Big Builder Online recently asked its readers to weigh in on how the mid-term elections will affect the economy and the home building business.
Almost half of the respondents--47.4%--said they believe both houses of Congress will gain a Republican majority, while 34.2% said they think the House will gain a Republic majority and 15.8% said they think the Senate will gain a Republican majority. Only 2.6% said neither houses of Congress would gain a Republican majority.
But an overwhelming majority of respondents--81.6%--said they believe a gridlock between a Republican Congress and the White House post-election would fare better for the economy than the current Democratic policies. "Too many failed policies have been introduced by the Democrats," noted one respondent. Another respondent said: "Gridlock leads to compromise between the left and right with results landing in a more centrist position."
Only 7.9% of respondents didn't agree that a gridlock would be better for the economy, while 10.5% were still undecided. As for the effects a gridlock would have on housing, 55.3% said they believe it would be better than the current Democratic policies.
However, 23.7% said they believe the state of housing would remain the same, 15.8% said they don't think housing would improve, and 5.3% were still on the fence. "Recovery is going to be slow regardless of policy decisions. There is such a glut of unsold homes in some major markets that it will be some time before we see dramatic improvement," noted one respondent.
As for President Obama's performance on the housing and economic fronts, 86.8% of respondents said they think the president is doing a terrible job.
"The stimulus and bailouts have been horrible, and now he supports the taxing of the very people who can stimulate the economy and supply employment," said one respondent.
Another respondent added: "He's implementing new programs (or proposing them) during a recessionary cycle where consumer confidence is already down. All that the wage-earners see is that he's trying to levy more taxes to pay for more entitlement programs."
However, 7.9% said they think he's doing an OK job, and 5.3% said they believe he's doing a great job.