The king of real estate is set to rule the country, but what will a Donald Trump presidency mean for local real estate, one of South Florida’s biggest industries?
We wanted to gauge response from Realtors, developers, economists, bankers and lawyers about possible impacts of the election, both in the short and long term. We asked: Will a new president — especially a political unknown like Trump — mean uncertainty for Miami real estate? What will the election’s impact be on sales and developer activity?
We also wanted to know their views on whether Latin American investors would hesitate to invest in President Trump’s America after his strong anti-immigration stance. Will his election depress demand from Latin American buyers?
Overall, those who responded are mostly bullish, as you might expect from business people who depend on optimism and consumer confidence for sales. We’ve selected a representative sampling of the views expressed and excerpted comments they made, mostly via email.
Trump’s policies on immigration and trade could have the greatest effect on the South Florida real estate market, Mekael Teshome, economist at PNC Financial Services Group said. “The president in a sense is using a blunt instrument where you’re dealing with the whole country. Real estate is an industry where it’s very localized. It would be hard for a President Trump to craft a policy that affects the real estate market in South Florida.”
Since the early 2000s, the local real estate industry has relied heavily on foreign investors. But their numbers have thinned because of a strong dollar and weak foreign economies. If Trump’s proposed policies result in higher tariffs, friction over trade and lower confidence in the United States as a stable haven for flight capital, that could scare away foreign investors, Teshome said. “Fewer foreign buyers would weaken demand.”