Election Year Myths: What Really Happens to Home Sales?

No matter how many elections you’ve lived through, each one can feel a bit like a wildcard when November draws near and you’re wondering whether you should make a move—or wait until the dust settles.  Generally speaking, presidential elections have only a small and temporary impact on the housing market. That said, it’s natural to be curious as to how an election could impact your decision to buy or sell a home this year.   So, here’s a quick rundown of what you can expect from this year’s election, based on what has happened in election years past.  How do Elections Impact the Housing Market? Home Sales For the past several election years, November has typically brought a slight slowdown in U.S.  home sales. Ali Wolf, Chief Economist at Zonda, confirms that while home sales are generally unchanged during an election year, November is slower than normal.  That temporary downtick is mainly due to people feeling uncertain and hesitant about making a big decision (like buying or selling a home) when they perceive an election’s outcome could have a real impact on their financial situations or where they want to live next.  It’s a pivotal time. It’s also short-lived. Home sales generally bounce back in December and continue to climb the following year.  In fact, according to data from the Department of Housing and Urban Development (HUD) and the National Association of Realtors® (NAR), after nine of the last 11 Presidential elections, home sales increased the following year.  Home Prices According to Bankrate, home price appreciation during past election years has outpaced that of the surrounding non-election years.  A Bankrate analysis of Case-Shiller data shows home prices rose an average of 4.84% in the nine election years we’ve had since 1987, compared to an average 4.44% in the 28 non-election years.  Based on that, you might think presidential elections are good for the housing market. The reality is a bit more complicated.  Home price appreciation by year from 1987 to 2023 (election years in bold font): 1987:  7.22% 1988:  7.23% 1989:  4.39% 1990: -0.69% 1991: -0.17% 1992:  0.82% 1993: 2.16% 1994: 2.52% 1995: 1.79% 1996: 2.43% 1997: 4.02% 1998: 6.44% 1999: 7.68% 2000: 9.29% 2001: 6.68% 2002: 9.56% 2003: 9.82% 2004: 13.64% 2005: 13.51% 2006: 1.73% 2007: -5.40% 2008: -12.00% 2009: -3.85% 2010: -4.11% 2011: -3.88% 2012: 6.44% 2013: 10.71% 2014: 4.51% 2015: 5.20% 2016: 5.31% 2017: 6.21% 2018: 4.52% 2019: 3.68% 2020: 10.43% 2021: 18.87% 2022: 5.65% 2023: 5.56% In recent decades, the worst election year by far for the U.S. housing market was 2008. Home values that year plunged 12% as the historic housing bubble of 2004–2007 finally burst. The housing market crash had nothing to do with the tension surrounding the election. It was all thanks to horrendous economic timing. The global economy was collapsing. The silver lining was the suddenly gigantic room for improvement.  Granted, this is the one election year in the past few decades when home price appreciation was actually down from the previous year (from -5.40% to -12.00%).  The best year for home price growth since 1987 was 2021, when home values skyrocketed 18.9% amid record-low mortgage rates during the pandemic housing boom. Again, the extreme housing market conditions that year had nothing to do with a new president taking office.  Mortgage Rates Mortgage rates are a big deal because they determine how big your monthly payment will be when you buy a home. So, it’s natural to want to know whether these rates tend to go up or down during an election year—or what you can expect with rates before and after an election.  Based on data from Freddie Mac, mortgage rates have declined from July to November in eight of the past 11 presidential elections.  Moving on to the aftermath of this year’s election, most housing market forecasts show mortgage rates easing slightly throughout the remainder of 2024 and into 2025. Assuming they’re correct, this year will continue the trend of declining interest rates leading up to the election—and keep rates on a downward trend in the months to follow.  Lower rates can translate into lower monthly payments. But lower rates also mean more buyers are likely to enter the market.  That means buyers who wait for rates to fall below 6% will likely encounter fierce competition for available homes, driving up home prices and all but eliminating concessions that could make the home more affordable.  Final Thoughts While presidential candidates often hype up the economic plans they have for their first year in office, economists tend to agree they have little to no influence over the housing sector. Doesn’t mean they won’t try to convince you otherwise.   The housing market may seem confusing right now (even if you’re not sweating the election), but with the right information and a focus on local data, you can navigate it confidently.  For an even more personalized data report for your home or neighborhood, reach out to me here. Click Here

