factor that can be controlled, and ironically, it鈥檚 rent control. Legislators across the country at both the state and local level have a choice. A choice to either continue to implement bad rent control policies that only hurt the quantity and quality of the housing supply, or to finally comprehend that rent control policies are not the answer, especially during a time of increased tariffs.
In theory, landlords should be able to pass along the added cost from these tariffs to their tenants. However, if any sort of rent stabilization policy is in place, landlords won鈥檛 be able to counteract these rising costs, which are being compounded by the other factors previously mentioned.
In a sense, rent control is like adding gasoline to an already raging fire.
The impact of tariffs on rents is complex and multifaceted. As tariffs increase the price of imported goods, it will lead to higher costs for consumers and businesses, specifically those that rely on raw materials. Not only will the cost of building materials, like steel, aluminum, lumber, and timber go up, but the cost to maintain and renovate units will go up as well. Items like appliances are expected to be impacted greatly.
Ultimately, rent control on top of tariffs will rapidly take away a landlord鈥檚 ability to sustain the quality of their units. Mary Scherer, an 乐竞体育赛事直播庐 CPM庐, summarizes this impact perfectly:
鈥淩ent control is a detriment to landlords and residents alike.鈥疢aintaining a property takes money.鈥� As a building ages, those costs usually increase.鈥疉dd to that equation the rising prices of labor and material, and increased tariffs.鈥疘f rents are not increased, then something has to give, and most likely maintenance will be deferred.鈥疉s time goes on it costs more to replace what could have been fixed, and the condition of the property deteriorates.鈥�
At the end of the day, neither landlords nor tenants want a property to fall into disrepair.
Not only do tariffs threaten the quality of available rental housing, but if landlords aren鈥檛 able to make the appropriate adjustments, they鈥檒l be forced to leave the rental market.
With tariffs, the high cost of building materials and labor shortages will likely slow or delay the construction of new apartments, which will also lower the current quantity or supply of housing.
In addition to the delayed construction of apartments, the cost to build a single-family home is expected to go up $10,900 per home, according to recent data from the NAHB/Wells Fargo Housing Market Index (HMI) April 2025 survey.
With fewer people able to buy homes, renters who were expected to leave the rental market will be more inclined to keep renting, increasing competition for available units. With economic uncertainty, it鈥檚 likely more individuals will choose to rent over buying a home. Thus, it鈥檚 clear we need to supply more rental housing.
During a time when housing supply and affordability should be top of mind for legislators across the nation, rent control is, and will always be, a bad idea. Rent control discourages housing investment in rental properties, exacerbating the problem it aims to solve.
That鈥檚 why it鈥檚 important for property managers to advocate for change at the state and local level and continue to fight rent control legislation. Meeting and educating city council members, state legislators, and housing agencies to present alternatives to rent control will be crucial during this time.
Contact 乐竞体育赛事直播 Government Affairs to learn more on how you can be an effective advocate for the industry.