Rising Material Costs: Why the Best Time to Renovate is Now
If you’ve been telling yourself you’ll renovate “next year” or “once things settle down,” here’s an honest question worth asking yourself: what if waiting is the most expensive decision you can ever make?
Renovation costs in Canada have been climbing for years, and 2026 has added a fresh round of tariffs and trade uncertainty on top of that. Some material prices jump overnight. Others creep up quietly in the background. But very few of them ever go back down to where they were.
Here’s what driving costs right now, what it means if you’re planning a renovation for your Burlington or Oakville home, and how to protect your investment before prices shift again.
New Tariffs Reach Further into Your Renovation Than You Think
On September 8, 2026, Canada doubled its counter-tariffs on many U.S. steel and aluminum products from 25% to 50%, and added new tariffs on appliances, furniture, and a long list of other reno related products. Most homeowners hear “steel tariffs” and picture skyscrapers. But in reality, these materials show up all over a typical home renovation.
What’s Happening:
• 50% counter-tariffs on U.S. steel and aluminum products, including structural steel, nails, screws and bolts
• 25% counter-tariffs on appliances and certain steel and aluminum derivative products
• 50% counter-tariffs on furniture
What it Means for Your Renovation:
Steel and aluminum are hidden inside fasteners, metal studs, ductwork, railings, window and door frames and flashing, and appliances are one of the costliest single line items in a kitchen renovation. Because these new rates only took effect in September, their full impact has not shown up in the official numbers yet – but these numbers should really make you want to pick up the phone right now.
How to Protect Your Budget:
• Choose appliances, fixtures and finishes early in the design stage so they can be priced and ordered ASAP
• Ask a contractor how material price changes are handled in the renovation agreement
• Avoid leaving major selections until mid-construction when prices may have already shifted

The Official Numbers Only Tell Part of the Story
On paper, renovation inflation looks modest. But small yearly increases add up quickly, and the builders doing renovation estimates every day say the real increases are bigger than the headlines suggest.
What’s Happening:
• Statistics Canada’s Residential Renovation Price Index rose 2.3% year over year in the second quarter of 2026
• The Canadian Home Builders’ Association reports that renovators believe the official figures understate the true cost increases they’re seeing
• Residential rebuild costs in Ontario rose 23.8% between 2021 and 2026 according to Verisk
What it Means for Your Renovation:
A 2 to 3% increase sounds small until you apply it to a real project. On a $100,000 renovation, that’s $2,000 to $3,000 for every year you wait – and that’s before any tariff-driven jumps on specific materials affect your budget. Wait three or four years, and the same kitchen or basement can cost noticeably more for the exact same result.
How to Protect Your Budget:
• Plan around current, written quotes rather than an estimate you got a year or two ago
• Set aside a realistic contingency fund for the unexpected
• Lock in your scope and pricing once your design is finalized
Skilled Labour is Getting Harder to Book
Materials get the headlines, but labour also a large share of your renovation budget. In the GTA, labour typically makes up 40 to 50% of the total cost of a renovation, and the skilled trades shortage isn’t going away.
What’s Happening:
• Ongoing shortages in the skilled trades continue to push labour costs up across Ontario
• Labour, materials and permit approval processes are all adding to what renovators pay to deliver a finished product
• The best trades book up early, especially heading into spring
What It Means for Your Renovation:
Waiting doesn’t just risk a higher price for your renovation costs, it can also mean a later start date, a longer timeline and more unknowns than you care to experience. It goes without saying, but the homeowners who plan in the fall and winter are the ones who get the spring start dates.
How to Protect Your Budget:
• Start the planning and design process now, so you’re ready to build when your preferred start date opens up
• Leave time for permits and approvals, which can add weeks to the timeline of getting your project started
• Work with a contractor who uses a consistent, trusted team – rather than whoever is available next week
Why “Waiting for Prices to Drop” Rarely Works
It’s natural to hope costs will come back down – and occasionally a single material cools off for a while. But the overall cost of renovating has moved in one direction for a long time now, and every new round of tariffs or labour pressure resets the starting point a little higher than it was even one month ago.
What We See Every Year:
• Homeowners who put off a project often come back to a higher quote for the same scope of work
• Small problems like a leaky shower, an aging furnace or a damp basement tend to become bigger, more expensive problems as you put off starting your reno
• The longer a family lives with a layout that doesn’t work, the more they end up wanting to change the scope
How to Make Today Work for You:
• Focus on the projects that will make the biggest difference to how your family lives
• If your budget is tight, phase the work – but get the plan and pricing for phase one locked in ASAP. Ie. if you plan on doing hardwood on your main floor this year and your second-floor next year, we can still order all of that material now to reduce the risk of price increases
• Remember that you get to enjoy the finished space sooner too (life is short, right?)
Fixed Pricing: Your Best Defence Against Rising Costs
You can’t control the tariffs or the price of steel. But what you can control is when you lock in your price and who you trust to deliver it.
How This Looks With the Right Contractor:
At Davies General Contracting, we used fixed pricing, so you know your
exact cost and timeline before construction even begins. In practice, that means:
• Your price is set once your design and scope are finalized
• It only changes if you request a change
• Materials are pre-ordered during the preparation phase, before construction starts
• You get regular progress updates, so you always know where your project stands, and where it’s headed
When material costs are unpredictable, a fixed-pricing plan turns a moving target into a number you can
actually budget around.

How to Renovate in 2026/2027 Without Overpaying
Nobody can promise exactly where prices will go next. But the pattern over the last several years is clear, and the safest way to stay on budget for your renovation is to plan early, make your design and material choices up front, and lock in your cost with a contractor who can stick to it. The renovation you’re dreaming about isn’t going to get cheaper by waiting. The best time to start planning is now.
Ready to Lock in Your Renovation Budget?
If you’re thinking about a kitchen renovation, basement renovation, main floor renovation or whole-home renovation in Burlington or Oakville, now is the time to start the conversation. We’ll walk through your home with you, talk about how your family lives every day, and give you a clear, fixed-price plan so you know exactly what to expect before the work begins.
Rising costs are out of your control – but your renovation plan doesn’t have to be. Contact Davies GC today.