Navigating Homeownership: The Critical Role of Family Support in Today’s Housing Market

Navigating the Housing Market: The Rising Trend of Family Support in Homebuying The landscape of the American housing market is evolving, with a significant trend emerging among young homebuyers. A recent Redfin report highlights a substantial shift: 36% of Millennial and Gen Z homebuyers are now turning to family for financial assistance with down payments. This development underscores the escalating challenge of housing affordability and presents a nuanced picture of the current state of homeownership for younger generations. The Growing Reliance on Family Financial Support A Shift in Homebuying Strategies In an eye-opening survey conducted by Redfin, a notable increase in family-supported home purchases among younger buyers is evident. The survey, spanning 3,000 U.S. homeowners and renters, reveals a stark reality: a lack of affordable housing is significantly hindering homeownership prospects for many young Americans. 36% of young buyers plan to use family funds for down payments. 16% anticipate using an inheritance for the same purpose. 13% will reside with family to save on expenses. Despite these figures, the primary method for accumulating down payment funds remains traditional saving, with 60% of respondents relying on their paychecks. Comparative Analysis: Then and Now The reliance on family support for down payments has seen a dramatic increase, doubling from 18% in 2019 to 36% in 2024 among millennials and including Gen Z. This uptick coincides with a 40% surge in U.S. home prices since the pandemic's onset, highlighting an ever-tightening affordability crunch. Housing Affordability: A Barrier to The American Dream Redfin's Chief Economist, Daryl Fairweather, emphasizes the widened affordability gap and its implications. The financial challenges faced by Gen Z and millennials are more pronounced than those encountered by previous generations, affecting their ability to achieve homeownership independently. 47% of parents with adult children continue to provide financial support. The analysis points to a growing number of young adults unable to enter the housing market without family aid, exacerbating wealth inequality. Affordability: The Prime Hurdle The primary obstacle to homeownership, as identified by Redfin’s survey, is affordability. The data paints a clear picture of the hurdles young buyers face: 43% cite market prices as too high. 34% struggle to save for a down payment. High mortgage rates and the need to clear student debts further complicate the path to owning a home. Conclusion: A Call for Sustainable Solutions The increasing dependence on family support for homebuying among young Americans is a testament to the broader challenges of affordability in today's market. As the gap between earnings and housing costs widens, innovative solutions are imperative to ensure that the dream of homeownership remains accessible for all, regardless of financial background. This trend not only highlights the importance of family support in navigating the housing market but also calls attention to the need for policy interventions and market adjustments to address the root causes of housing unaffordability. Keywords: Real Estate vs Realtor, Platteville Houses for Sale, Homes for Sale in Platteville, Premiere Real Estate, Real Estate Lancaster WI For more insights and the latest trends in real estate, stay tuned to our blog. Whether you’re looking into homes for sale in Platteville or exploring real estate opportunities in Lancaster, WI, understanding the market dynamics and the role of family support in homebuying can provide valuable guidance in your real estate journey.   Read the full report for more information, including methodology. 

