How Do Presidential Elections Impact The Real Estate Market

THE DATA ↓

You’ve probably heard a lot of opinions, or even manipulation of facts to support those opinions, about how the election may impact the real estate market.

Let’s take a look back at a few recent presidential elections:

In 2004, home values surged by 13.4%. This significant rise was largely attributed to the housing bubble rather than any political factors...

The market crash in 2008:
It was the absolute worst year in decades, with a 12% decrease in prices. At the same time, the global economy was collapsing as the US housing bubble popped.

Fast forward to the 2020 election. 2020 saw a 10.43% increase in housing prices, and 2021 saw a record 18.87% increase. This had far more to do with record-low mortgage rates and the pandemic housing boom.

If you’ve made it this far in the caption, here’s the summary.

There’s nothing new under the sun and I’d take comfort in the fact that for every past presidential election, the housing market has done what it always does: fluctuates.

Policies DO impact real estate and the economy. But the event of a presidential election has far less of an impact that the mainstream media (or your relative on Facebook) wants you to think.

If you’re trying to evaluate the current market, you’re better off to look to current economic and external circumstances than to the event of the election.

I’d be happy to discuss that more. DM me.