Some fear sequestration will impact housing market | News
HUNTSVILLE, AL (WAFF)- A government employee union predicts North Alabama could see a $400-million hit if sequestration goes forward, and that has some predicting retailers and even the housing market could be impacted.
"They're cutting back spending," said American Federal of Government Employees President Abner Merriweather. "In the housing market, I'm quite sure it's going to have an effect on that as well."
Merriweather points to proposed cuts that could reduce some government employees' salaries and hours.
Rise Real Estate's Pat Glenn does not believe the housing market will take a huge hit.
"Very few people in this market buy the maximum that they can afford," said Glenn.
She claims North Alabama has some of the most analytical buyers in the country and said lower interest rates will also help.
"We have lived through a similar situation in the early 90's. We'll make it, we'll be fine and so will our housing market," she said.
However, Glenn is not sure all industries will be as secure.
"Instead of going out for a hundred dollar meal on a Friday night, we may eat McDonalds," said Glenn.
Experts warn we will not know the real impact of sequestration and how deep those cuts could go for at least another week.
Abner predicts as many as 70,000 people could be impacted in North Alabama by sequestration.
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