Don’t Get Trapped! How to Find the Right Agent with Guarantees That Put You First

"Why Settling for an Average Agent Could Cost You – Choose a Better Path with Fishnick Realty!" Before you choose a real estate agent, there are a few crucial things you need to be aware of. The right agent can make your home-buying experience smooth—or a complete nightmare. Many agents in Southwest Wisconsin focus on basic property listings, but that’s not enough! Let’s break down the pitfalls of hiring just any agent and how my approach gives you a genuine advantage. 1. Avoid Getting Trapped in Long-Term Contracts Many agents will lock you into contracts for months. If you’re not happy with their service, tough luck—you’re stuck. With my “Fishnick Realty Satisfaction Guarantee,” if you’re not satisfied, you can fire me, no fees, no hassles. This flexibility ensures that I work for you, not the other way around. You won’t find this with agents from Platteville Realty or WI Properties, who often require longer commitments without offering similar satisfaction guarantees. 2. Choose Experience: I’m Not Just an Agent – I’m a Licensed Home Inspector Did you know that many agents lack a true understanding of what’s inside a home? That’s where I stand out. As a licensed home inspector, I know how to spot potential problems in a property that could cost you big in the future. Most real estate agents might miss critical issues like faulty electrical wiring, mold, or structural damage. My background lets me identify and address these concerns upfront, saving you from future headaches and unexpected expenses. 3. Advanced Negotiation Skills: Not Just About Price Negotiating isn't just about getting a lower price; it's about securing terms that work in your favor. My advanced negotiation skills go beyond the basics. I stay up-to-date on buyer-friendly addendums, repair credits, and specific clauses to safeguard your purchase. For example, by navigating buyer-friendly contingencies, I protect your investment while ensuring a smoother buying process. 4. Expertise in Financial Strategies From seller concessions to creative financing, I’m well-versed in strategies to save you serious money. Whether it's lowering your interest rate or helping with down payment assistance, my goal is to maximize your buying power. And here’s the best part: with my “Love It or Leave It Guarantee,” if you’re not happy with your home within the first year, I’ll help you sell it with no listing fee. 5. The Risks of Settling for a Subpar Agent Choosing an average agent can lead to: Weak Market Knowledge: Limited understanding of local trends and values, resulting in missed opportunities. "House Sold" agents and discount brokers may have local knowledge, but do they provide you the same comprehensive market insights paired with inspection expertise? Poor Negotiation: Lackluster negotiations can cost you thousands. Limited Network: Missing out on off-market listings and insider deals. Financial Blind Spots: Not understanding complex financing options that could benefit you. Legal Risks: Unfamiliarity with contracts can leave you exposed to hidden risks. Why Work with Me? Licensed Home Inspector: My dual role means I catch issues before they become costly. VIP Buyer Guarantees: Enjoy the “Love It or Leave It Guarantee” and the Hometown Heroes Program for discounts to those who serve our community. Market & Negotiation Expertise: I leverage advanced market insights in the Driftless Region, Southwest Wisconsin, and the 608 area. Cutting-Edge Technology: I use tools like virtual tours to ensure you’re always ahead of the game. Your Satisfaction Guaranteed: The Fishnick Realty Advisors Satisfaction Guarantee allows you to end the contract if I don't deliver. External Resources You Should Check Out To give you a well-rounded understanding, here are some reputable resources on home buying and financing: Wisconsin Housing and Economic Development Authority (WHEDA) – Get info on Wisconsin-based home loans. U.S. Department of Housing and Urban Development – For insights on federal home-buying programs. National Association of Realtors (NAR) – Browse articles on market trends and home buying tips. Don’t risk one of the biggest investments of your life by settling for just any agent. With my qualifications, guarantees, and unique expertise as both a real estate advisor and a licensed home inspector, you’re not just getting an agent—you’re getting peace of mind. Currently Locked in a Contract?If you’re currently stuck in a contract with an agent who isn’t delivering, reach out! I’ll provide advice on how to navigate the situation and explore your options for finding a better path forward. I’m excited to help you find a home you’ll LOVE!   Let’s get it done the right way, and make your home-buying experience one you can trust!

