Will the election have an impact on the housing market? The short answer is yes, but it may not be as significant as you might think. On a national level we have historically seen housing prices rise the year prior to, and after an election. Those prices however have gone up at a slow rate. The same held true with interest rates.
But what about the Greater Washington D.C. area? One might assume that the housing market is going to boom in 2017 with new blood in town, along with all those new staff positions. Again, history paints a very different picture.
The Washington Post recently published an article by David Howell, “How the elections will affect the D.C. area real estate market”. In this article, 2010 was identified as a key year, in recent history, where we saw major shifts in congressional seats. David Howell wrote,
“So if we take an extreme example and assume we have another major shakeup of seats with a 15 percent turnover in Congress and assume that there is a 100 percent replacement in the staffs of those newly elected members, that would translate to 2,250 jobs changing hands.
Most staff jobs on Capitol Hill pay less than $50,000 per year — no one is buying a home on that salary — and even many newly elected officials look for rental housing or even live in their offices.”
Mr. Howell makes some pretty great points.
The bottom line is that change is coming and change is hard. Regardless of how the election plays out, the best bet for all consumers interested in the real estate market is to work with competent and knowledgeable Realtors who understand this market and have your best interest at heart.