Did Trump just flip the Housing Market?

New data from Redfin is showing a sudden spike in homebuyer demand occurring after the election. Pending sales are up 12% YoY and home tours are up 7% YoY - the highest growth rates since May 2021.

Some realtors, mortgage brokers, and investors are now thinking this Redfin report could mean that homebuyer demand has returned after the election of Donald Trump.

But has it, really? Data on homebuyer sentiment shows 82% of Americans think it's a bad time to buy a house, while measures of pending home sales and mortgage applications are down 25-40% from pre-pandemic norms.

Home prices are now also starting to drop in housing markets across America like Florid and Texas. Indicating that we'll have to wait and see how the demand metrics shake out over the final month of 2024 before making firm conclusions about buyer demand in 2025.
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[ReventureConsulting]

I was pretty shocked to see just how quickly the Redfin pending sales data rose. 12% YoY is a big jump.

However, upon further review: they're still down 25% from pre-pandemic. Need to see the data in future weeks/months to see if there is a real trend.

Access the Reventure home price forecast for your area on Reventure App: www.reventure.app.

[Michaelparker]

I'm in Michigan, and the housing market here over the past 7-8 years has been unprecedented. Houses that were purchased for $130K in 2015 are now going for $590K. These are tiny, poorly constructed 950-square-foot homes in quiet, mediocre neighborhoods. Meanwhile, nicer, average-sized homes in better neighborhoods that were over $300K a decade ago are now selling for $750K+. It's wild.

[mydressmemos]

I’m in Ohio and the housing market here over the last 7-8 years is unlike anything I’ve ever seen. Homes that were bought for $130K in 2015 are now being sold for $690k. I’m talking about tiny, disgusting, poorly built 950 square foot shit boxes in quiet mediocre neighborhoods. Then you’ve got Better, average sized homes in nicer neighborhoods that were $300K+ 10 years ago selling for $750k+ now. Wild times.

[TheGoldeyFamily]

I ain't buying shit. Prices have to come down.

[TheRealDlo]

The average American CANNOT reasonably afford a home in America

[emills]

Houses in the US are overpriced. Not worth it right now.

[FaithAndrada-xoou]

First mortgages with rates of 8 to 9% and 9% to 10% were common when I bought my first house to live in, which was in Miami in the early 1990s. People will have to come to terms with the fact that we may never get back to 3%. Home prices will have to drop if sellers are forced to sell, and appraisals will drop as a result. I'm very certain that I'm not the only one thinking this.

[PASCALDAB]

i believe that trump will impact the housing market so much but for now Prices are too high. With rates not subsidised in ’24 and mortgage still high, currently seeking alternatives to maximise savings without an RV move or taking a loan. I’m seriously contemplating the latter.

[kortyEdna]

The effects of the downturn are beginning to sink in. People are being impacted by the long-term decline in property prices and the housing market. I recently sold my house in the Sacramento area, and I want to invest my lump-sum profit in the stock market before prices start to rise again. Is now the right moment to buy, or not?

[DorathyJoy]

I think it's time to make it more appealing for potential buyers. Real estate can be quite the rollercoaster! the stress and uncertainty are getting to me. I think I'll cut rents to attract potential buyers and exit the market, but i'm at crossroads if to allocate the entire $680k liquidity value to my stock portfolio?

[gypsy]

We need real-estate prices to go DOWN, NOT up! 😡

[Johnnydhee]

People don't want to admit this, but we're headed towards a "Canada' like housing market where buying property is a luxury.

[keithn]

Even if people can afford a home, many can't afford to properly maintain it. Lots of people are just a failed HVAC system away from being deep in the red.

[JaredMerlin]

My home has been for sale since July 2024. We went from $326k down to $299k. We're probably gunna have to go down again but we cannot afford to go down too much more or we won't be able to afford a place to live. Everything is too damn expensive! These comments are spot on. Something's gotta give.

[Steven-zjyw]

These home prices are unearthly. They need to come back to earth.

[cc_gc_cc]

Millennial here! We do not like renting! We want to be able to afford a home and live comfortably! 🤦🏽‍♀️

[hmoney]

Hell No, homes prices and rates are to high.😡

[SeerArt]

If most Americans can’t even qualify for mortgages …then who’s buying the houses, I mean houses are selling that’s why prices are higher than ever because the demand…but if most Americans can’t afford the houses, then who’s buying it or what’s happening here?

[amin]

Of course this is a temporary condition as people don't have money in their pocket and also these prices are so redicleous to consider anything.

[criticalthinker]

I personally know 2 families who bought their house in Los Angeles 2 years ago in hopes of refinancing already late on their mortgage and trying to sell with 200k loss