Las Vegas Real Estate Experts Predict Boom in Luxury Purchases Under Incoming Admin
LAS VEGAS, NV – Southern Nevada real estate experts are discussing their opinions on how the industry may potentially shift and evolve over the course of the next four years, and many are predicting a boom in the number of luxury housing purchases in Las Vegas under the incoming administration.
Managing Director of RCLCO Real Estate Consulting, Gregg Logan, noted that Trump’s return to the White House could have serious impacts upon the housing market, due to his ties to real estate and the policies he implemented during his previous tenure as President that were deemed to be friendly to businesses. Trump’s calls for less regulation could prove to be a benefit as well, although other policies he supported in the past show that not all the changes he may implement could be beneficial, Logan said.
Trump’s potential influence on the real estate market is a mixed bag of potential influences. In Trump’s first term, the Tax Cuts and Jobs Act of 2017 temporarily boosted GDP growth, led to a short-term increase in corporate profits and spurred a rise in consumer spending and business investment,” he said. “But this disproportionately benefited the wealthy and corporations, with only modest wage gains for most workers. Meanwhile the tax cuts substantially increased the federal deficit, raising concerns about long-term fiscal sustainability. This time around his policy’s influences on inflation, a growing federal deficit and a tighter immigration policy could similarly lead to mixed results for the economy, overall, and real estate in particular, making adaptability essential for industry stakeholders.”
In addition to commercial real estate tax breaks and easing regulations governing the construction industry – which may very well stimulate the expansion of businesses and investments – Logan said that Trump’s proposed tax cuts favoring the wealthy will most likely result in a sharp increase in the number of luxury properties purchased during his admin, both in Las Vegas and nationwide.
Potential tax breaks for high-income individuals could increase demand for luxury properties, as wealthy investors may pursue high-end real estate assets,” he said. “If Trump’s tax policies favor high-net-worth individuals, luxury markets could experience a surge in activity.”
However, Logan said that Trump’s proposed tariffs on imported goods, along with tighter immigration policies, could potentially result in higher construction costs, a lower pool of workers and, consequently, the need for higher wages to supplement the workforce.
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