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The Impact of Presidential Elections on the Real Estate Market


These days, there's a lot of buzz around the presidential election. So, how does this election impact the real estate market in the United States? Today, let's briefly explore this topic.


1.) Transaction Volume

The graph below doesn't show detailed monthly data. However, according to the original text from Keeping Current Events, the volume tends to dip in November of the election year but quickly recovers the following year. If you look at the graph since 1990, you can see that sales volume always increases in the year following an election year marked in blue.


2.) Mortgage Interest Rates

When it comes to mortgage interest rates, in 8 out of the last 11 elections, the rates have decreased between July and November.


3.) House Prices

This is probably the most curious part for many. In terms of house prices, except for the subprime mortgage crisis, prices have increased during each of the last eight elections. In fact, the rise in house prices can be considered unrelated to elections. On average, house prices tend to increase by about 4% each year. These days, prices are rising faster due to a shortage of listings.


Experts actually suggest that the impact of elections on the real estate market is minimal. Therefore, instead of expecting changes in the market based on the election results, it is recommended to gather a lot of information and study to make more effective real estate transactions.

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