On This is What I Know… Today, we focus our attention once again on mortgage rates during a recession (Part 1: What Happens to Mortgage Rates During a Recession?). As a Real Estate Brokerage, we are often asked what does a recession mean for the housing market?
While we cannot tell you exactly what the future holds, we can look at what history tells us happens to mortgage rates during past recessions.
Based on data from Freddie Mac and Mortgage Specialists dating back to the 1980s, mortgage rates decreased during the last six recessions. Historically, during a recession, mortgage rates have come down.
If the higher mortgage rates we’ve seen this year cause you to put your plans on hold, this information shows you one reason why we don’t need to fear the word recession when it comes to the housing market.
While this isn’t a guarantee of what will happen every time, we can learn from what history shows us.
If you’re wondering if this is a good time to buy a home, connect with the best Realtors in Denver.