What the Outcome of the Election Means to Wichita’s Real Estate Market
WICHITA, KS: (wichitaksrealty.news) As a follow up to yesterday’s article, what does the election outcome have in store for the local Wichita real estate market? Well, the answer is in the short term, more uncertainty. Markets in general like certainty, whether it’s the stock and bond markets, or real estate. Why, you ask? Because PEOPLE like certainty and people ARE the markets. As an example, the markets swung wildly this morning with deep declines pre-market and subdued trading when it opened.
Owning real estate means holding a tangible asset. It’s an investment. Not only financial but in time and commitment. We have seen almost a decade of extremely low interest rates, low to no inflation and stagnated income. We have become accustomed to this. It is the new norm, so we make our decisions based on this. But will these things, and others, change? Will we see interest rates and/or inflation rise, thereby affecting affordability of housing? Will we see wage rates stay the same or increase in a more long term normalized pattern?
By having an “outside the beltway” president will there be disruption in the status quo? Not saying we should or we should not, just asking.. will we? And to answer. Probably. Needless to say, though, that this new norm might take a while to get used to.
So, to answer the main question, we are moving in to a seasonally slow time for real estate sales. My bet is that the election will have a minimal short term effect. We will revisit this topic in the spring, once we have the chance to see the direction we are headed.