What Happens to Home Prices During a Recession? Do Home Prices Fall During a Recession

What happens to home prices during a recession? Do home prices fall or rise during a recession? Historically home prices rise during a recession. While this is counter intuitive, there are many moving parts to an economy and home prices tend to lag the economy.

We researched the last 6 recessions and found that home prices rose 5 of the last 6 times the economy shrank. The only exception was the Great Financial Crisis from 2008-2010 when real estate housing collapse caused the country to fall into a recession.

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