Why Americans might want to wait to buy a home until after the election
As the 2024 presidential election looms, first-time homebuyers are hitting the brakes, waiting to see how the political winds blow before jumping into the market.A new survey by Redfin reveals that nearly a quarter of prospective buyers — 23% — are postponing their purchase until after the election, hoping the outcome will bring policies that ease their path to homeownership.
The uncertainty of the election is clearly weighing on the minds of many younger buyers, especially as housing affordability remains a top concern.Among those surveyed, a significant chunk are closely following the housing proposals of the major candidates.
Trump supporters are looking to see how he will address affordable housing, given the former president’s focus on deregulation and economic growth, which could lead to new housing developments and more opportunities for homeownership.Nearly 16% are keen to see how Trump’s potential policies on affordable housing could shape the market if he returns to office.For some, the election’s outcome could be a game changer.On the other side, Kamala Harris’ proposal, which includes $25,000 in down payment assistance for first-time buyers, has caught the attention of more than 26% of respondents.
But economic critics that say her plan will cost a pretty penny — as much as $500 billion — which will further heighten inflation and does not address the primary reason housing has skyrocketed in the country in the last few years.High construction costs have been at the center of affordable housing crisis.
Lindsay Garcia, a Redfin agent in Fort Lauderdale, Florida, pointed out that buyer hesitancy isn’t limited to politics.“The findings are a sign of buyer uncertainty about the election,” she said, referring to another study by Veterans United Home Loans, which found 38% of homebuyers are also pausing their searches.
But, she added, this could be a temporary blip.“The market is cyclical.
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