The upcoming presidential election has left a lot of questions up in the air about our economy.
Here is the effect I think it will have on the market.
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I’ve got two things that I’d like to talk to you about today.
First, I’d like to tell you about an exciting property we recently listed: The Cloverleaf Ranch. You may have read about it in Crain’s Chicago Business because it’s the highest-priced single-family home in Illinois at $18.9 million. Of course, it’s not your typical home; it is actually a hunting lodge.
The ranch is located near Princeton, Illinois on more than 1,217 acres of land. The property includes an FAA grass runway, a shooting range, in addition to a 34-acre lake stocked with walleye, muskie, large and smallmouth bass that some have called “the best fishing in the Midwest.” Check out the pictures and video to see all that The Cloverleaf Ranch has to offer.
Secondly, I’d like to talk about a topic that’s obviously on everybody’s minds: the upcoming election. With such a major election coming up, I’ve been asked many times how I think that the presidential election will affect the stock market and the real estate market, so I’d like to break that down for you today.
THE STOCK MARKET DOES WELL UNDER SPLIT GOVERNMENTS.
Though some may have you believe otherwise, the stock market is not always affected by presidential approval ratings. The market may be hot when a president has a low approval rating, or it may be cold when a president has a high approval rating.
In addition, though we have a split government right now with a democratic president and a republican house and senate, the stock market actually benefits from the checks and balances required to run the government. In fact, under split governments, the stock market has averaged a 7% annual increase historically, versus a one-party government when the stock market only sees a 4.6% annual increase.
Keep this in mind during this upcoming election because split governments do not necessarily have a negative impact on the economy. Either way, we’re expecting to see a major spike in activity on the real estate market after the election, so be prepared!
If you have any other questions about how our market may be impacted by the election or anything else related to real estate in the Chicagoland area, give me a call or send me an email. I’d be happy to help you!