Housing markets in Washington, D.C. and other areas with high concentrations of government workers have already been impacted by the Trump administration's new policies, according to Redfin agents.
Return-to-office mandates for federal workers have led to an increase in home buyers, but "uncertainty" about federal job cuts has discouraged others from buying or selling their homes, according to the report.
President Donald Trump announced on Jan. 29 that federal employees would be fired if they did not return to in-person work by early February.
DOGE SAYS IT DUG UP ANOTHER $1.9 BILLION IN TAXPAYER MONEY ‘MISPLACED’ BY BIDEN ADMINISTRATION
"I recently worked with a couple who bought their dream home with me a few years ago, but now they’re considering listing because they want to be closer to public transportation," said Stuart Naranch, a Redfin Premier agent in Washington, D.C. "They both work for the government, and want a more convenient commute because they’ll need to return to in-person work soon."
Home prices in the nation's capital were down 8.6% in January, compared to last year, selling for a median price of $560,000, according to Redfin data.
While homes spent about a week longer on the market in January of this year, overall sales for the month were up from last year.
However, instability in the federal job market may translate over into the housing market.
The Department of Government Efficiency (DOGE), which is tasked with eliminating wasteful government spending and increasing efficiency, aims to cut $2 trillion from the federal government budget by eliminating programs and trimming the federal workforce.
A buyout offer, which has been extended, has already been accepted by about 65,000 employees, Fox News Digital previously reported.
DOGE SAYS IT DUG UP ANOTHER $1.9 BILLION IN TAXPAYER MONEY ‘MISPLACED’ BY BIDEN ADMINISTRATION
"The number of deferred resignations is rapidly growing, and we’re expecting the largest spike 24 to 48 hours before the deadline," a White House official told Fox News Digital on Feb. 4.
The Trump administration on Thursday ordered agencies to lay off most probationary employees without civil service protection, potentially affecting hundreds of thousands of federal workers.
"Since the inauguration, I’ve met with a few people, including one federal government employee, who are selling specifically because of anticipated return-to-office orders," said Jo Chavez, a Redfin Premier agent in Kansas City, Missouri. "I also spoke to a client who was looking to sell and upgrade to a larger home, but he canceled those plans because he’s worried about losing his job due to restructuring of government jobs."
Most recently, DOGE on Friday fired 3,600 probationary Health and Human Services employees.
Federal workers on Friday gathered outside the Department of Health and Human Services in D.C. to protest the cuts, affiliate FOX 5 D.C. reported.
Demonstrators carried signs saying, "No One Voted For Elon Musk," and "Federal Workers Defy DOGE," according to the report.
Fox 5 D.C.'s Sam Kosmas contributed to this report.
