Trump has radiated some property news to the rest of the world: he is influencing the nation’s real estate industry today. Any regulation on his behalf will help the real estate business as a whole. Real estate markets are curious about the upcoming changes of this year.
Most real estate sectors in the United States are heading for solid gains: BUT there will be unexpected drawbacks in the commercial, residential, industrial and retail sectors. However, as a whole property news is looking strong and it will be a positive year, full of great moves and decisions that will impact the residential market worldwide.
The Department of Housing and Urban Development (HUD) had “suspended indefinitely” a past ‘planned’ drop in the annual mortgage insurance premium on home loans insured by the Federal Housing Administration (FHA), the biggest worldwide mortgage insurer.
The National Association of Home Builders (NAHB), the National Association of Realtors (NAR) and other Realtor groups instantly asked Trump desperately to go over his decision and reinstate the cut.
According to an official source, an estimated 850,000 home buyers will face higher costs and about 40,000 new home buyers will be unable to afford homes in 2017 because of HUD ruling.
Before the housing crisis, the annual premium on FHA loans with less than 5% down was 0.55%. Tight losses, however, forced the FHA to increase this premium up to 1.35% by April 2013. Since this happened, the fund’s overall face has improved and the premium was cut.
Granger MacDonald, chairman of the 140,000 member National Association of Home Builders and a home builder and developer from Kerrville, TX, sent an email to the President and the Congress and asked “to keep housing a national priority, to provide regulatory relief for the nation’s small business community and to advance policies that will expand homeownership and rental housing opportunities for all Americans.”
More property news shows that political turmoil in the U.S. could force foreign investors away from the country and into secondary luxury residential markets such as Melbourne, Amsterdam and Vancouver, according to reliable sources.
However, Trump’s proposed tax breaks to companies and other their wealthy executives could really support and encourage American company figures to invest, especially in the New York markets. This is fantastic property news, something the Americans should be excited for.
As it stands, Wall Street is strong and so is supply and demand in the New York markets. In whole, NY, is seen by most real estate markets as a safe place for foreign money investments.
Housing activity generally is due to improve if Trump’s planned tax breaks for corporations and the country’s billion-dollar investment in infrastructure are approved by the Congress. This is interesting but factual property news.
A lot of British brokers are enthusiastic about Trump’s potential effect on the London housing market. Real estate markets all over the world will endure the effects of Trump news and moves.
British figures are agreeing with his vision for smaller international trade markets, which has made them see the American luxury market investors invest in London places like Regent’s Park, Grosvenor Square and West London.
Middle East investors are currently looking at investing in New York now, instead of Los Angeles for example. Many places in the Middle East have already started selling Trump-branded products. The overall sector is expected to receive a positive boost if political uncertainty continues to face the U.S. and Brexit-headed United Kingdom (UK).
Lots of positive changes in the American housing market are on the way, including more affordable rents and new home prices will increase. This property news is a hot conversation at the moment. Home values are also expected to grow by at least 3.6%, which is why real estate markets all over the world have high hopes now that Trump is making some wise moves in the real estate sector.
Written by Gemma Smith