Trump's election influences Republican optimism in housing market

Republicans are expressing increased optimism about the housing market following Donald Trump's presidential election victory, while Democrats show a decline in confidence, according to a survey by Realtor.com. The survey reveals that approximately 20% of Republicans feel more inclined to purchase a home post-election, whereas 24% of Democrats feel less likely to do so within the next year.

Independents largely reported no change in their homebuying plans due to the election, with 74% stating Trump's win had no effect on their decision-making process.

Realtor.com Chief Economist Danielle Hale noted, "While majorities of adults say the election results do not influence their decision to buy or sell a home, among adults who are swayed by the outcome, a clear partisan pattern has emerged." This shift is attributed mainly to differing expectations regarding economic conditions and the impact of the new administration.

The survey found that current homeowners' intentions to sell were mostly unchanged by the election results. However, Democrats were slightly more inclined than Republicans to report decreased likelihood of selling their homes.

Respondents optimistic about buying cited economic confidence and trust in the new administration as key factors. One respondent mentioned belief in reduced interest rates and inflation under Trump's leadership. Conversely, those pessimistic about purchasing expressed concerns over potential economic downturns and inflation due to Trump's policies.

Men and Gen Z were notably positive about their homebuying prospects following Trump's victory. Among men, 18% felt more likely to buy a home compared to 10% of women. In Gen Z, 22% reported increased likelihood compared with other age groups like millennials (19%), Gen X (12%), and baby boomers (6%).

The survey was conducted online by Morning Consult from November 7-8, 2024, sampling 2,201 U.S. adults with data weighted for demographic representation.