How A Recession Affects The Seller

How A Recession Affects The Seller
05-28-08

There are several ways that a recession can affect anybody who is selling real estate. If you find yourself in this situation, you will want to know what you are up against. The challenges that stand in your way are sure to change the way that you look at selling your home. And of course, when you know what these challenges are you will be in a better position to succeed.

Here are three ways that a real estate recession can affect you when selling your home.

1. During a recession buyers are more so inclined to want to see a big discount. This means that you may need to lower your asking price by a few thousand dollars in order to attract buyers. Is this something that you are willing to do? If so, go ahead and drop your price. But if you are unsure, you can wait around and hope that you buck the trend.

2. A recession will slow down the real estate market altogether. This leads to fewer people looking to buy homes. For this reason, you should not expect nearly as much traffic coming through your home. While there are exceptions to this rule, almost every recession will slow things down to a crawl; at least when compared to normal market conditions.

3. Due to the two reasons above, a seller may find that a real estate recession brings a lot of stress. In other words, you may feel bogged down when buyers are throwing low ball offers at you, or you cannot get any action at all. You must be prepared to deal with this type of stress if you plan to move forward with selling your home during a real estate recession.

Believe it or not, some people never have to deal with the three issues above. They simply put their home on the market, and even if there is a recession, they make a sale right away. This is not normal, but you never know what is going to happen. If you feel that now is the time to sell your home, do not worry about where the market stands. Instead, worry about the details that will give you the best chance to make a sale.

Mark E. Moebius
Miljonair Homes
Custom home builder St. Louis
3451 St. Albans Rd.
St. Albans, MO 63073
636.300.9000