As the midterm elections loom, industry watchers are speculating as to what impact, if any, the outcome of those races will have on commercial real estate.

Mike Flood of the Mortgage Bankers Association recently wrote in an analysis published by Trepp that "the most likely outcome" is a split Congress, with Republicans controlling the House of Representatives and Democrats remaining in control of the Senate. And "with a split Congress and two parties with opposing views…it will be hard to pass large meaningful industry-changing legislation," he says. "Even if Republicans win both the House and the Senate, it would be surprising for the party to win enough seats in both houses to withstand a Presidential veto. Therefore, a split Congress, or even a Republican-controlled Congress, will likely have a tough time passing meaningful legislation that would affect our industry."

But Flood notes that regardless of the outcome of the midterms, President Biden will remain in office through 2024 — and since the President chooses the nominees for regulatory agencies the CRE finance industry are concerned with, "Democrats will control regulatory agendas no matter what happens on November 8."