Did Donald Trump’s presidency really lose him US$700,000? He may still be a billionaire, but The Trump Organisation bled money during Covid-19 and now his net worth is down
Donald Trump’s net worth dropped from US$3 billion to US$2.3 billion over the course of his presidency, according to the Bloomberg Billionaires Index.
In January, public relations expert Eric Schiffer told us that Trump’s businesses might never recover from his presidency.
“Trump will exit the presidency with a brutal set of targets surrounding the heart of his brand, which will be a danger to his survival economically and that of his children, and likely will lead to excruciating pain of the type he has really never faced,” he said.
About 75 per cent of Trump’s income comes from commercial real estate, according to Bloomberg. The work-from-home boom has made the business more precarious than ever as companies look to reduce their office space.
The cities where Trump has most at stake – New York and San Francisco – have also been hit the hardest. The valuation of Trump’s commercial real estate business is down over 25 per cent from when he started his presidency, Bloomberg reports.
Trump’s line of resorts and hotels have also suffered from Covid-19 travel restrictions, their value falling over 40 per cent from 2015 to 2020, according to Bloomberg data.
The former president’s brand has also been negatively affected by his ties to the Capitol siege. Schiffer said even Trump’s most loyal supporters will not be able to help him recover.
His loyalists “were not in many ways his core buyers,” Schiffer explained, noting that “many are not of high income”.
Trump may be able to monetise his MAGA crowd in other ways, Schiffer said, such as creating a blog or newsletter or holding ticketed events, but these events won’t make up for the larger revenue lost through his hotels, restaurants and golf clubs.
Trump’s book sales have plummeted since his presidency ended, with revenue from sales down 87 per cent in the past five years, Bloomberg reports.
Trump donated his US$400,000 salary as president, but still made a revenue of US$1.6 billion from 2016 to 2020. The net result though saw Trump fall 77 places in Forbes’ ranking of the 400 richest Americans over that time.
Trump might be one of the few presidents to continue to see his net worth fall following his presidency.
This article originally appeared on Business Insider
- Most former US presidents, including Barack Obama, George Bush and Bill Clinton, make bank after leaving the White House – but not Trump
- He’s now worth US$2.3 billion according to the Bloomberg Billionaires Index, as brands like PGA of America have distanced themselves from him