Three Signs of a Real Estate Recession

Real estate market has run its course in a remarkably predictable pattern, with cycles lasting about 18 years on average. Experts often use baseball as an analogy for where we are in any given real estate cycle. A more definitive sign that a recession is coming is when the yield curve actually inverts. In advance of each of the last three recessions, real estate lingered on the market and often experienced tremendous price cuts before being sold. This is not necessarily a reason to panic; investors must remain cognizant of their investments during economic turns.