Housing Will Not Fall Victim to Next Economic Storm

Hopefully we won’t see any waves like this crashing onto our beaches this year!  However, economists are predicting a recession ahead.  Everything is cyclical and, after our last few years of growth, we can expect a few years of downturn.  These same economists are predicting that the housing market will not suffer from the downturn and that real estate will weather any storm on the horizon.  This is good news if you are considering purchasing a home of your own or an investment property.  Give me a call while the summer is quiet and sellers are anxious for offers!

 

Courtesy of Keeping Current Matters 2018

Housing Will Not Fall Victim to Next Economic Storm | MyKCM

Some experts are calling for a slowdown in the economy later this year and most economists have predicted that the next recession could only be eighteen months away. The question is, what impact will a recession have on the housing market?

Here are the opinions of several experts on the subject:

Ivy Zelman in her latest “Z Report”:

“While economic activity appears to have accelerated so far in 2018, some prominent economic forecasters have become more cautious about growth prospects for 2019 and 2020…

All told, while solid long-term demographic underpinnings support our positive fundamental outlook for housing, in the event micro-economic headwinds surface, we would expect housing transaction volumes and home prices to weather the storm.”

Aaron Terrazas, Zillow’s Senior Economist:

“While much remains unknown about the precise path of the U.S. economy in the years ahead, another housing market crisis is unlikely to be a central protagonist in the next nationwide downturn.”

Mark Fleming, First American’s Chief Economist:

“If a recession is to occur, it is unlikely to be caused by housing-related activity, and therefore the housing sector should be one of the leading sources to come out of the recession.”

Mark J. Hulbert, Financial Analyst and Journalist:

“Real estate may be one of your best investments during the next bear market for stocks. And by real estate, I mean your home or other residential properties.”

U.S. News and World Report:

“Fortunately – and hopefully – the history of recessions and current issues that could harm the economy don’t lead many to believe the housing market crash will repeat itself in an upcoming decline.”

Remember it is always toasty in Naples and you deserve to weather the economic storm in a home of your own!

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