There have been many things that have been said about the election of Donald Trump as our next president. One thing that we did see happen immediately after his win was that the stock market rallied. The investor class saw hope and change in his winning of the presidency. In just two weeks after election day, interest rates have gone actually gone up for mortgages. This bodes well for banks, but whether this will continue to be the case remains to be determined.
Beyond thinking about Donald Trump and what his presidency means, we need to take a look at the economy and we have to realize that the economy is not something that is objective, a lot of it is based on market sentiment, speculation and what people believe what will be true. Right now the investor class believes that Trump’s inauguration will spell fortune for America. If this is true this means that interest rates will go down and more banks will be willing to lend money for people to buy homes. If you are in the market for a home, now might be the best time to buy and you might need to jump on this opportunity now versus later when things could change.
We’re not telling you to make a bad decision if you are not financially fit to buy a home, but if you are financially fit to buy a home now is the time. If the belief in Trump is true then the future is looking good and we will experience a time of financial success. It is true that Obama and his administration did a lot of great things for the economy basically saving us from processing and creating more jobs outside of the political battle Trump might be the best person to extend the good things that the Obama administration did. It might mean more jobs and a healthier economy. If Trump’s gamble of supply side economics works out it definitely means more jobs coming to America, and that will result in banks facilitating more lending which in turn result in real estate booms and more people willing to buy homes. It also means that there would be more competition for buyers, and really might be the best time to buy home while prices are still low. When everyone gets in on the idea and the fact that the real estate market is going up they will jump into the market and buy homes quickly. You want to get in before them and now might be the best time to buy that home that you have always wanted. Now might be the time to apply for mortgage because the interest rates are low. As you know interest rates mean a lot and can mean hundreds of dollars each and every month if interest rates go up. So investigate your own financial health, the economy, the interest rates in which banks are charging and you might find out that now is the perfect time to buy a home.