The Blubber

Nearly one in four Americans (24%) say they’re scrapping plans to make a major purchase—such as buying a home or a car—because of President Trump’s newly announced tariff policies, according to a new report from Redfin (www.redfin.com), the technology-powered real estate brokerage. Another third (32%) say they’re postponing such plans.

The findings come from a Redfin-commissioned survey conducted by Ipsos between April 10 and 14, 2025, which polled a nationally representative sample of 1,004 U.S. adults.

In April, President Trump rolled out a sweeping set of tariff measures, including a 10% blanket tariff on all countries and a 145% tariff on Chinese goods. While even steeper tariffs have been put on hold, the policies have sparked volatility in financial markets and stirred concerns among economists that they could stoke inflation, erode consumer confidence, and increase the risk of a recession.

A small segment of Americans are reacting differently: 9% said they plan to accelerate a major purchase, and 8% have already done so.

Political affiliation appears to influence how people respond to the economic uncertainty. Over one in three Democrats (36%) say they’re canceling plans for a major purchase, while 43% are delaying. In contrast, 15% of Republicans say they’re canceling, and 21% are pushing plans back.

The tariffs could have wide-ranging effects on the housing market. They've already caused fluctuations in mortgage rates and are expected to drive up construction costs. Combined with broader economic uncertainty, this is cooling homebuyer demand and shrinking budgets. One in five would-be buyers say they plan to sell stocks to fund a down payment—but with recent market drops tied to tariff news, some may now be rethinking that strategy.

“Betting markets currently put the odds of a recession above 50%, which naturally makes people cautious about making big-ticket purchases like homes or cars,” said Chen Zhao, lead of Redfin’s economics team. “Consumers are pulling back because they’re understandably worried about job stability and rising day-to-day costs. That said, a slower market could offer some advantages to buyers: falling demand might help keep home prices steady or even bring them down, and there’s a chance mortgage rates could dip in the coming months.”

55% of Americans say they’re less likely to make a major purchase this year

Beyond timing decisions, the Redfin survey also asked whether Trump’s tariff policies are affecting how likely people are to make a major purchase in 2025.

More than half (55%) said the tariffs make them less likely to buy something significant this year, while just 13% said the tariffs make them more likely to do so.

Responses varied by age. Among adults 55 and older, 60% said they’re less likely to make a major purchase, compared with 54% of those aged 18–34 and 50% of people aged 35–54.

Interestingly, younger adults were also more likely to say the tariffs are encouraging major purchases: 23% of respondents aged 18–34 said the new policies make them more likely to buy something big this year. That compares to 15% of those aged 35–54 and just 4% of people over 55.