Absent of any major complications, by Tuesday evening the United States will have a new President-elect. Whether it be Donald Trump or Hillary Clinton, the winner will have an impact on the country's economic prospects, including the housing market. Tax credits, subsidies for low-income families and regulations are all within the president's sphere of influence.
However, history has proven that it is often the lead-up to a president election that sways the market more than the result itself. During political campaigns, the uncertainty of who will take the reigns can have Wall Street and homebuyers questioning future prosperity.
Analysts have observed that home values tend to increase less during election years. However, a the California Association of Realtors notes that the impact of elections is not outweighed by traditional factors such as affordability and interest rates.
Today, conforming no-point 30-year fixed rates are averaging 3.50 percent while the 15-year rate is near 2.75 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.