Here’s what you need to know about the future of our housing market.
Have you heard about inflation and a possible recession in the news recently? I understand these topics can be scary, but don’t worry; I’ve got some good news. When the word inflation starts being replaced with the word recession in the news, it’s actually a good thing both for the real estate market and for the economy.
Inflation, in the simplest terms, just means that everything is really expensive and overpriced. So as soon as the economy moves into recession, which technically we are expecting should happen here in the first quarter of 2023, that actually means that everything gets more affordable. So don’t be afraid of the word recession.
“Homes are still expected to appreciate in 2023.”
I know a lot of people are worried that this recession will be like 2008, but that seems unlikely. All of the data and experts are not predicting anything close to a crash. If you check out 1:16 in the video, five of the six big housing predictors believe housing will still appreciate in 2023.
And that’s very true, especially in Northern Colorado. We are expecting continued appreciation, just not at the crazy, 20% per year levels that we saw for 2020, 2021, and some of 2022. Look forward to the recession because it means that just life, in general, is going to get more affordable, and interest rates will finally come down as well.
If you own a home in Northern Colorado, you’re still sitting on a great asset, and if you have a good, steady job, you should be more than fine. Please call or email us with any real estate questions. We’d be more than happy to help you out for any of your buying or selling needs.