Will a Recession Really Hurt the Housing Market? Here’s What History Says

Talk of an economic slowdown is everywhere, and the possibility of a recession is becoming more likely this year. If you're a homeowner considering selling your second home or simply curious about how this could affect your property value, you're not alone.

Let’s take a closer look at how past economic slowdowns have historically impacted the housing market—and what that could mean for you today.

A Recession Doesn’t Automatically Mean Home Prices Will Drop

Many people immediately think of the 2008 housing crash when they hear the word “recession.” But the truth is, 2008 was the exception—not the rule.

According to data from Cotality (formerly CoreLogic), in four out of the last six recessions, home prices actually increased. That’s right—home values didn’t collapse; they rose. One of the biggest factors behind this resilience is the continued shortage of housing inventory.

Even now in 2025, many markets—including Breckenridge—still have far fewer homes available than buyers are looking for. This keeps demand high and supports stable or even rising prices. So, if you’re holding off on listing your home expecting a major price drop, the data suggests you may not need to wait.

Mortgage Rates Typically Decline During Recessions

While home prices often remain stable, mortgage rates tend to dip during economic slowdowns. Historical data shows that in each of the last six recessions, mortgage rates decreased—giving buyers more purchasing power.

This could work in your favor if you’re planning to sell. Lower rates tend to encourage buyer activity, which can help your home sell more quickly and possibly at a higher price. However, while a small rate drop is possible, don’t count on seeing those ultra-low 3% rates again anytime soon.

So, What Does This Mean for You?

If you’ve been thinking about selling your second home in Breckenridge—whether you’re ready for a lifestyle change, looking to reinvest elsewhere, or just not using the home much anymore—now might be an excellent time to make your move.

Here’s why:

• Home values are holding steady thanks to continued demand.

• Inventory is still low, giving your listing more visibility.

• Buyers are watching mortgage rates and ready to act when the time is right.

And here’s what makes working with me different: I’m one of the few A.I. Certified Agents in the world—and the only one in Summit County.

That means I use cutting-edge marketing strategies most traditional agents don’t even know exist. Through A.I. tools, I can target the right buyers, analyze market trends in real time, and optimize your home’s visibility for faster, smarter results.

See What A.I. Can Do for Your Home Sale

Navigating a changing market doesn’t have to feel overwhelming. With the right guidance—and the right technology—you can move forward with clarity and confidence.

If you're wondering what your home might be worth today or how current market conditions could impact your sale, let’s talk.

Call: (970) 390-3711
Email: kim@kimobert.com
Visit: www.kimobert.com

Let’s explore what’s next for you—and how we can make your move the smartest one yet.