Dive Brief:
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A state’s political leaning may determine how well homes sell there, an analysis by RealtyTrac and MarketWatch revealed.
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The housing market in “red” states—those considered strongly Republican—have fared better over the past two years than those in Democratic-leaning “blue” states, the analysis showed. The researchers determined which states had the healthiest housing markets by considering the number of foreclosures; the percentage of “underwater” mortgages in the city compared with the national average; unemployment; and how quickly home prices are rising—too fast can leave locals unable to afford to buy homes.
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Politics aside, RealtyTrac noted that more than half of U.S. housing markets are in better shape now than they were in 2012; 11% are worse off; and 36% are about the same.
Dive Insight:
Researchers surmised that because red states were less likely than their more liberal neighbors to step in to prevent foreclosures, conservative states that were hard-hit by foreclosures are past the crisis, while in blue states, the problem lingers.