Home Values and Recessions
Recession? An economic slowdown doesn’t mean homes will lose value. We’ve put together a graph showing home value changes in each recession over the last 40 years. Take a look.
Historically, home prices appreciated four times and depreciated twice.
If we go further into the data we see home values depreciated just under 2% in the early 1990s. Prices dramatically declined again during the housing crisis in 2008.
Most of us remember or have heard of the housing crisis, and now equate a recession with falling home values. But 2008 was different. We’re not in a bubble that’s about to burst. The fundamentals are very different today than they were in 2008. So, we shouldn’t assume we’re heading down the same path.
The Take Away
If you're waiting to buy or sell a home in Southlake, Keller, Trophy Club, Northlake or beyond due to the idea a recession may lower home prices, you may not see the dramatic drop you're thinking will come.