Does a potential recession always drive down the price of homes? Not necessarily, at least not according to history and how home prices changed during the last 5 recessions.
Many people fear the stock market volatility from the pandemic
is going to cause another recession.
Whether or not that happens, it’s important to remember one very
important thing:
A recession does not equal a housing crisis or “crash” like we saw in 2008. See Article Here
A recession doesn’t even mean that home prices will depreciate. If you look at the above graph, you’ll see that in the five most recent recessions, only two of them saw values decline.
While we may not know what the future holds, if you are pausing
on buying or selling a home because you think a recession will cause another
housing crisis…they’re not the same thing, and you could be missing out on
today’s record-low mortgage rates.
