Learn how Trump’s housing plans and deregulation may impact Metro Atlanta.

The election is over, and we now know who will be president. With that comes a sense of clarity, removing the uncertainty from our daily lives. No matter who you voted for, we're all Americans in this together. Today, I want to share what we can expect from a Trump presidency in the metro Atlanta real estate market and how it might affect you:

1. Opening federally-owned land for housing. Trump has proposed using federally-owned land for housing development. However, in Georgia, only 5% of land is federally owned, mostly in protected areas like national forests, which aren't suitable for affordable housing. One potential solution is for the state or counties to offer land for development, though this would face opposition. With the affordability crisis growing, it’s a solution worth exploring, especially for first-time buyers struggling to find affordable homes.

2. Deregulation and economic incentives. Trump advocates for deregulation, which could benefit the construction sector in the long run. One idea under discussion is offering tax incentives to investors and second-homeowners, encouraging them to sell and increase market inventory. This would help first-time buyers by lowering prices on properties previously owned by investors.

3. Reducing interest rates. While Trump doesn’t control mortgage rates, they are crucial for the housing market. After years of low rates, a return to historically average rates of around 6% is necessary for market normalization. Though rates may dip into the 5% range next year, factors like inflation and steady employment could keep rates higher for longer.

““Whether you’re buying or selling, now is the time to think strategically about your next move.””

4. Mass deportation. Trump’s proposal for mass deportation would likely impact the construction industry. Regardless of your stance on immigration, there’s no denying that this policy would have an immediate negative impact. Many workers in this sector are undocumented, and their removal could slow homebuilding and drive up prices.

What's going to happen to prices and closings? Home prices in metro Atlanta have risen by 3% to 13.5% year-over-year despite lower sales. With more motivated buyers expected next year, the market could see even faster price increases once buyers realize the election is over and interest rates may dip.

For buyers: consider getting in the market now. Buyers should act now while inventory is still limited but more options are available than since 2019. Negotiations are happening now, but they may not last long. It's a good time to secure a deal before the market heats up.

For sellers: consider holding off. Sellers should consider waiting until spring, particularly February and March when more buyers typically enter the market. If inventory is low in your area, holding off could lead to more buyers and a higher selling price.

We’re entering a new phase with a Trump presidency. While we can’t predict everything that will happen, there are some clear trends that could affect the metro Atlanta real estate market. Whether you’re buying or selling, now is the time to think strategically about your next move. If you have questions, don't hesitate to reach out to me at +14046062219 or email me at kelly@kellycohomes.com. Let's navigate the market in the next four years together!