The Scary "R" Word

By
Managing Real Estate Broker with Riley Jackson Real Estate Inc.

More and more we hear talk in the news about an upcoming recession. The "R" word is creating insecurity, and clients are increasingly asking my opinion on where the market is headed and what is to come.

I'm not an economist people! I'm a Realtor! Even if I were an economist, most of them don't have a stellar track record on forecasting a market down-turn. I don't have any economic insider knowledge. I don't know if prices will remain the same, and don't know when they will go down. If I could predict the future, I could be making much more money outside of real estate. What I can show my clients are the current and past housing market statistics for our area. They will show a trendline that may continue in the same path, or may turn at any moment.

This is how the market in our neck of the woods has behaved over the recent years.

 

 

How do we know when the market has reached its peak?

Once it goes down.

 

While I can't be helpful in telling you ahead of time when the market will take a turn, I'll gladly share my insights into what I've learned the last time our housing market took a hit. A recession means higher unemployment rates, contracting income, lower housing prices, and resulting higher numbers of foreclosures. My advice to consumers, worried about a recession is this:

-Work on eliminating debt.

-Pay down high interest rate debt first.

-Save for a financial cushion.

-Live below your means.

 

Economies expand, and subsequently must contract. What goes up, must come down.

After the scary "R" of Recession will eventually follow the "R" of Recovery.

 

Sandy Nelson

Olympia Realtor®, GRI, ASP, SRES, SFR, VAMRES

360-789-7505

www.SandyNelsonRealEstate.com

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Topic:
Real Estate Market Trends
Location:
Washington Thurston County
Groups:
Realtors®
Puget Sound - WA Real Estate
Tags:
home prices
recession
market trends

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Rainmaker
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Pat Champion
Coldwell Banker Camelot Realty - Mount Dora, FL
Call the "CHAMPION" for all your real estate needs

You have done an excellent job of explaining the question we are all asked. Thanks for sharing, I hope you have a great afternoon.

Sep 19, 2019 02:03 PM #1
Rainmaker
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Sandy Nelson
Riley Jackson Real Estate Inc. - Olympia, WA
your Olympia area Realtor

Thank you Pat.

Sep 19, 2019 04:01 PM #2
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Rainmaker
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Sandy Nelson

your Olympia area Realtor
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