With the Presidential election approaching, it’s natural to wonder how this might affect the housing market in Henderson, Las Vegas, and beyond. If you’re contemplating buying or selling a home this year, you might be feeling some uncertainty about what the election could mean for your real estate plans.

Here’s some reassuring news: historically, Presidential elections have had only a minor and temporary impact on the housing market. Let’s dive into the data so you can make informed decisions without putting your plans on hold.

Home Sales In the months leading up to a Presidential election, particularly from October to November, there’s often a slight dip in home sales. Many buyers and sellers might pause their decisions until the election is over. However, this slowdown is generally brief and minor.

According to data from the Department of Housing and Urban Development (HUD) and the National Association of Realtors (NAR), after 9 out of the last 11 Presidential elections, home sales increased the following year. This trend has been consistent since the early 1990s, so you can expect home sales to rebound and continue to rise.

Home Prices You might also be concerned about home prices during an election year. Historically, election years don’t lead to significant drops in prices. As residential appraiser and housing analyst Ryan Lundquist points out:

“An election year doesn’t alter the price trend that is already happening in the market.”

Home prices tend to rise over time, regardless of the election cycle. Data from NAR shows that home prices increased the year after 7 of the last 8 Presidential elections. The one exception was during the 2008 housing market crash, which was an extraordinary situation. Today’s market is much more stable, and while prices are moderating, they aren’t declining overall.

Mortgage Rates Mortgage rates are another key factor that might be on your mind. They can affect your monthly payments if you’re financing a home. Looking at the last 11 Presidential elections, Freddie Mac’s data shows that mortgage rates decreased from July to November in 8 of those years.

We’re already seeing a similar trend this year, and most experts expect mortgage rates to ease slightly throughout the rest of 2024. If this forecast holds true, it could be great news for your purchasing power if you’re planning to buy a home soon.

What This Means for You So, what’s the takeaway? While Presidential elections can have some impact on the housing market, the effects are usually minimal. As Lisa Sturtevant, Chief Economist at Bright MLS, notes:

“Historically, the housing market doesn’t tend to look very different in presidential election years compared to other years.”

For most buyers and sellers, elections don’t significantly alter their real estate plans.

Bottom Line It’s normal to feel a bit uneasy during an election year, but history shows that the housing market remains strong and resilient. If you’re considering making a move, don’t let the election hold you back. For personalized guidance tailored to the Henderson and Las Vegas markets, feel free to reach out to me. I’m here to help you navigate the real estate landscape with confidence.