1. Today's market is much different than 2008's.
This is not 2008. Today’s market conditions & financial institution health are far from the time when housing was a key factor that triggered the recession. Then, banks freely gave mortgages to individuals that were eventually going to be unable to make payments, home price appreciation was rapidly increasing, there was a surplus of inventory, homeowners were equity-borrowing excessively, and more.
We are not where we were 12 years ago. None of those factors are in play today.
2. We are confident in what we know.
Housing is not a catalyst that could send us spiraling back to that time or place. According to the Goldman Sachs GDP Forecast, although there is no growth anticipated immediately, gains are predicted as we head into the second half of this year and into early 2021. This is all momentary in time.
3. A recession does not equal a housing crisis.
In four recessions prior to 2008, only one of the four resulted in home value depreciation. That was in 1991, and the value only depreciated by 1.9%. Of the other three recessions, home values actually appreciated -- as much as 6.6%!
Although the fear of a recession is real, you can be confident that its affect on the housing industry will be minimal, if at all.
4. After the virus threat, the real estate market is expected to boom.
Just like every industry, real estate has had to totally change how things are done -- client meetings, inspections, appraisals, and closings are all different. Real estate professionals, including our team at Music City Experts, have been working tirelessly to ensure that the industry remains safe, stable, and alive.
Fortunate for us, many people are sitting in front of their devices for countless hours, leaving them to endless scrolling and imaginative online searches. For some, these searches will end up on a home search or local properties for sale. Social media is full of real estate agents drumming up excitement to prospective buyers with virtual tours.
So, for sellers why not go ahead and list your home & take advantage of this extra time to market your home. Either buyers will be knocking on your door as soon as this clears up, or they won't want to wait and will take advantage of the many virtual home buying services provided by real estate affiliates all over.
We understand that times are uncertain and can be scary for our neighbors. You can be confident that this is temporary, everything will bounce back, and we will get through this together. Looking to buy or list? Let's get you in touch with one of our agents that can help you in a way that makes you feel the most comfortable.