Trump-branded condos are selling for less than they used to
Since Donald Trump was elected president in 2016, the typical “Trump” branded condo has sold below its marketed price.
In 2016, a Trump condo sold for an estimated $729,000 nationwide, according to Redfin.
That’s 20% more than the typical sale price of a similar, non-Trump branded luxury condo, but also 28% lower than they have sold prior to the election.
And since then, prices have dropped and remained lower than they used to be.
Post-election, a Trump-branded condo sold for 16% less than its typical sale price. Similar luxury condos sold for 10.5% less after the election, Redfin said.
Pre-election, a Trump-branded condo sold for $868,750. Post-election, a Trump-branded condo sold for $729,000.
To get this information, Redfin compared sales data on luxury condos in the 10 areas where Trump buildings are located.
The data showed that Trump condos sold for less in the post-election period, from November 2016 through mid-November 2019, than before the election, from January 2014 through October 2016.
“The Trump brand has taken a hit in urban, Democrat-leaning towns like Chicago,” said Daniel Close, a Chicago Redfin agent. “I helped a buyer purchase a one-bedroom condo in Trump Tower last December. It was originally listed for $1.5 million and the price had dropped to $1.29 million by the time we looked at it three months later. We negotiated the price down about $15,000 and the seller threw in $100,000 worth of furnishings and a parking spot worth $70,000.”
Condos that were listed for sale in a Trump-branded building were also less likely to mention the name “Trump” when marketing.
In fact, 65% of condos listed in Trump-branded buildings mentioned the name “Trump” in marketing remarks from January through mid-November 2019. Just a year before he was elected, in 2015, that number was 81%.
“I’ve frequently seen sellers take net losses on homes in Trump Tower. Smaller units especially have not appreciated well over the last few years,” Close said. “Larger multi-million-dollar units that attract more affluent buyers do tend to fare better.”
The Redfin analysis includes sales of Trump-branded condos and other luxury units in cities with Trump properties including Hollywood Beach, Florida; Sunny Isles Beach, Florida; Honolulu; Chicago; Jersey City, New Jersey; Stamford, Connecticut; Las Vegas; New Rochelle, New York; Shrub Oak, New York and White Plains, New York.
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