A new study suggests that the value of Donald Trump’s properties are suffering due to his presidency
President Donald Trump’s properties in New York City are under performing in terms of market value, a new study released on Friday suggests.
Trump’s popularity in Manhattan, where most of his high-end luxury structures are located, has taken a significant hit since he assumed the office of the Presidency in January, according to CBS News.
According to apartment rental website Zumper, who commissioned the study, Trump’s properties, or at least those bearing his name, are taking longer to rent and requiring larger price cuts to attract buyers compared to similar high-end structures and buildings.
That dip is reflected in New York City’s overall perception of the commander-in-chief, who won just 10 per cent of the vote among Manhattan voters during the election November.
Rental website Zumper says study shows Trump’s Manhattan high-end properties lagging behind competition
‘I think rentals are pretty uniquely tied to public perception in real time, versus a condo sale is more of a drawn-out process,’ said Zumper’s director of strategic marketing, Devin O’Brien, who studied real estate economics at the University of Cambridge and led the Trump apartments study.
‘If someone were to have a negative perception toward Trump, that would show up much quicker in the rental market.’
The trend stops, however, with Trump properties at the lower-end of the pricing market, with rentals ranging around $4,000 a month performing just as well now as they did before the President took office.
‘For New York it is still is a competitive market, and even if there’s a potential stigma, good deals are going to be taken up quickly,’ said O’Brien.
The website suggests that attitudes towards the President in Manhattan is having a negative impact
Trump rental properties ranging around $4,000 a month, however, performed consistently before and after the election
The study took a look at seven different properties in New York City and compared them to similar listings without the Trump name, factoring in age, location, price and amenities.
Zumper than reviewed 377 rental listings between December 2015 and October 2017, using the election as a marker to evaluate if any changes occurred.
The study also considered the average time on market of each listing and any price change over the course of the listing, according to CBS News.
The result showed that in five of the seven buildings paired, Trump’s properties performed worse in the post-election period.
The trend, however, may have set in before Trump moved into 1600 Pennsylvania Ave.
Another rental website, StreetEasy, conducted a study on Trump condo properties before the 2016 campaign, and showed that those listings were growing at a slower pace compared to similar residential structures.