Are you feeling a bit Trumpadatious these days?
President Trump states "Banking deregulation = Easier mortgage access for Americans"
Welcome to 2017. Like it or not, Donald J trump will be leading the U.S. for the next four years. With the Trump presidency and a Republican controlled Congress and Senate, the government agenda is to cut regulation and taxes and grow the Economy. What will this mean for Canadian Buyers?
After the crushing credit crisis of 2008, the new Obama administration brought in strict laws governing Banks and lending practices. These new regulations were to help shore up the confidence in the banking industry while justifying a massive federal bank bailout. The regulations had an unplanned consequence of making it extremely difficult for many Americans to finance a home purchase. Some of the initial regulations had been loosened over the last few years, but the impact of the remaining restrictions in effect are still significant.
Trump has promised to deregulate business including the banks to make it easier for individuals and businesses to finance a home and or expansion. Both Congress and the Senate are fully on board with this agenda which should move quickly through the legislative system. The effect will be that millions of Americans will be able to get loans to buy a home with little money down. Demand for homes will grow rapidly and supply will shrink. This will put significant upward pressure on home prices throughout the U.S. but specifically in the high demand areas, namely, Texas, California and Florida. The consequence for Canadians will be buying a home in Florida at higher prices than they are today.
Regardless of the strength or weakness of our Canadian dollar, today is the absolute best time to take advantage of the incredible deals still available in Florida. Playing the currency game is a losing strategy given the opportunities available for buyers in Florida.
Don't get Trumped by Trump! Secure your investment or second home purchase before you are priced out of the market.