It was the news heard around the world this week: After months of rallies on the campaign trail, Donald Trump was elected to become the 47th President of the United States. A new administration changes so many types of policiesforeign, domestic, economicbut how will it impact the real estate market? According to Danielle Hale, chief economist at Realtor.com, it's unclear.Despite a strong mandate from voters, the impact on the housing market remains a toss-up, she says. The chief problem the housing market faces is a lack of supply, which we estimate is a shortage on the order of 2.5 to 7.2 million homes accumulated over the last decade. The Republican party's plan includes curbing unnecessary housing regulations, which Hale says could add up to approximately $90,000 to the price of a new home.Efforts to reduce regulation could make it easier for builders to add homes at lower price points, potentially accelerating a much-needed trend that is already underway, she adds. Expanded supply could also come from making federal lands available for housing development. So does this mean the election results are actually a good thing for the real estate market? Not so fast. Though Trump does plan to reduce inflation, Hale points out that the proposed tariffs and mass deportation policy could negatively impact the housing market. Reducing immigration could severely hurt the labor supply needed for new home building since up to a third of residential construction employment consists of foreign-born workers, Hale explains. The consequences of that could include a reduction in homeowners equity via falling home prices and a contraction of employment in the homebuilding sector, which could have spill-over effects to the broader economy.It will be some time until we understand the election's full influence on the real estate market, but some communities might notice change sooner. In a recent study conducted by Realtor.com, 23 percent of participants claim that politics influence where they ultimately decide to live. The report also found that the political sorting phenomenon is more common with millennial, liberal-leaning individuals, and more engaged voters. If you're looking to move in the upcoming monthsfor political reasons or otherwisethe house-hunting process can be downright daunting. To help, we're breaking down everything to need to know about finding (and buying) a home.Related StoriesFollow House Beautiful on Instagram and TikTok.