Speaking to BBN on Tuesday, George H. Ross, executive vice-president for the Trump Organization and Donald Trump’s right-hand man on The Apprentice, balked at the suggestion — made recently by organizations such as the IMF and the CMHC — that Canadian real estate is overvalued.
“I don’t agree it’s overvalued. I think it’s undervalued and there’s room for plenty improvement. Whatever has been built already has a cost attached. Whatever is going to be built in the future will probably cost more. Canada is a vibrant economy and some people outta step in and take advantage of it. I think it’s underutilized, not overutilized.”
Ross added that both the residential and office real estate markets in Canada have big growth potential.
“Residential follows office,” he told BNN. “If you build office space, people have to have a place to live, and that will certainly be as close as they can to the office space.”
He also had an opinion on Canada’s historically low interest rate, saying despite 35 years of decline, he doesn’t see it changing dramatically in the next few years.
“The lending institutions are making money even with the lower interest rates, so why would they want to cut off that source of income?” he said.
For Ross’ full comments, including his thoughts on quick-turnaround real estate flipping (spoiler: he thinks it’s a terrible approach), watch the interview below.