We’ve been in an unprecedented seller’s market for the better part of two years. But with talk of a looming recession, conversations around the real estate market are changing—and if you’re thinking about selling, it’s important to understand what that process will look like if a recession hits.
So, as a homeowner, what, exactly, do you need to know about selling during a recession?
A recent article from realtor.comoutlined key tips sellers need to know to navigate the current market—and successfully sell their home in the case of an upcoming recession—including:
List sooner rather than later. While a recession may be looming in the near future, we’re not there yet—and there could still be time to take advantage of the current market conditions. Many buyers are rushing to purchase property before a recession hits and/or before interest rates go any higher, which can help you sell your home for a hefty profit—so if you’re thinking about selling, now is a great time to make a move.
Don’t overprice your property. Homes have been selling for record-high prices—often 20% (or more!) over listing price. But as we move into new economic conditions, that’s changing—and if you want to sell, you need to price your home accordingly. Pricing your home too high during a recession can hurt your chances of selling—so talk to your real estate agent to ensure that you’re listing your home at a price that you’re not only happy with, but that will also sell if we happen to move into a recession.
Make upgrades that will appeal to buyers in this market. In a recession, people tend to be more frugal with their spending—which means many people will be spending more time at home. As such, investing in upgrades that make your home feel more inviting and cozy (whether that’s a small upgrade, like swapping out your light fixtures, or something larger, like a kitchen upgrade) can increase your home’s appeal—and make it more likely to sell.