Opportunities for Europeans to buy real estate in Florida against a weak dollar may soon come to an end. In a recent press event, President Bush vowed US commitment to keeping the Dollar strong possibly straying from the previous “hands-off” approach.
There are but a few ways for the US government to intervene in strengthening its currency. There is of course direct intervention – the buying of dollars in currency markets by the US government. This has not happened during the Bush administration, who is previously known to have touted the natural progression of free-market forces. Then again, the burgeoning cost of gas and all time lows may have them thinking twice. The Federal Reserve could also raise interest rates, which is seen as an unlikely candidate considering economic woes.
The new dollar discussions are likely being fueled by pressure to respond to soaring gas prices. The Federal Reserve Chairman also recently chimed in saying that the Fed is paying close attention to the situation. Is all this talk an attempt to make currency traders think twice about betting against the dollar? This remains to be seen, but what is clear is that the opportunities for Brits to buy Florida dream homes at a currency bargain may soon disappear.
Contact British Homes Group today for information about multi-currency mortgages or for more information about Orlando Real Estate.
