January 3, 2017
The biggest shock to New York City real estate from the election of Donald Trump as U.S. President may already be past, after the stock market fall and recovery of early November, according to Victor Calanog, chief economist and senior vice president for Reis, Inc.
Investors think of New York City as a safe place to invest, and that is likely to continue even in a changing market. “This is not going to lift all boats, but places like New York and San Francisco will likely benefit disproportionately,” says Calanog.
Trump also seems likely lighten the regulatory burden on financial institutions and real estate companies, and seems unlikely to damage tax benefits like Sec. 1031 exchanges, according to Calanog. “The markets appear to be taking a bet on greater economic activity resulting from things like infrastructure investments.” Inflation may also rise as the economy continues to heat up, pushing interest rates higher.
Tags: Donald Trump