High mortgage rates aren’t the only thing weighing on home improvement demand, according to executives at Whirlpool Corp. (WHR), the maker of Whirlpool, KitchenAid, and Maytag appliances, which says the presidential election is another source of stress on the consumer dollar.
“The pre-election consumer sentiment is just not good,” said chief executive Marc Bitzer on the company’s Thursday morning earnings call, a transcript of which was provided by AlphaSense. “You’re exposed to negative news every day and negative messages every day and that does not lift consumer sentiment.”
That is adding to the pressure that elevated mortgage rates and high property values have put on makers and sellers of big-ticket items, especially those focused on home improvement projects. Existing home sales slumped to a nearly 14-year low in September despite an increase in inventory and declining mortgage rates throughout the third quarter.
“As a result of this environment, demand in the US has shifted significantly toward lower margin …