Election years are a time of uncertainty. Whether you are a home buyer or seller, your attention may be drawn away from real estate during the few crucial months leading up to the election. This may also cause you some concern as to whether the real estate market itself will be impacted by the election. How do elections impact real estate?

While there is some small change in the housing market during an election year, the good news is that you likely have nothing to worry about. Election years, as a whole, do not cause the housing market to break from larger trends. Home prices typically remain on the rise, and the occasional dip is not perceptibly election-related in any previous election year.

You can gain confidence in this fact by looking at historical data.

Election Years Do Not Impact the Economy

Overall, presidential elections do not have a perceptible impact on the economy. US Bank reports that there is no direct link between an election year and stock market outcomes. Gale Academic research has uncovered that the theory of a slower economic year during an election is not only a myth but that any economic indicators have been historically stronger during election years.

This is also true in the real estate industry. Data from the NAR shows that election years generally do not impact the home price trend perceptibly. Whether prices were following a multi-year trend of rising or falling, election years caused no significant change to the larger trend.

Home Price Trends

Real Estate Sales Remain Steady in Election Years

Just as home prices are unimpacted, so too is the rate of home sales. Home sellers can likely rest easy knowing that buyers are still making plans to buy in an election year. HUD NAR provides data that suggests election years maintain the home purchasing trend. However, home purchase rates may typically increase in the year after an election. This may be because the tension of the election is released. More people than usual feel confident making long-term decisions once they know who the president will be.

As you can see, the data shows that the number of home sales has gone up in the year after an election for the last 8 elections (since 1992) and has gone up for 9 of the last 11 elections since 1978.

The Dip: November Elections Impact on Real Estate

Historically a presidential election does have one small influence on the housing market: Home sales tend to slow down in November. Economist Ali Wolf reports that people may be cautious about making a big decision during the height of presidential election uncertainty. They will tend to put off on bidding or buying a house until they can be sure what to expect in terms of policy in the near future.

The good news is that the slowdown is not profound and doesn't last very long. Home sales typically pick back up to full speed by mid-December, and trends have resumed their normal course by April. Home sellers will see the full return of buyers, and buyers may see a new surge of available homes on the market as the election tension is resolved.

Mortgages Remain Unchanged

Mortgage rates also follow their own trends, and election years do not consistently impact mortgage rate increases or decreases. Freddie Mac reports that mortgage rates have decreased in the years leading up to 8 of the last 11 presidential elections, but these numbers follow existing trends as well.

2024-2025 Is a Safe Time to Buy or Sell a House

If you're looking to buy a home or are preparing a house to sell, don't worry about how elections impact real estate. Rest assured that the myth of the election year slow-down is just that: a myth. Both home prices and the rate of sales will likely remain steady, following existing trends. There may be a slight dip in activity in November, but not enough to cause a noticeable difference in the yearly totals.

Preparing to enter the housing market? CrossleyShear Wealth Management can help. Contact us today for your financial planning needs.

Any opinions are those of Dale Crossley and Evan Shear and not necessarily those of Raymond James.  This information is intended to be educational and is not tailored to the investment needs of any specific investor.  The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete, it is not a statement of all available data necessary for making an investment decision, and it does not constitute a recommendation. Investing involves risk and you may incur a profit or loss regardless of strategy selected. Past performance is not indicative of future results. Ð'dLinks are being provided for informational purposes only. Raymond James is not affiliated with and does not endorse, authorize, or sponsor any of the listed websites or their respective sponsors. Raymond James is not responsible for the content of any website or the collection or use of information regarding any website users and/or members.

In an era of innovative mobile software, convenient online banking, and endless cyber attacks your personal data is always at risk. Digital criminals continue to become more innovative in their methods to steal both individual and large archives of personal data to enact identity theft and financial fraud. The number of possible scams and hacking techniques only continues to grow.

Times are challenging for data security and financial safety. Now is a critical time to protect your personal data, and especially your financial information. The good news is that there are many security protocols and tools you can use to increase your personal data defense.

10 Ways to Protect Your Personal and Financial Data

1. Use Strong, Unique Passwords

Start by making your passwords longer, more complex, and more diverse. There are two methods for creating better passwords that are easy to remember.

Combination Words: eXtremely$afeP@ssw9rd

You can also use a password manager to keep all your passwords straight since it's best to use a unique password for every account and service.

2. Enable Two-Factor Authentication (2FA)

2FA or two-factor authentication sends you a text message or email to confirm logins. This is especially safe because most hackers don't have your phone or personal email. It also ensures you are notified if someone else tries to log in.

3. Be Wary of Phishing Scams

Phishing is when a hacker pretends to be someone familiar or a trusted brand in order to steal your information or get you to click an infected link. Phishing can target you personally or might set a general trap for people who use common brands. Always check if a sender or source is legitimate and trusted.

4. Monitor Your Accounts Regularly

Keep an eye on your financial accounts, especially your transaction history. Get to know your vendors and your own spending habits so that unknown charges are immediately obvious. Alert your financial provider to protect your account immediately if you notice suspicious activity.

5. Secure Your Devices

Keep your personal devices safe. Use lock screens, passcodes, and biometrics to ensure that all the personal data in your phone cannot be easily accessed if your phone is stolen. The same is true for any device where you are automatically logged into your apps and accounts.

6. Use Secure Networks

Hacked wifi networks are a common way for hackers to access personal computers and phones. Secure your home network with a firewall and router settings. Then, only use secured public networks when out in the world.

7. Be Cautious With Personal Data

Don't share your personal information in plain text. Even things that seem normal, like your name, address, and phone number, can be used to impersonate you and take over your accounts. Especially do not share any information about your finances, including the banks and services you use.

8. Educate Yourself and Stay Informed

Stay updated on the latest hacking and phishing tactics being used against companies and individuals. The cyber-threat landscape is constantly shifting as hackers develop new techniques to get around the latest defenses.

9. Implement Account Recovery Options

Account recovery options such as a connected phone number or backup account both make it more difficult for hackers to steal your accounts and make it easier for you to restore lost or stolen accounts.

10. Be Mindful of Data Breaches

Lastly, take data breaches seriously. Many apps and services will alert you if your passwords or accounts have been compromised. Take the necessary steps to re-secure your accounts, change your passwords, and protect your data or finances when these events occur. Most people experience some degree of data breach in their lifetime, often dozens of times in an adult career. Be wary and ready to respond.

Protect Your Personal Data and Your Financial Future

A single instance of identity theft can jeopardize your financial stability and future. Implementing practical cyber defense strategies is essential to protect your data, accounts, and finances. For comprehensive insights and personalized guidance on securing your financial future, trust CrossleyShear Wealth Management. Contact us for a consultation to ensure your financial well-being is safeguarded.