By Mary Ellen Rotondo

While presidential elections can create uncertainty, the real estate market tends to remain relatively stable during election years.

Nonetheless, some short-term effects of election cycles are worth noting. Home sales often experience a temporary slowdown in the fall of election years, likely due to buyer and seller caution. This slowdown is usually short-lived, with sales rebounding in December and continuing to rise in the following year. In years where an incumbent president is not running, it will cause many buyers to wait until after the new president is sworn in before pulling the trigger on buying a home.

Alexandria, being just a hop, skip and a jump away from Washington D.C., can expect to see some turnover in residents as political appointees, staffers and advisors move in or out depending on the outcome of the election. However, many people in the political world already live in the area and move between public and private sectors, so this effect may be less pronounced than often assumed.

Historical data shows that home prices typically continue to rise, even in the face of political uncertainty. According to the National Association of Realtors, home prices have increased after every presidential election, with the exception of the 2008 housing market crash.

While presidential elections alone don’t dramatically alter the real estate market, other economic and policy factors can play a role. Potential shifts in real estate tax policies or housing-related legislation following an election could impact the market in the longer term. If interest rates finally do come down, we can expect to see a greater impact on market activity across the board.

The Alexandria market is experiencing typical seasonal changes, with inventory building in the fall. While September 2024 sales volume was down 14.8% compared to September 2023, the median home price rose to $662,821, 6.3% more than the 2023 median price. The market remains competitive, with homes selling relatively quickly and close to asking price.

While a presidential election does impact Alexandria’s real estate market, the effects are often more about shifting the timing of activity rather than dramatically changing overall annual trends. The most noticeable impacts tend to occur in the months immediately before and after the election.

As always, potential buyers and sellers should consult with local real estate professionals for the most up-to-date market information and personalized advice.

The writer is a Realtor licensed in Washington, D.C. and Virginia.