Selling Your Home During a Recession

Selling Your Home During a Recession

Table of Contents

A recession is marked as a period of two consecutive quarters of economic decline, normally visible in real GDP, real income, employment, industrial production, and wholesale-retail sales. The answer to whether you should sell your home during times of uncertainty depends on various factors, namely your geographic market. It would be best if you leaned on the wisdom of a local and reputable real estate agent to gauge demand in your real estate market.

Determine If The Personal Timing Is Right For You

Selling your house is a big undertaking and requires a certain level of preparation and thoughtful planning. 
Are you financially ready? Do you have equity in your home? If you’re selling your primary residence, do you have another place to live lined up? Are you and/or your family prepared for the moving process?
These are all critical questions to answer before putting your home on the market. Once you’ve decided to sell, it’s time to start thinking about how to get your house ready for sale.
Selling Your Home During a Recession

Understand Home Pricing During A Recession

Amid this gloomy economic outlook, many home sellers might fear that they’ve missed the boat on raking in substantial profits. But that does not need to be the case, provided they make some recession-friendly adjustments to their tactics.

Home sellers need to be especially mindful of two pricing risks during a recession:

  • Overpricing your home and having it sit on the market for months, if not years
  • Underpricing your home and leaving money on the table


The best way to find that pricing sweet spot is by working with an experienced local real estate agent who has their finger on the pulse of the market. They will be able to help you price your home appropriately from the start, which will save you a lot of time, energy, and money in the long run.

Make Smart, Cost-effective Updates To Get Buyer's Attention

Exterior Curb Appeal

Your home only gets one first impression with a potential buyer; usually, it is the view from the curb. Buyers during a recession are typically not looking for a project home. Focus on:

  • Landscaping: Tidy up garden beds, plant colorful flowers, mow the lawn, and remove any leaves or debris.
  • Painting: Take a critical look at your home’s exterior and see if it needs repainting. Perhaps just a new coat of paint on the shutters, doors, or window frames could freshen things up.
  • Decorative flourishes: Budget-friendly updates like new house numbers, upgraded light fixtures, or a new mailbox can show that your home has been well maintained.


Interior home updates

Make sure your home’s interior looks its best for every showing.

Clean and declutter: Do a deep cleaning of your house while also decluttering every room. Remove excess furniture that might make a room look small, pare down trinkets, and remove personal belongings like photos and keepsakes. And don’t forget about closets and pantries. The more unnecessary items you have in your home, the harder it will be for buyers to see the potential.

Put health and safety first: An easy way to decide which repairs are a priority or if it really needs to be done is to ask yourself, “Is this a health and safety issue?”.

Hit The Market Sooner Rather Than Later

In recessionary times, home prices have a history of dipping. Yet experts say homeowners may still have time to pull off a highly profitable sale if they get their listing up pronto. Any homebuyer is rushing to buy a home before interest rates rise even higher, and this panic can work to a seller’s advantage. Plus, if a recession does hit, it may help curb spiraling mortgage rates, thereby increasing homebuyers’ borrowing power.

According to data from Redfin, homes that go on the market in late spring and early summer have a higher chance of selling fast and for more money. That’s likely because demand is highest during those warm-weather months.

Hire An Experienced Real Estate Agent

Choosing the right real estate agent to represent you is a serious decision that can cost or save you thousands of dollars or the home of your dreams. Stay ahead of the curve and avoid the headache of “what ifs” and “should haves” by partnering with Josh V Realty, an expert probate realtor in Los Angeles, to sell your home. Call me at (323) 826-5570 or visit my website at today! You’ll be glad you did.