The 2024 presidential election presents two distinct visions for America's housing market. Historical data shows housing prices have averaged 4.84% growth during election years since 1987, but the specific policies of each candidate could significantly influence future market dynamics.
Vice President Harris will likely focus on supply-side solutions, representing a continuation of Biden administration policies, emphasizes affordable housing expansion through several key initiatives:
1. Affordable Housing Focus: Expanding programs to increase housing availability, particularly targeting urban rental affordability
2. Supply-Chain Strategy: Shifting from demand-side solutions to active development of new housing units
3. Tax Policy: Proposed revision of high-income tax cuts to fund housing programs and economic stability initiatives
4. Down Payment Assistance: Proposed up to $25K in down-payment support for 1st-time homebuyers
Market implications under Harris include potential stabilization of home prices through increased housing stock, enhanced affordable housing options, reducing competition in rental markets with a greater focus on urban development and rental price controls.
Savvy investors may want to focus on affordable housing opportunities and urban renewal projects under a Harris administration.
Former President Trump will likely focus on deregulation and private sector growth, emphasizing market-driven solutions and reduced government intervention. This could be reflected across a few signature initiatives:
1. Deregulation Push: Streamlining housing development regulations and approval processes
2. GSE Reform: Moving toward privatization of Fannie Mae and Freddie Mac
3. Tax Strategy: Making the 2017 tax cuts permanent to stimulate investment and consumption
Market implications under Trump include potential for accelerated price growth in existing homes, increased private sector development opportunities, and more flexible lending standards through GSE privatization.
Similarly, clever allocators of capital may want to focus on market rate housing and more aggressive development opportunities while considering GSE privatization impacts under a Trump administration.
Regardless of who you support or which way you lean, both candidates acknowledge the need for increased housing supply. Ultimately, the impact on housing markets will depend not only on who wins but also on their ability to implement proposed policies and the broader economic environment during their term.
Your Voice Matters
The future of America's housing market will be significantly influenced by the outcome of the 2024 election. Whether you're a homeowner, investor, renter, or real estate professional, your stake in this decision is real and lasting. Make your voice heard - be sure to check your registration status and make a plan to vote this November. The housing market's future depends on engaged citizens like you.
