74% of U.S. Homeowners Say Tariffs Will Make Their Financial Situation Worse

Palo Alto, California, May 08, 2025 (GLOBE NEWSWIRE) — Homeowners are bracing for economic turbulence, according to a new report from Point, a leading home equity investment platform. Uncertainties about the broader economy are impacting homeowners’ personal financial health, as nearly three out of four homeowners (74%) say they think tariffs will make their financial situation worse in the next 12 months, while 82% are worried about a potential recession in that timeframe.

More homeowners are fearful about their finances than in 2024

Financial anxiety is surging, with 42% of homeowners saying they feel unsure about their personal finances for the next 12 months, up from 36% who said the same in 2024. Additionally, 39% of homeowners say they feel less financially secure than they did 12 months ago.

“Despite having net worth on paper, many homeowners may feel concerned about their long-term financial future,” said Aaron Terrazas, an economist for Point. “Rising home prices over the past decade have given homeowners lots of home equity, but that wealth isn’t accessible to most homeowners when they need it for big-ticket expenses, let alone if they need it to help with a financial emergency.”

Baby boomers feel the most uncertain about their finances

Homeowners over 60, who are retired or near retirement, report being particularly concerned about their finances in the coming year. Nearly half (47%) of homeowners over 60 say they feel less financially secure than they did a year ago, and 48% expressed uncertainty about their financial situation in the next 12 months.

Uncertainty around social security benefits is one major reason homeowners at or near retirement age may be worried about their finances. Among homeowners who are currently collecting or plan to collect social security benefits within the next 12 months, 73% are concerned about the potential of benefit cuts that could further erode their finances.

Many homeowners do not feel prepared to weather a financial storm

The rising costs of consumer goods continue to squeeze household budgets across the U.S. More than half of homeowners (54%) say their expenses have increased in the last 12 months, and a similar share (52%) said the same thing in 2024. Many homeowners are expecting this to get worse: 71% of homeowners anticipate their grocery costs will rise in the next year, while more than half (54%) expect to spend more on general consumer goods and utilities.

After multiple years of rising expenses, homeowners may feel less equipped to weather a potential storm. Many homeowners said they don’t have the liquid savings they might need in times of emergency. A quarter (25%) of homeowners have less than a month’s worth of expenses saved in an emergency fund, and more than two-thirds of homeowners (68%) have six months or less in savings. For those with less than a month of savings, 90% are concerned about the possibility of a recession in the next 12 months.

“There’s a perception that people who own their homes, even those who bought recently, have a lot of money in the bank – but banked home equity is a far cry from cash in an ATM,” Terrazas said. “Even homeowners who have been in their homes for years can struggle to keep up with rising property taxes, utility costs, and household maintenance expenses – all while managing an increasingly uncertain labor market or living on a fixed income.”

For more details, visit Point.com.

(1) Point asked 1,004 homeowners about their monthly expenses and financial situation using Survey Monkey’s online panel. The survey was conducted on April 18-19, 2025.

About Point
Point is the leading home equity platform making homeownership more valuable and accessible. Point’s flagship product, the Home Equity Investment (HEI), empowers homeowners to unlock their equity to eliminate debt, get through periods of financial hardship, and diversify their wealth – without adding to their monthly expenses. Point has worked with more than 15,000 homeowners, unlocking $1 billion in home equity. Point’s HEI enables investors to access a previously untapped asset class – owner-occupied residential real estate. Founded in 2015 by Eddie Lim, Eoin Matthews, and Alex Rampell, Point is backed by top investors, including Westcap, Andreessen Horowitz, Ribbit Capital, Greylock Partners, Bloomberg Beta, Atalaya Capital Management, Alpaca VC, and Prudential. The company is headquartered in Palo Alto, CA. For more information, please visit www.point.com

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