19 Jun Our political environment and real estate
Our political environment and real estate
While some politicians seem to think that hard negotiations with our largest trading parties of China, Mexico and Canada is good for the country it is taking a toll on Minnesota farmers and their suppliers, our agricultural businesses and our export/import companies. This negative trickle down effect means less money in our local economy and this will have an impact on all industries and housing. The federal reserve sees the consequences of these policies and currently has stated it will reduce interest rates if the tariffs continue. What some people don’t realize about tariffs is that they cost our consumers more when they shop…as an example 90% of Walmart products are from China, and they hurt our farmers and businesses who export … in the end we can afford less and we have less money to spend.
The only benefit is in the short term with low interest rates which the fed will continue to lower or keep at current rates to help our economy. These interest rates will help buyers afford more home and lower the monthly payment.