How Elections Affect the Housing Market

How Do Elections Affect the Housing Market: Insights from Al Maxwell, Your Atlanta Real Estate Expert

It's an election year, and if you're considering buying or selling a home, you might wonder how elections affect the housing market. Historically, elections have only had a small impact on people's decisions to buy or sell a home. Here's a breakdown of what typically happens during election years:

November Slowdown

Home sales usually slow down a bit in November during election years. This reduction is a common trend as potential buyers and sellers become more cautious amid political uncertainty. However, it's important to note that this slowdown is temporary. Sales activity generally picks up in December once the election results are known and the initial uncertainty dissipates.

Post-Election Price Rise

Interestingly, home prices tend to rise in the year following an election. This pattern suggests the restoration of market confidence once the political dust settles and home values reflect that stability. For homeowners considering selling, this could be an opportune time to list their property.

Mortgage Rates Drop

Another notable trend is that mortgage rates often decrease from July to November in election years. This rate reduction means home buying typically becomes more affordable in the months leading up to the election. For buyers, this could be a strategic time to secure a mortgage with lower interest rates, potentially saving money in the long run.

The Bottom Line

Historically, presidential elections have had a very small and short-term impact on the housing market. The key takeaway is that the overall market remains resilient while there might be slight fluctuations. We currently have more homes for sale in the Atlanta area than in the past four years, offering plenty of opportunities for buyers and sellers alike.

If you want to know more about how the current market conditions can benefit you, feel free to call or text me at 404-213-3804. Whether you're buying or selling, I'm here to help you confidently navigate the market.