Trump’s Victory a Double-Edged Sword for Flats in Pune
A victory for Donald Trump this November could spell trouble for flats in Pune as well other as other for real estate in other large cities. Currently, Donald Trump’s opponent is expected to win, however, the reliability of poll numbers has been cast into doubt after Britain exited the EU when poll numbers suggested the citizens of Britain would vote to remain. Furthermore, Hillary Clinton faces a possible setback as Federal Authorities have claimed to have discovered a large number of email’s on Mrs. Clinton’s home server which they will release only a few short weeks before the election in November. It was found that Mrs. Clinton had stored official and highly classified emails on her home server in violation of US law during her tenure as Secretary of State under the Obama administration. A Trump presidency is welcome by many and is abhorrent to many others, few are indifferent to it.
If Donald Trump wins and does what he has promised to millions of his supporters then globalization may retreat, if not forever then certainly for some time at least. Millions of Indians who are employed in services which Americans need shall suffer, many may become unemployed. The election this November in the US has generated more interest than the one in 2008, and that is saying something.
Already Brexit has thrown a wrench into the free flow of service and movement of labor across borders, if Donald Trump wins in the US there could be significant disruption in the largest and most dynamic economy in the world. Those who are considering buying new projects in Pune would be well advised to delay their purchasing decision till after the next American president has been elected, especially if they are employed in a firm with significant business interests in the US. Taking a loan today which needs to be repaid over the next 15 years may become unviable for many in India if Donald Trump does what he has promised to do while campaigning. Trump has been described by many as a disruptor; this is perhaps the best way to describe him, yet he should not be cast in a negative light as many Americans feel threatened by unknowable forces which they feel are changing their country beyond recognition.
What is likely should Donald Trump win is a massive retreat in the number of Indians who are employed in the US back to India. Venture Capital funding to Indian startups shall also likely stall. Most investors are likely waiting to put of making investments until the outcome of the coming American election is known. Real estate developers in Pune too would be wise to delay new projects in Pune until after the outcome of the election in the US. There is a plus side to a Trump victory in the US, Indians employed in the US would be forced to come back, not all of them, but many working in the US who are sponsored by companies under the H1B program will have no choice but to return to their homeland. The brain drain the country has experienced over the past ten years will become a brain gain as gifted individuals return home with expertise as well as some capital.
Many such individuals are likely to purchase flats for sale in pune and other metros and begin work on new innovative business ventures which shall employ many and create wealth. A caveat which comes along with a possible Trump victory and a brain gain is that foreign venture capitalists
may be reticent to invest in Indian companies should they expect a backlash against the forces driving globalization. A trump victory is likely to have an adverse impact upon luxury flats in Pune as financing is likely to become more expensive and leave many builders in Pune with excess inventory on their balance sheet. Most business across the globe shall likely delay making large investments until after the result of the next election.
