In a word, No.
You should not wait to buy or sell your home until after the election. It’s understandable that people fear change. When they’re afraid they make emotional decisions rather than rational ones. People “wait and see” for the results of an election because they worry about how the president might impact the U.S. economy and housing market. During election time, the current economy and current president’s policies are what is relevant. Who gets elected can impact the future of the economy and housing market however, as long as there isn’t a wild policy, most buyers shopping median value homes will fare well.
We have to remember that the election is on a nation-wide, macroeconomic scale. Whereas, housing markets are localized. Sure there are national trends, however housing markets are subject to microeconomic shifts and they are dependent on supply and demand.
One thing on a macroeconomic scale that has impacted the real estate market has been Covid-19. However, since cases have declined and restrictions have been lifted, there have been improvements in the U.S. economy and an overall surge in the real estate market. People are back to work and feel more secure about their finances and the economy. We see this especially now in Florida as we are in phase three of reopening.
Other reasons to buy or sell now are that mortgage rates are at historic lows, home values are up, the number of homes sold has increased and current inventory is down. This is an advantage for sellers because they can get top dollar for their home and sell quickly. When others might be waiting on covid-19 or the election, buyers can be smart shoppers and purchase their dream home before prices continue to go up. Buyers can also take advantage of tax breaks for investing in real estate or buying a home before the end of the year.
Brevard County Housing Statistics August 2020 (source: Space Coast Association of Realtors)
Single Family Homes
943 Homes Sold
$268,500 Median Sales Price
1.8 Months of Inventory
Condos and Townhomes
270 Homes Sold
$222,750 Median Sales Price
2.7 Months of Inventory
Regardless of the season we’re in, here are the main questions buyers need to ask themselves to determine if they’re ready to buy a home:
· Do I have a job?
· Do I have a down payment?
· Do I have a credit score of at least 580?
· Can I afford the mortgage payment and keep my debt to income ratio less than 36 percent?
If you’d like more information on buying or selling your home or what we see happening in your current or target neighborhood give us a call at 321-610-3622.