Leave a Message

Thank you for your message. We will be in touch with you shortly.

Recession Fears and Real Estate: What Buyers and Sellers Should Know

June 27, 2025

Recession Fears and Real Estate: What Buyers and Sellers Should Know

Why Waiting for a Recession Could Cost You More Than You Think

Fear of a recession is back in the headlines, and if you’re thinking about buying or selling soon, it might make you pause. You’re not alone—68% of people are holding off because of economic uncertainty. But here’s what many aren’t realizing: some are waiting hopefully, not fearfully.

In fact, according to Realtor.com, nearly 3 in 10 homebuyers say a recession would actually make them more likely to buy. The hope is that the Fed would lower interest rates to stimulate the economy, bringing mortgage rates down and making homes more affordable.

And yes, history does show that mortgage rates often fall during a recession. Take a look at the last six slowdowns—rates dropped each time. Lower rates are definitely a possibility.

But here’s the catch.

Many of those buyers are also assuming that a recession means home prices will drop. And that’s where the data tells a different story. According to Cotality, home prices actually went up during four of the last six recessions. The steep drop in 2008 was an anomaly caused by a very different market: oversupply, risky lending, and low equity.

That’s not where we are now. Inventory is still tight—even with more homes on the market, we’re far from oversupply. So if you're waiting for prices to crash, that’s wishful thinking.

Most markets today are seeing home prices hold steady or rise—just at a more moderate pace. And if a recession does hit and rates dip, competition could come roaring back. Buyers sitting on the sidelines might all jump in at once, pushing prices higher and making it harder to find your perfect home.

Bottom Line
Waiting for a recession to score a deal could backfire. If you’re ready to buy or sell, let’s build a strategy that works no matter what the headlines say. I’ll help you make a smart move in today’s market, based on facts—not fear.

Want to talk it through? Let’s connect and create a plan that works for you.

Let's Talk

You’ve got questions and we can’t wait to answer them.

Follow Us