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Real Estate Mogul Suggests Trump Solutions for US Housing Market ‘Insanity’

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Real estate investor and private equity manager Grant Cardone shared his insights on former President Donald Trump’s capabilities in the business sector at a recent event. Cardone, reflecting on his experience at Trump’s Madison Square Garden rally, expressed optimism about how a potential second administration under Trump could positively influence U.S. markets.

Cardone praised Trump for his skills in sales and marketing, highlighting his ability to effectively communicate and distribute messages. During an appearance on the business show “Varney & Co.,” Cardone addressed current challenges in the housing market, noting obstacles such as the high costs associated with purchasing houses, selling them, or obtaining mortgages.

Cardone was among several notable individuals who addressed the full-capacity audience before Trump at the rally. He criticized high rents, taxes, and everyday prices in major cities, which he deemed excessive, suggesting that Trump could help mitigate these issues.

On “Varney & Co.,” Cardone suggested that Trump would be able to lower interest rates, thereby stimulating the stagnant housing market, which is experiencing historically low activity levels. He cited data from the National Association of Realtors indicating a significant decline in U.S. existing home sales.

In response to questioning about Trump’s ability to effect substantial change, Cardone expressed confidence, asserting that Trump would pressure the Federal Reserve to lower interest rates. He argued that the U.S., being a leading global economy, should have some of the world’s lowest interest rates.

Cardone also criticized Vice President Kamala Harris’ housing proposals, which include constructing 3 million new homes and offering $25,000 down payment credits for first-time homebuyers. He pointed out the current availability of 2 million homes that remain inaccessible due to mortgage qualification challenges, emphasizing the need for interest rates to fall below 4% for market movement.

During the panel discussion, differing opinions were presented, with David Bahnsen, the chief investment officer and founder of the Bahnsen Group, countering Cardone’s views. Bahnsen expressed concerns about the president’s involvement in setting interest rates, cautioning against the politicization of monetary policy.

Bahnsen further argued that market dynamics, rather than presidential intervention or central bank actions, should determine when sellers are motivated to sell. He called for a balanced approach to achieve this outcome.

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