How To Buy Like A Pro

How To Buy Like A Pro Have you ever wondered how real estate investors, real estate brokers and wholesalers manage to find so many great deals on properties so consistently? It has nothing to do with luck or a sixth sense. They’re able to do so because they know where to look and have the knowledge and savvy to upgrade a good deal into a great one. But don’t think that those amazing deals are out of your reach. If you’re in the market for a new home, check out these 11 tips on how to find the best possible real estate deals in your area.   Let's Dive In   Leverage the Power of the Internet By using a combination of MLS searches, 3rd party property search sites, classified ad sites like Craigslist, and investing in Google and Facebook ads, we can help you hunt for real estate bargains from day one. These property searches will also help you get your finances in order, and get a better idea of the size of the mortgage you’ll need to live in the neighborhood or area of your choice. We can also run email marketing campaigns aimed directly at our network of contacts in order to help you find properties not publicly listed. These could reveal amazing deals impossible to find otherwise. Find The Right Lender and Mortgage For You Just like you would always get a second opinion from a doctor, you should always get a second (or third, or fourth) offer for a mortgage loan. Though interest rates from top lenders (major banks being some of the most popular ones) tend to be pretty similar, even a tenth of a percent in a fixed-rate loan makes a huge difference in the long run. At the same time, the right lender will help you see if you qualify for a number of government-sponsored programs geared for first-time buyers. As always, our team of real estate professionals can help you find the right lender and loan. Be the first (or last) to make an offer The phrase “You snooze, you lose” is especially relevant for real estate buyers.  That’s because the buyer that makes the highest offer doesn't always get the home. In many cases, it’s the one that makes the first offer. If the seller is in a rush to sell, and the first offer is a good one, it’s quite possible the seller may simply accept the offer on the spot. So when looking for a great deal, you must be ready to make the FIRST offer. To make sure that happens, you MUST get your finances in order. Before you start making offers, make sure sure to have your pre-approved loan by the bank (and if you’re able to pay in cash, even better). And once you’re pre-approved, don’t delay in making offers. Work with our team to establish the parameters for a good deal. And as soon as a deal that meets those requirements hits the market, make an offer in the same day. Also, as you wait for a great deal to hit the market, we can keep an eye out for properties that have been stuck on the market for a long time. The owners of these homes could be more willing to sell at a discount, because they’ve been stuck paying a mortgage for the entire time it’s been listed. Ask the Seller to pay closing costs Though the buyer is typically expected to pay for a number of closing fees, (especially those related to the origination of the loan), it’s not a law written in stone. Like pretty much everything in real estate, closing costs are negotiable. Of course, sellers don’t like to sell homes for less than their bottom line. Not just because they don’t want to lose more of their earnings, but also because there’s always an ego element attached to any home sale. Home sellers are keenly aware of how much their neighbor's homes sold for, and would hate to sell their home for less. If the sellers are adamant against bringing down their asking price, we can negotiate for the seller to cover the closing costs. Not only does this allow the seller to save face and keep a larger final price, but it could also save you thousands of dollars. Shop during the slow season Even if you don’t live in a place with a harsh winter, most home buying and selling activities take place during late spring and summer. As a result of that seasonal increase of activity, home prices go up. So if you’re willing to brave the cold and wait until winter, you may be able to capitalize on some amazing deals. People who are willing to list their homes in the middle of the holidays are typically very motivated to sell. This, of course, could lead to amazing deals for you. On the other hand, there’s a downside to shopping for homes during winter: you’ll have fewer homes to choose from. And when making offers, you’ll have fewer recently sold comparable properties to help you calibrate your offers. Look into bank-foreclosed properties Banks are not in the business of homeownership. They are in the lending business. Homeownership comes with a lot of maintenance requirements, expenses, and taxes. Which is why any time a bank ends up taking possession of a home by means of a foreclosure, the bank would want to sell it as quickly as possible. This usually translates into banks selling homes at a substantial discount. On the other hand, not every foreclosed property is an amazing deal. The foreclosure process is a lengthy one which could drag on for years. Many