Brexit and Beyond
Ever since the Brexit vote a week ago, people have been putting their various opinions out there as to the impact on Europe and also the United States.
Fortune ran this article, which while a bit hazy for the average person, talks about depressed interest rates. The point is we thought we’d see a hike in rates this coming fall, but that may not happen.
Probably of more importance to us Marylanders (and nearby Pennsylvanians) is the raise in the Maryland minimum wage starting tomorrow to $8.75. This in on track with Maryland Minimum Wage Act of 2014 that eventually implements the minimum wage at $10.10 in July of 2018. What does all of this mean for you as a buyer or a seller?
An increase in minimum wages usually means a new struggle for the small business sector. Proponents counter that the hike will result in many more dollars for consumers to spend. To say this is a complex issue is a true understatement. And while folks earning a minimum wage are not usually in the market for a home, the ripple will affect the overall economy—and thereby real estate.
Personally, what I’m seeing is that we’re in a well-recovering economy and this year’s sales are proving that out as a healthy market is making credible advances—not giant leaps. We don’t want a volatile market, even in a positive direction. We want a steadily-paced improvement and that’s what we’re seeing. And the issues in the EU, while certainly something to watch, are not yet all that troublesome for Americans.
We live in a country of resilience and resourcefulness and our upcoming July 4 holiday is a day to celebrate that. I’m proud to be an American and a Marylander. Happy Independence Day, everyone!