Canadian Real Estate Investement Returns: What Does the US Election Mean for Cananda?
What's in store for Canadian commercial real estate investment returns after the U.S. presidential election?
With the polls showing a virtual tie between 2012 presidential candidates Obama and Romney it's far too close to call yet. The question is how will commercial real estate investing returns be affected in Canada depending on who wins?
Is Obama Really That Bad for Canada?
Regardless of your political views and affiliations it has to be a huge surprise that anyone would still be saying they will vote for the Obama/ Biden ticket in 2012 based on their track record over the past years but the polls show otherwise. So what can be expected if Obama remains in office? Based on recent performance and policy an Obama win in 2012 suggests more distribution of wealth, higher taxes on the highest earners, bigger government, fewer jobs and continued stagnation in the U.S. economy. Based upon Obama's past anti-Canadian rhetoric and attitude, especially when it comes to doing business we'll likely see more Canadians choosing to invest at home and more investment heading this direction across the border rather than southward.
Is a Romney Win Best for Canada?
Again, regardless of your political siding of the past there is really no question that a Romney/ Ryan win in 2012 will signal a huge surge in confidence and a much larger boost of capital being unleashed into markets. It may be too early to tell how policies will be played out in reality over the long term yet, but in the short to medium term this outcome would certainly suggest more job and business growth, an easing on taxes and more trade and exports for Canada. This means a stronger Canadian economy, more confidence in both economies, more money flowing into Canada, more investment, and more businesses opening on our side of the fence.