T
he real estate sector's jubilation over Donald Trump's presidential win was short-lived. Despite initial optimism, property stocks plummeted 2.6% on the day after the election, with notable declines for D.R. Horton and CBRE Group. This malaise has persisted, with homebuilders' shares down 3% since Election Day. The S&P 500 index tracking real estate stocks only recently surpassed its pre-election price.

    Investors are concerned about Trump's proposed tariffs, which could impact home sales and the office market, as well as a potential crackdown on immigration affecting the construction industry's workforce. However, developers remain hopeful that Trump's administration will implement tax cuts and deregulation, boosting their business. Economists warn that Trump's policies may lead to higher mortgage rates due to increased inflation and national debt.