foreclosed homes are in serious disrepair. If you’re not careful, your bank-foreclosed property “deal” could turn into a nightmare scenario. It’s extremely important to work with a professional real estate team that has plenty of knowledge and experience dealing with foreclosed properties. But if you’re willing to spend the time and resources needed to sift through the foreclosed home inventory, you’re sure to find some valuable gems. Drive for dollars A tactic commonly used by real estate investors is driving around neighborhoods they’re interested in to find good deals. Yes... It really is that simple. These investors would get in a car, drive around the area they are interested in, and look for homes that give signs of a potentially motivated seller. This includes homes with a “for sale by owner” sign, homes in disrepair or showing signs of neglect. Next, these investors would knock on the door, and introduce themselves to the owners. They let the homeowners know they’re interested in buying a home in the area, and would ask the homeowners if they could point you to someone looking to sell, or if they themselves are interested in selling their home. If no one answers the door, even after several attempts, not all is lost. These investors could do a property search in the city’s public records or a reverse phone number search to find the owner’s contact information. Look into new and pre-construction developments If you’re not willing to look into fixer-uppers, another possibility is new and preconstruction developments. Developers looking to finance the next phase of their development and are willing to offer homes and condos at a significant discount. Of course, the catch is that you need to have access to pre-construction offers, and you need to have enough cash to make your down payments.  But there is usually negotiation room on pre-construction from everything in terms of price and deposit structure to upgrades and closing costs. Make sure to have a realtor who is experienced in the industry and will be able to negotiate for you If you’re interested in finding pre-construction unit deals, we can help you find the best pre-construction deals in the area.  Look into tax-delinquent homes As you know, every homeowner in the US must pay his/her yearly property taxes. But if they fail to pay these taxes, their name is added to the county’s treasurer’s “Tax Delinquent List.” If enough time goes by (1-5 years, depending on the state) and the homeowner doesn’t pay those delinquent taxes, the county takes possession of the home via a tax foreclosure. Then, the house is auctioned off to recuperate those missing taxes (from which the homeowners would get $0 in return). Believe it or not, tax delinquent lists are part of the public record. You can have access to your local list by asking for it in your county treasurer’s office, and paying a fee to obtain it. This list is filled with homeowners that have a HUGE motivation to sell their property, especially if they haven’t paid their property taxes in years. If they’re only a year or two away from losing their home to a tax foreclosure, and they could be willing to sell their home or property for pennies on the dollar. Of course, as you may expect, many of these homes fall squarely into fixer-upper territory, and would require you to have plenty of capital to get them into shape. Get in touch with real estate wholesalers Real estate wholesalers make a living in finding amazing deals, marking them up a bit, and reselling them to real estate investors. Some of the homes they resell could still be fantastic deals. Meaning that with the right wholesaler, you could still find amazing deals without the need of doing all the work of finding the deal yourself. Real Estate wholesalers can be found in local real estate clubs, google searches, and industry networking events. Once you get in touch with a real estate wholesaler or two, make sure you give them your contact information and tell them to add you to their buyers’ list. Again, just like with tax-delinquent homes, many of these properties fall into fixer-upper territory. Make sure you keep that in mind. Hire an Amazing Real Estate Agent! As a home buyer, you have absolutely NO reason why you shouldn’t hire the best possible real estate agent in your hyperlocal area. We bring a wealth of expertise, street smarts and knowledge to find you the right home at the right price. We can use those skills to help negotiate a far better price than you could get on your own. Our services offer a buffer of protection. Thanks to our experience and expertise, we can see toxic deals a mile away and can warn you against them. We can also help you avoid common legal pitfalls in real estate which you could stumble into on your own. In Conclusion Don’t believe the naysayers. It’s not just rich real estate investors and brokers that find the best real estate deals. Though it may take effort and patience, if you work together with a knowledgeable and experienced real estate agent, and know where to look, you’ll also be able to find some of the best possible deals in the area.  To join our VIP Buyers Program and have us implement these strategies for your search, Contact Us NOW