Even without a harsh crackdown on illegal immigration, the population of undocumented workers north of the border is dwindling. And a shrinking supply of construction workers means that labor costs are poised to rise.
There are 20 percent fewer undocumented Mexican workers in the United States now than in 2007, Zillow reports. And fully 67.1 percent of housing experts surveyed by Zillow say that if workers continue to leave, labor costs will rise.
And 40 percent of housing experts say that builders could respond to rising labor costs by building more expensive homes.
“If builders hire relatively more expensive U.S.-born workers, they may continue to focus on the more profitable higher end of the market,” says Zillow economist Svenja Gudell.
Zillow didn’t ask housing experts to forecast the cost of building Donald Trump’s wall along the U.S.-Mexico border, but in a bit of irony, the structure might make itself more expensive.