Don Peebles is the founder, chairman and CEO of The Peebles Corporation. Read more about the real effect of government shutdown from CNBC on his interview with the media Inquiring Minds show hosted by Prof. Here’s what Peebles had to say about today’s political moment during the panel discussion. This volatility is roiling the housing market and spurring wide-ranging effects across the sector.
The cascading calamities caused by the government shutdown are felt in almost every sector nationwide. Housing is the arena where we see this effect hit hardest. Peebles emphasized that when the government doesn’t seem to have its act together, it makes buyers and investors cautious. This hesitancy, in turn, drives market forces.
On the robustly called-in ‘The Exchange’ Peebles shared hard-earned, important wisdom. He pointed to targeted sectors of the housing market that would suffer especially devastating effects from the shutdown. He pointed out that sections like affordable housing and newly built projects would face more stops and starts in funding. Together, these factors have the potential to slow down progress and worsen the challenges we’re already facing in the housing sector.
Peebles described the impact of a government shutdown as halting economic growth “in its tracks.” It sends a dangerous signal that creates a ripple effect undermining overall market confidence. As a seasoned expert in real estate development, he underscored the importance of a stable government for fostering a healthy housing market. His experiences on ‘The Exchange’ were an early warning signal for all stakeholders to stay on their toes as the landscape continues to daylight.
Peebles noted that continued turmoil would scare away investments in multifamily housing starts and job growth in the sector. Certainty is what investors want when they make a long-term, high-dollar investment, and the current environment is likely to have them reevaluating their game plans.