If you have been watching the news about tariffs on lumber, steel, and appliances, you may be wondering what they mean for a custom home in Michigan. The short answer: building materials cost a bit more than they did a year ago, and that shows up in the price of new construction. State reports estimate tariffs add roughly $11,000 to the cost of a typical new home, with softwood lumber and gypsum the biggest imported inputs.
The good news is that how a builder sources materials and manages costs matters a lot. At Oaks of Tyrone in Tyrone Township, Big Sky Development builds homes with more than 96% American-made products and labor, which cushions much of the tariff pressure while keeping quality high. Here is what buyers near Fenton, Hartland, and Livingston County should understand before they build.
Why building materials cost more right now
Tariffs are taxes on imported goods, and construction is a big buyer of imports. Softwood lumber, which comes largely from Canada, has faced steep tariffs, and steel, aluminum, and copper used in everything from framing to wiring to appliances have also been affected. Michigan's own analysis of the national tariffs found that roughly 7% of home-construction inputs are imported, with softwood lumber and gypsum the largest share.
That does not mean every home went up by the same amount. Custom builders who buy in volume, lock in material prices early, and source American-made products can hold the line far better than a builder buying materials at spot prices week to week. Understanding where your materials come from is one of the smartest questions you can ask any builder in 2026.
Why American-made materials help hold costs down
Big Sky Development has built custom homes throughout Southeast Michigan since 1994, and it has always prioritized American-made products and labor. Today more than 96% of what goes into a Big Sky home is American-made, from framing lumber to windows, siding, and finishes. That matters more than ever now, because domestically produced materials are far less exposed to import tariffs.
For buyers, that means fewer surprise cost increases between the day you sign and the day your home is framed. It also means a home built with materials sourced to a consistent quality standard, not whatever happens to be cheapest and most tariff-exposed on any given week.
What this means for the price of a custom home
Home packages at Oaks of Tyrone start in the low $600s, with the full wooded one-acre homesite included in the price. Material cost pressure is real across the industry, but the way the pricing is structured at a true custom community gives buyers more control than a production subdivision does.
You pick the footprint, the finishes, and the scope. If you want to protect against future material cost increases, you can select your finishes and lock in selections earlier in the process. Big Sky Development's in-house design team walks buyers through every selection at the company's own showroom, so there are no guesswork allowances that balloon later.
How a custom community protects your investment
Building on a wooded one-acre homesite at Oaks of Tyrone spreads cost across more than the structure. The value lives in the land, the mature trees Big Sky preserves, the Hartland Consolidated Schools district, and a 10-year in-house structural warranty that is nine times longer than Michigan's one-year minimum.
When materials get more expensive, buyers often assume they should wait for prices to come down. But history in Michigan has shown the opposite: as construction costs rise, so do the values of homes already built, and waiting tends to cost more than building. The best protection is locking in a build with a builder that manages materials well and does not pass along every market swing.
Frequently asked questions about tariffs and custom home costs
Do tariffs on building materials affect new home prices in Michigan?
Yes, but the impact varies by builder. Tariffs on softwood lumber, steel, aluminum, copper, and appliances add cost to imported materials. Michigan state analysis estimates tariffs add roughly $11,000 to the cost of a typical new home. Builders who source more than 96% American-made materials, like Big Sky Development, absorb less of that pressure.
Should I wait to build a custom home until material prices drop?
Waiting usually costs more. As construction costs rise, the value of homes already built tends to rise with them, and inventory in desirable areas like Livingston County stays tight. Locking in a build and making finish selections early protects against future increases. Building now means a home designed for how you live, without years of market uncertainty.
How does Big Sky Development keep custom home costs stable?
Big Sky Development builds with more than 96% American-made products and labor, which reduces exposure to import tariffs. The company buys in volume, locks in material pricing, and works with buyers through its in-house design showroom so selections are clear and allowances do not balloon later.
What does a home package at Oaks of Tyrone include?
Home packages at Oaks of Tyrone start in the low $600s and include the full wooded one-acre homesite, premium standard features, and customization through Big Sky Development's design showroom. Every home is backed by a 10-year in-house structural warranty.
Is now a good time to build a custom home near Fenton MI?
Yes. Material cost pressure is real, but a custom builder that sources American-made materials and locks in pricing offers strong protection. With wooded one-acre homesites, Hartland Consolidated Schools, and packages from the low $600s, Oaks of Tyrone is a compelling option for buyers ready to build.
See what your custom home costs today
The best way to understand what a custom home on a wooded acre costs right now is to talk it through. Rob Moen and the Big Sky Development team can walk you through current pricing, material sourcing, and floor plans at Oaks of Tyrone. Schedule a private tour and get a clear picture of your investment.