Will home prices go down with this “recession”? Good time to buy?

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Prices will likely come down a bit but mostly due to interest rates which are now around 7%. It isn't 2008 as there is still excess demand but every house is 50% more expensive when measuring by monthly payment, as most do, compared to just a year or two ago so hard to say it is a good time to buy.

That said, you can't go back in time and rates may go even higher in the short term. It depends on your personal situation, if you are planning to be in the same area for 5+ years and the cost is comparable to rent then maybe it is a good time.

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The home prices will eventually go down to match the loss of the buying power from the higher interest.

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I believe home prices will remain relatively stable. Value is derived from supply-demand. And while demand may lessen due to higher rates, supply may also lessen due to high switching costs/higher mortgage rate.

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Agree with this. Slight decline at most.

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Recessions and real estate are both localized, so frankly depends on where you are buying

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So far it’ seems like the only asset class to not fall off a cliff.

So here’s an anecdote. I have had a Redfin alert to get an email for every new SFH and Townhome listing in my area for the last five years, including price changes. Only in the last month have I started to see consistent email volume for price drops. With homes going for 400-1.2m, I’m seeing 20k getting knocked off. One has gotten over 100k lower, but it started at the high end. So yes, with people going through savings, recession expectations, and rates thought to hit 7% with the next set of hikes, I do think home prices are going lower as reality start to set in.

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